October 3, 2017 By FTI Consulting
On 28th of September, FTI Consulting and Davy Stockbrokers held the Corporate Governance Seminar, titled Governance, Remuneration & Engagement: The Investor Perspective. The session explored the underlying reasons for the increase in more “active” voting at certain companies, the challenges Boards face in improving corporate governance and remuneration frameworks; and, insights into the rising level of engagement between investors and Boards.
Prior to getting the view of investors and proxy advisors, Peter Reilly from FTI presented an overview of voting trends at FTSE and ISEQ companies, followed by an overview of the importance of an effective Board and a strong corporate culture.
Sacha Sadan, Director of Corporate Governance at the UK’s largest asset manager, Legal & General, explored the wider topic of ESG and provided extensive insight into why corporate governance matters to investors – and why it should matter to Boards. David Sneyd, Associate Director BMO Global Asset management discussed the differing corporate governance landscapes in the US and the UK and the impact on listed companies’ shareholder engagement efforts.
Margaret Cullen, from the Institute of Banking, had opened the session with a discussion of the latest remuneration trends in the UK & Ireland and the impact remuneration can have the behaviour of C-suite executives – and the potential effects on businesses and financial performance. With the growing focus on corporate governance, there has been a corresponding rise in the attention being paid to all of the players in the corporate governance landscape. Two of those key players, the proxy advisors Glass Lewis and ISS, spoke about their approaches to analysing company’s corporate governance; and, what remuneration and Board composition can say about a company’s culture.