Proposed Legislation: Tax excessive CEO pay

The Tax Excessive CEO Pay Act, introduced by Senator Bernie Sanders and Representatives Barbara Lee and Rashida Tlaib, would raise the corporate tax rate for any companies that pay their executive 50 times more than their typical workers. The bill begins with a 0.5 percent tax. The worst offending companies that pay their CEO more…

Commissioner Jackson on Disclosure of Political Contributions

November 18, 2019 The Honorable Carolyn B. Maloney Chair, Subcommittee on Investor Protection, Entrepreneurship, and Capital Markets United States House of Representatives 2308 Rayburn House Office Building Washington, D.C. 20515-3212 VIA ELECTRONIC DELIVERY Dear Chair Maloney: Thank you for your July 15 letter regarding my research on the need for transparency in corporate political spending—and…

Taking a closer look at female board appointments

[T]he demands for greater board diversity continue, raising the question of whether external pressure from shareholders, media, and advocacy groups actually causes firms to appoint women to their boards. The answer is yes, a new study concludes, but there’s a catch: Firms under pressure to appoint female directors tend to do so by adding board…

Ceres: Blueprint for Boards on Climate Risk Assessment

Some 73 major U.S. companies recorded material hits to earnings from extreme weather events in one year, while supply-chain disruptions from climate change jumped 29% over the past six years. Once again, we emphasize that ESG is not a trade-off of shareholder value; it is a more sophisticated way of assessing risk. A new report…

Retail Shareholder Participation in the Proxy Process: Monitoring, Engagement

From: Alon Brav, Matthew D. Cain, and Jonathon Zytnick We study retail shareholder voting using a detailed and nearly universal sample of anonymized retail shareholder voting records over the period 2015-2017. Contrary to public perception, we find that retail shareholders are an influential voting bloc, affecting as many proposal outcomes as the Big Three asset…