NAPF Corporate Governance Policy & Voting Guidelines 2014/2015
The NAPF’s Corporate Governance Policy and Voting Guidelines aim to assist investors and their proxy voting agents in their interpretation of the provisions of the Corporate Governance Code when assessing a company’s compliance with it. The aim of the updated document is to promote the long term success of the companies in which our members invest and help ensure that the board and management of these companies feel themselves to be accountable to shareholders.
The core updates to the 2014/15 Policy are:
- More focus on individual accountability of directors and succession planning;
- Encouraging a wider view to be taken on risk matters, and richer disclosure;
- More explicit recognition of those factors which would give cause for concern with respect to the resolutions on the remuneration policy and the remuneration report; and
- More explicit voting guidelines related to resolutions on a standard AGM agenda.
Our ambition is that this policy will encourage both companies and shareholders to move beyond a box-ticking mind-set and to approach their responsibilities in a more considered fashion.
Following the ending of the NAPF’s licensing agreement with ISS in summer 2014 we encourage pension funds to give thought to how they clearly communicate their expectations to their asset managers and proxy advisory firms if they intend that the NAPF’s Voting Guidelines will continue to be explicitly followed by their agents.