NEW YORK, Oct. 18, 2018 /PRNewswire/ -- Broadridge
Financial Solutions, Inc. (NYSE: BR), an S&P 500 company and
global Fintech leader, has published a new report on implementing
the revised Shareholder Rights Directive across European member
states. The report explains the opportunity to advance corporate
governance and the core areas of change for firms involved in the
proxy voting lifecycle, while highlighting the need for
harmonisation across national jurisdictions.
The report, Shareholder Rights Directive: Everything You Need
to Know, calls for a proactive industry response to
shape common guidelines and implementation standards around the
Directive, set to come into force through national laws by
September 3, 2020. It focuses on
three key themes: shareholder identification, agenda distribution
and voting by intermediaries, and vote confirmation.
"With greater clarity over how the Directive must be
implemented, member states will now start planning for
implementation into their own national law," said Demi Derem,
General Manager, Investor Communication Solutions International at
Broadridge. "But with flexibility in implementation, timing
is critical in shaping guidelines for how the Directive should be
applied in each European Union member state. Inaction during this
critical window could result in a missed opportunity for local and
pan-European shareholder communication intermediaries to help drive
harmonisation of processes across Europe."
The paper follows the recently published regulation from the
European Commission (EC) on implementing the Directive, which is
designed to achieve greater transparency in corporate governance
and improved shareholder engagement. It finds that while
Implementing Regulation 2018/1212, published by the EC in
September 2018, offers welcome
clarification in several areas, there are areas of flexibility that
could be deemed more open to interpretation.
The revised Shareholder Rights Directive is an amended version
of the original 2007 legislation. The new measures will require
financial institutions and intermediaries throughout the proxy
voting lifecycle - including custodians and institutional investors
- to use a new mechanism to exchange shareholder information in
every European Union (EU)/European Economic Area (EEA) market.
These institutions will also be required to adhere to significantly
more stringent processing deadlines and mandatory processes such as
shareholder identification.
About Broadridge
Broadridge Financial Solutions, Inc. (NYSE: BR) a $4 billion global Fintech leader and a part of
the S&P 500® Index, is a leading provider of investor
communications and technology-driven solutions to banks,
broker-dealers, asset managers and corporate issuers globally.
Broadridge's investor communications, securities processing and
managed services solutions help clients reduce their capital
investments in operations infrastructure, allowing them to increase
their focus on core business activities. With over 50 years of
experience, Broadridge's infrastructure underpins proxy voting
services for over 50 percent of public companies and mutual funds
globally, and processes on average more than US $5 trillion in fixed income and equity trades per
day. Broadridge employs over 10,000 full-time associates in 18
countries.
For more information about Broadridge, please visit
www.broadridge.com
Media contact:
Georgie
Gold
Cognito Europe
Georgie.gold@cognitomedia.com
+44 (0)20 7426 9428
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SOURCE Broadridge Financial Solutions, Inc.