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  • 8 months ago
A new White House order targets proxy advisory firms ISS and Glass Lewis, aiming to curb shareholder influence and shift more power to corporate executives, drawing praise from business groups and criticism from governance advocates.
Transcript
00:00It's Benzinga bringing Wall Street to Main Street.
00:02A new White House order targeting proxy advisory firms marks a broader Republican push to reduce
00:07investor influence and shift more power to corporate executives, analysts, and attorneys,
00:12according to Reuters. The White House issued a new order directing the SEC and other agencies
00:17to increase oversight of proxy advisory firms, institutional shareholder services, and Glass
00:22Lewis. Trump said the firms use their influence to advance politically motivated agendas,
00:27including environmental and social priorities, at the expense of shareholder returns.
00:33Shareholders use proxy measures to push for accountability on issues like executive pay
00:37and board oversight, but Trump's order could reduce that influence by making proxy campaigns
00:42more difficult. Business trade groups praised the order, saying it would reduce political
00:47influence in corporate decision making. For all things money, visit Benzinga.com.
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