Jim McRitchie’s Draft Petition to the SEC on Disclosure of Proxy Votes

Jim McRitchie (jm@corpgov.net) is seeing comments on his draft rulemaking petition for real-time disclosure of proxy votes. Corporations have facilitated the most dynamic economic growth in history. Addressing adverse externalities, like dark money and climate change, has been hampered by dispersed ownership. Mechanisms are needed to define common values and increase individual empowerment within corporate dominated…

Has La Croix Lost Its Fizz?

National Beverage, producer of La Croix flavored fizzy water, has been criticized for the tone and substance of its recent filings. On Forbes, Jim Collins calls CEO Nick Caporella’s statement “bizarre” and points out the contradictions in its explanation for reduced revenues: La Croix sales are falling due to litigation, but that litigation will not…

Net-Zero by 2050 — Report from Climate Majority Action

Investors are increasingly making the business case for taking action on climate change. The collective choice problem inherent in planet-wide environmental issues, amplified by the distorting impact of often-undisclosed political donations from corporate executives and billionaires (see our work on the fake dark money front group Main Street Investors Coalition) has left investors, particularly long-term, passive investors like…

Why Does CEO Compensation Matter?

Alex Barjadi explains why CEO compensation is important for investors.  His example is a “long term” plan that is revised just one year later and just one competitor for comparison purposes. He does not reveal the name of the company, but in private correspondence he has revealed it: Siemens Gamesa Renewable Energy  

JPMorgan will no longer finance private prison operators – Axios

What Axios calls “largely about PR” we call largely about recognizing the impact on cost of capital and consumer support.” JPMorgan Chase announced Tuesday that it will no longer finance operators of private prisons and detention centers.Between the lines: It gave no explanation, except to say it has “a robust and well-established process to evaluate…

CII Spring Meeting 2019

The Council of Institutional Investors meets in Washington DC every spring, and as fascinating and timely as the presentations and panels are, what goes on behind the scenes is increasingly even more significant.  VEA Vice Chair Nell Minow made presentations at two of these behind-the-scenes events, discussing buybacks with members of the CII board and…

Blackrock’s iShares Introduces an ESG ETF

Blackrock is offering a range of sustainability-oriented ETF investments including: ESG: “Evaluating and selecting companies based on their commitments to positive environmental, social and governance business practices. All iShares ESG funds also seek to track indexes that screen out civilian firearms, controversial weapons and tobacco.” Thematic: Focus on a particular E, S, or G issue,…

New Zealand Prime Minister on ESG

New Zealand Prime Minister Jacinda Ardern wants the country’s financials to reflect a more holistic look at value and values: “Our vision is focused on higher living standards for New Zealanders. Achieving this requires growing the country’s human, social, natural, and financial/physical capitals which together represent New Zealand’s economic capital. Our vision is to be…

How Boards Can Reduce Corporate Misbehavior

Constance E. Bagley, Bruno CovaLee, and Lee D. Augsburger write: One defining feature of 2017 has been seeing corporate directors and officers being held personally responsible for illegal behavior at their companies. For example, after Wells Fargo Bank paid more than $300 million in penalties for creating over 3 million sham customer accounts, Judge Jon…