Business and cybersecurity experts recently told the World Economic Forum that there is a high likelihood of a destabilizing and “catastrophic” cyberattack linked to geopolitical instability within the next two years. And the largest segment (34%) of respondents to a recent Allianz survey of more than 2,000 company representatives said cyber risk was the number…
Tag: ISS
ISS Proxy Guidance Updates: Climate Change, CEO Pay, Political Contributions, Diversity, “Problematic Governance”
Each year, Institutional Shareholder Services updates its proxy voting policies based on feedback from its clients and current developments. Highlights from the updates for US companies in 2023 (emphasis added in italics). Climate Accountability For 2023, for high emitting companies – identified as those in the Climate Action 100+ Focus Group – ISS is extending the framework for all…
Agenda – ISS Unveils More than 20 New Factors in Governance Assessments
Influential proxy advisory firm ISS today announced a slew of new updates to its Governance QualityScore methodology, which the firm uses to analyze and rank companies’ risk levels when it comes to key governance topics for its institutional investor clients. The changes add 23 new factors, raising the number of total potential governance indicators considered…
ISS: Support for U.S. Shareholder Proposals on Climate in 2022
Without data on how many proposals were withdrawn following successful negotiations, it is hard to evaluate these conclusions. Despite a steady decrease in the portion of environmental and social proposals receiving less than majority support from 2017 through 2021, 2022 bucked the trend likely due to some institutional investors viewing them as overly prescriptive as…
Proxy adviser ISS urges vote against $247mn pay for Discovery chief | Financial Times
Institutional Shareholder Services, a proxy adviser, has criticised a $247mn pay package for Discovery chief executive David Zaslav, setting up a showdown with investors as the media company is finalising its acquisition of WarnerMedia. Citing “significant concerns” with “excessive” stock options given to Zaslav, ISS recommended Discovery shareholders withhold voting for the three company board…
ISS Report on the Top 100 Settlements in Shareholder Litigation
ISS has updated its annual report on shareholder litigation. The data in the report is broken down by size of settlement, counsel, administrator, and plaintiffs. From the summary: Two of the settlements in 2021 delivered significant settlement amounts to be included within this Top 100 publication of largest U.S. settlements of all-time. These two class…
Less Diversity On Boards Leads to More CEO Overpayment
A new report from ISS finds that CEO pay plans that get the highest “no” votes from shareholders are more likely to be less diverse. In other words, boards with more diversity are less likely to propose CEO pay plans that shareholders deem excessive. Interestingly, it was not just high-profile, large companies that were the…
Agenda – ISS Sets ‘Minimum’ Bar for Boards on Climate in Proposed Policy Changes
It’s essential to remember that ISS is market-driven and these changes are a reflection of their response to client demand and not an indicator of their intention to lead on climate issues. Proxy advisory firm Institutional Shareholder Services today published its annual list of proposed policy changes for the 2022 proxy season, and it includes…
Agenda – ISS to Score Boards on Information Security Oversight
According to an update announced this morning to ISS ESG screening tool Governance QualityScore, outcomes will now include scoring on 17 newly introduced factors as part of the calculation for overall portfolio company governance in investor reports. This is the largest update to ISS’s methodology used to assess corporate governance caliber in recent years. The…
Deutsche Boerse to buy 80% of ISS for $1.8 billion | Reuters
The German stock exchange operator Deutsche Boerse DB1Gn.DE said on Tuesday it would acquire an 80% stake in Institutional Shareholder Services (ISS) for about $1.8 billion, the latest in a flurry of deals to sweep across the exchange industry. Deutsche Boerse to buy 80% of ISS for $1.8 billion | Reuters
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