Overview of the Proxy Advisory Industry Considerations on Possible Policy Options

Proxy advisers serve mostly institutional investors on a commercial basis but their activities have not yet been regulated at EU level. Thus, the ESMA is considering the possibility to regulate the sector in order to correct possible market failures. EuroFinuse represents millions of individual shareholders who do not have access to the services of commercial proxy advisers, because they cannot afford to pay for these services. It is even more challenging for EU’s individual shareholders in comparison to institutional shareholders, to analyse issuers’ proposed resolutions for their General Meetings, especially for cross-border voting, as resolutions proposed by management have become longer and more complex, and are not always made available in the language of the shareholder.

• Read online
• Download