REDWOOD CITY, CA (April 19, 2017) — Shareholder engagement continues to become more and more common each year, and companies are consistently searching for ways to improve relations with their institutional investors.
In response to this growing trend, Equilar has launched enhancements to the shareholder engagement tools within Equilar Insight. The new N-PX functionality—aimed to give companies an avenue to better understand the voting patterns of institutional investors—has been added to the current proxy proposals and results module offered within the platform.
Management investment companies must file Form N-PX with the SEC filing on an annual basis. Typically, each management fund has to vote on the proposals of the companies in their portfolio, and the results are aggregated into 8-K filings. The N-PX tool will allow companies to easily analyze voting trends for all board resolutions or shareholder proposals and be better prepared to satisfy shareholder interests year-round.
According to the recent Equilar report, Innovations in Proxy Design, the disclosure of engagement efforts in the proxies of S&P 100 companies increased 50 percentage points from just over 12% in 2012 to 63.0% in 2016, and the percentage of S&P 100 companies that disclosed a modification made in response to shareholders nearly tripled to 42.0%. By using this data, issuers will be able to arrive at shareholder engagement meetings more prepared to discuss specific, pressing concerns of their investors.
Aggregated N-PX data in the new Equilar feature provides valuable insight to understand the policies and practices of institutional shareholders. Users can quickly determine who is influencing the outcomes of proxy proposals and identify key trends in corporate governance. With Equilar N-PX, users can do the following:
Equilar is the leading provider of board intelligence solutions. Companies of all sizes rely on Equilar for their most important boardroom decisions, including 70% of the Fortune 500 and institutional investors representing over $13 trillion in assets. Equilar offers data-driven solutions for board recruiting, executive compensation and shareholder engagement that bring together business leaders, institutional investors and advisors to drive exceptional results while ensuring sound corporate governance. The Equilar suite of solutions includes industry-leading board education symposiums, comprehensive custom research services and award-winning thought leadership. Founded in 2000, Equilar is cited regularly by Associated Press, Bloomberg, CNBC, The New York Times, The Wall Street Journal and other leading media outlets. Learn more at equilar.com
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