Based on a representative survey, Nomura's Kengo Nishimura has summarized the results of proxy voting in the 2012 AGM season, in the report which can be downloaded below. His major conclusions, and some of the more salient data results:
Category: Investment
Deutsche Bank: “Sustainable Investing: Establishing Long-Term Value and Performance”
Deutsche Bank's replete newstudy ofmore than 100research papers and otheranalysisshowed that ESG factors are correlated with superior returns.
Deutsche Bank – Sustainable Investing- 2012- later, click at lower right to download:
http://bdti.mastertree.jp/f/pno78jbd
GMI Analyst: ESG and Accounting Metrics for Investment Use Consecutive Quarters of EPS Growth
The following summary appeared as part of Governance Metrics International’s GMI Blog. GMI is the leading independent provider of global corporate governance and ESG ratings and research. Corporate stakeholders – including leading investors, insurers, auditors, regulators and others – use GovernanceMetrics services to identify and monitor risks related to non-financial measures covering key environmental, social, governance and accounting risk factors.
HKEx Consults on Board Diversity
Hong Kong Exchanges and Clearing Limited (HKEx) published its Consultation Paper – Board Diversity (Consultation Paper) to set out the proposed amendments about board diversity to Appendix 14 (Corporate Governance Code (Code) and Corporate Governance Report) to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited.
Video of Al Gore and David Blood Discussing White Paper on “Sustainable Capitalism” (+ White Paper)
[We recently had the privilege of hearing Al Gore and David Blood of Generation Investment Management speak at the PRI Responsible Investment Symposium here in Tokyo… and were very impressed. An Executive Summary of White Paper follows, and you can find the link to both the video clip andthe WhitePaperbelow.]
GMI Analyst: ESG and Accounting Metrics for Investment Use: Prepaid Expense/Operating Expense
The following summary appeared as part of Governance Metrics International’s GMI Blog. GMI is the leading independent provider of global corporate governance and ESG ratings and research. Corporate stakeholders – including leading investors, insurers, auditors, regulators and others – use GovernanceMetrics services to identify and monitor risks related to non-financial measures covering key environmental, social, governance and accounting risk factors.
GMI Analyst: ESG and Accounting Metrics for Investment Use: Entrenched Board
The followingsummary appeared as part of Governance Metrics International’s GMI Blog. GMI is the leading independent provider of global corporate governance and ESG ratings and research. Corporate stakeholders – including leading investors, insurers, auditors, regulators and others – use GovernanceMetrics services to identify and monitor risks related to non-financial measures covering key environmental, social, governance and accounting risk factors.
ACGA Publishes “CG Watch 2012”, Downgrades Japan to 4th in Asia, Praises BDTI’s Activities
The ever-active Asian Corporate Governance Associations (ACGA)has published CG Watch 2012,downgrading Japan's corporate governance regime to 4th in Asia, on a part (a tie) with Malaysia.Japan is also lagging most markets in not requiring any training of directors, which is shocking when the statutory auditors (ie, audit committee equivalent) are supposed to be the guard dogs of governance. A summary of the volumiminous full report is available below.
Learning and the Disappearing Association between Governance and Returns – by Professors Bebchuk, Cohen and Wang
[From Lucian Bebchuk of Harvard Law School ] – Below is a link to a column in the New York Times DealBook, titled Investing in Good Governance <http://dealbook.nytimes.com/2012/09/12/investing-in-good-governance/> , that I thought you might find of interest. The column discusses the findings of a study co-authored with Alma Cohen and Charles Wang about the correlation between governance and stock returns.
HK Exchange Publishes Consultation Paper on Board Diversity
Hong Kong Exchanges and Clearing Limited published a consultation paper on proposed changes to the Corporate Governance Code and Corporate Governance Report (Code) concerning board diversity. The change involves a ‘comply or explain’ provision for all companies listed on its Exchange to have a policy on board diversity, and to report on this policy in their corporate governance and interim reports.