Proxy advisors have always faced scrutiny and criticism. It comes with the nature of the work. What changes, from time to time, are the criticisms proxy advisors face. In our current, increasingly polarized political environment in the United States, we are seeing more political actors claiming that we are pushing an “ideological agenda” or acting with “political bias.”
These claims, however, rarely engage with the substance of our voting policies or our actual record of recommendations. As a recent letter we sent members of the Senate Banking Committee explains –
- Glass Lewis’ Benchmark Policy supported 94% of all management proposals at S&P 500 companies last year;
- Our Benchmark Policy “evaluates all environmental and social issues through the lens of long-term shareholder value” and clearly explains the shareholder value rationale for its approaches to common proxy voting issues; and
- Our Benchmark Policy only supported roughly 30% of all environmental and social shareholder proposals in both 2023 and 2024.
As any user of social media knows, it’s always easier and quicker to make a charge than to respond to the substance of it. While the details and explanations can be long and dry, we believe the facts matter. Glass Lewis is not a political organization and it has no agenda. Instead, we are committed to serving our clients and providing them with objective, reliable, and timely advice.
As our letter notes, “Protecting the independence and viability of proxy advisors is paramount to ensuring a fair and fully-functioning proxy voting system that serves the best interests of investors and our markets.” We encourage our clients and anyone else interested in these issues to check the facts and to continue to support the important work that proxy advisors do.
Read our full letter to members of the Senate Banking Committee.
