Directors recognize that balancing the pressure for short-term results with a focus on long-term value creation requires the board to have good relationships with the company’s largest shareholders. The majority of directors has become more comfortable with direct investor communications around corporate governance issues like executive compensation and board composition. Boards have also made significant strides in establishing protocols and practices to structure their communications with investors. In some cases, they are embracing direct communications with potential or current activists.
PwC’s 2016 Annual Corporate Directors Survey
Director engagement with shareholders is the new normal, with more than half of directors saying their boards engage directly with their investors. But some directors aren’t convinced engagement is always worth their while.
Director-shareholder engagement: the new imperatives
Investors expect a new approach to engagement—one that covers important topics, meets their needs, and often involves directors. PwC’s Governance Insights Center explains in a new publication.
ProxyPulse: 2016 Proxy Season Review
PwC and Broadridge provide insights into the voting behavior of shareholders and discuss key corporate governance trends of interest to management teams and boards of directors.
Director-Shareholder Insights: Is cash burning a hole in your pocket?
How should directors and shareholders consider the impact of share repurchases and dividends on long-term value creation? This new publication addresses this issue.
Boards, shareholders, and executive pay
Increasingly, boards are reaching out to shareholders about executive compensation. In the first edition of our new Executive Compensation Series co-authored with Cleary Gottlieb, we explore why shareholder engagement is important, and how boards can do it best.