Institutional EYE

Commentary on Corporate Governance Issues

Rethinking the Boards Stakeholder Relationship Committee

September 29, 2016

 

 

In this digital era when shares are dematerialized and do not have the pain associated with the transfer of physical shares, and when dividends are directly credited ‘grievances’ are negligible the Stakeholders’ Relationship Committee has to start playing a critical role. It needs to keep itself updated not just who the company’s current and potential investors are, but also engage with investors to understand how they vote and why they vote the way they do.

 

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