Tag archives: institutional investors

Implications of the Collaborative Model of Corporate Governance

By The Special Situations Team on Posted in Corporate Governance
In a recent paper, Jill Fisch and Simone Sepe outline a new model for corporate governance: the Insider-Shareholder Collaborative model. A Shift Towards Collaboration Two models have previously dominated the corporate governance discourse: (i) the management-power model and (ii) the shareholder-power model. The former emphasizes a board’s decision-making authority as the corporation’s essential coordinating and … Continue reading

Fasten your seatbelts: preparing for the globalization of hedge fund activists

Photo of Matthew Lau (Toronto)By Matthew Lau (Toronto) on Posted in Proxy Battles, Shareholder Activism
Activist hedge funds have grown up and gone global, reinforcing the need for companies of all shapes and sizes to plan ahead for the possibility of an attack. A recent article by Martin Lipton in the Harvard Law School Forum of Corporate Governance and Financial Regulation reviews recent developments in the activist landscape and reconfirms … Continue reading

The CCGG’s stewardship principles

By Michael Viner (Toronto) on Posted in Corporate Governance, Shareholder Activism
Last month, the Canadian Coalition for Good Governance (CCGG) published its new Stewardship Principles paper designed to assist institutional investors fulfil their responsibilities to their beneficiaries or clients and enhance the value of their investments. The principles reflect what the CCGG believes are appropriate stewardship responsibilities for institutions investing in Canadian public equities and are … Continue reading

Institutional investors managing US $17 trillion announce new corporate governance framework

Photo of Trevor ZeylBy Trevor Zeyl on Posted in Corporate Governance, Shareholder Activism
In a move likely to have significant impacts on corporate governance, a group of institutional investors managing upwards of US $17 trillion has announced the formation of the Investor Stewardship Group (the Group). The Group has adopted a framework of certain non-binding investor-friendly principles, many of which are either common or already legally recognized in … Continue reading

The Dissatisfied Institutional Investor: Intervene or Exit?

By Dana Carson on Posted in Corporate Governance
Considering the role of institutional investors in influencing corporate governance is critical to effective corporate decision making. Broadly, dissatisfied institutional investors choosing to act can do one of the following: (a) intervene with management, either cooperatively or uncooperatively as dissident shareholders, or (b) exit by selling their shares. Many theories have been put forward to … Continue reading

The CCGG makes a push for enhanced proxy access

Photo of Trevor ZeylBy Trevor Zeyl on Posted in Corporate Governance
The Canadian Coalition for Good Governance (CCGG) recently released its much anticipated policy paper on “proxy access”, a term which refers to shareholders’ conceptual right  to nominate directors and have those nominees placed on management’s ballot. The CCGG takes the position that this right, which is supplemental to a shareholders right to elect directors, “is … Continue reading

Decision-making and Institutional Investors: Prevalent Factors and Key Market Distinctions

Photo of Trevor ZeylBy Trevor Zeyl on Posted in Corporate Finance, Corporate Governance, Litigation, M&A, Restructuring, Securities, Shareholder Activism
According to the recently published Global Institutional Investors Insight survey, shareholder activism is on the rise. The survey, which canvassed over 500 institutional investor and sell-side research analysts from across North American, European and Asian markets, reports that more than three quarters (77%) of those surveyed believe that activism levels will increase in the coming … Continue reading
LexBlog