Investor Perspectives: Critical Issues for Board Focus in 2016
In brief: In the fourth quarter of 2015, NACD convened a group of investors representing close to $16 trillion in assets under management, including BlackRock, CalPERS, CalSTRS, Capital Group, Fidelity, State Street, TIAA-CREF, T. Rowe Price, and Vanguard.
Critical Issues for Board Focus in 2016 summarizes investors’ candid views on three issues of importance for the 2016 proxy season:
- Discussions with portfolio companies now tend to integrate topics such as compensation and risk oversight, with strategy at the center;
- Dialogue is evolving around proxy access, board refresh practices, and executive compensation; and
- Investors expect that directors of newly public companies will work on behalf of all shareholders.
Most relevant audiences: Board members of public companies and companies preparing for an initial public offering, especially chairmen, lead directors, and key committee chairs.