Special Report: Mind the Minder
The 2018 proxy season is in full swing, and Swiss issuers and investors are still navigating “VegüV” –the landmark 2013 legislation that put all executive pay to a binding shareholder vote, but left deciding how that vote should work in practice largely up to the companies themselves. With issuers taking a variety of approaches, and voting opposition growing in the teeth of increasing quantum, just what is the state of the Federal Ordinance against Excessive Compensation?
Our report examines how companies are choosing to structure their pay proposals– are the votes forwards- or backwards-looking? Do they cover different components of compensation separately, or in aggregate? We also review the vote results to see how investors are exercising their enhanced franchise, and take a deeper dive into several notable examples of investor opposition. In addition, we look at how the new regime is impacting the quantum and structure of executive pay, and check in on how non-executive director compensation has been affected.
Special Reports are available to subscribers of Glass Lewis’ services, and can be requested from your client service contact or downloaded directly from your client platform. Non-clients can submit a request to purchase a copy here.
© 2020 Glass, Lewis & Co., and/or its affiliates. All Rights Reserved.
This blog is for informational purposes only and is updated periodically to keep Glass Lewis' clients and other interested parties informed of current corporate governance developments and regulatory trends. The information contained herein should not be construed as legal or investment advice. Glass Lewis analyzes issues it believes may be of interest to its subscribers and makes recommendations as to how Glass Lewis believes institutional shareholders should approach such issues. While Glass Lewis may mention certain companies in its blog postings, Glass Lewis never comments on the investment merits of the securities issued by the subject companies. Therefore, none of the information posted through this blog should be construed as a recommendation to invest in, purchase, or sell any securities or other property. All recommendations stated herein must be construed solely as statements of opinion, and not as statements of fact, and may be revised based on additional information or any other reason at any time.
The information contained in each blog posting is based on publicly available information. While Glass Lewis exercises reasonable care to ensure that all information included in this blog is accurate and is obtained from sources believed to be reliable, no representations or warranties express or implied, are made as to the accuracy or completeness of any information included herein. In addition, Glass Lewis shall not be liable for any losses or damages arising from or in connection with the information contained herein or the use or inability to use any such information.
Glass Lewis expects readers of its blog possess sufficient experience and knowledge to make their own decisions entirely independent of any information contained in Glass Lewis’ blog postings. Subscribers are ultimately and solely responsible for making their own decisions. This blog is intended to serve as a complementary source of information and analysis for subscribers in making their own decisions and therefore should not be relied on by subscribers as the sole determinant in making decisions.