{"id":52834,"date":"2024-12-06T06:17:40","date_gmt":"2024-12-06T11:17:40","guid":{"rendered":"https:\/\/allianceadvisors.com\/?p=52834"},"modified":"2025-03-11T05:29:22","modified_gmt":"2025-03-11T09:29:22","slug":"preparing-for-the-2025-shareholder-meeting-season","status":"publish","type":"post","link":"https:\/\/allianceadvisors.com\/zh-hans\/preparing-for-the-2025-shareholder-meeting-season\/","title":{"rendered":"Preparing for the 2025 Shareholder Meeting Season"},"content":{"rendered":"<div class=\"wpb-content-wrapper\">[vc_row][vc_column]<figure class=\"vcex-image vcex-module wpex-text-center  wpb_animate_when_almost_visible wpb_fadeIn fadeIn\"><div class=\"vcex-image-inner wpex-relative wpex-inline-block\"><img width=\"1200\" height=\"673\" src=\"https:\/\/e4h8grreyn6.exactdn.com\/wp-content\/uploads\/2024\/12\/AdobeStock_745572052.jpg\" class=\"vcex-image-img wpex-align-middle skip-lazy\" alt=\"Preparing for the 2025 Shareholder Meeting Season\" data-no-lazy=\"1\" srcset=\"https:\/\/e4h8grreyn6.exactdn.com\/wp-content\/uploads\/2024\/12\/AdobeStock_745572052.jpg 1200w, https:\/\/e4h8grreyn6.exactdn.com\/wp-content\/uploads\/2024\/12\/AdobeStock_745572052-300x168.jpg 300w, https:\/\/e4h8grreyn6.exactdn.com\/wp-content\/uploads\/2024\/12\/AdobeStock_745572052-1024x574.jpg 1024w, https:\/\/e4h8grreyn6.exactdn.com\/wp-content\/uploads\/2024\/12\/AdobeStock_745572052-768x431.jpg 768w, https:\/\/e4h8grreyn6.exactdn.com\/wp-content\/uploads\/2024\/12\/AdobeStock_745572052.jpg?w=240 240w, https:\/\/e4h8grreyn6.exactdn.com\/wp-content\/uploads\/2024\/12\/AdobeStock_745572052.jpg?w=480 480w, https:\/\/e4h8grreyn6.exactdn.com\/wp-content\/uploads\/2024\/12\/AdobeStock_745572052.jpg?w=960 960w\" sizes=\"(max-width: 980px) 100vw, 980px\"\/><\/div><\/figure>[\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text css=&rdquo;&rdquo;]<span class=\"wpex-text-lg\">With the shareholder meeting season rapidly approaching it is important for companies to be aware of the shifts in <a class=\"glossaryLink cmtt_Corporate Governance Advisory\" aria-describedby=\"tt\" data-cmtooltip=\"&lt;div class=glossaryItemTitle&gt;Corporate Governance&lt;\/div&gt;&lt;div class=glossaryItemBody&gt; The system of rules, practices, processes, and structures by which a company is directed and...&lt;\/div&gt;&lt;div id=&amp;quot;cmtt_related_articles&amp;quot; class=&amp;quot;cmtt_related_articles_wrapper&amp;quot;&gt;&lt;div class=&amp;quot;cmtt_related_title cmtt_related_articles_title&amp;quot;&gt;Related Articles: &lt;\/div&gt;&lt;ul class=&amp;quot;cmtt_related&amp;quot;&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/invictus\/&amp;quot;&gt;Invictus&lt;\/a&gt;&lt;\/li&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/south-korean-consumer-products-company\/&amp;quot;&gt;Case Study: Activism&lt;\/a&gt;&lt;\/li&gt;&lt;\/ul&gt;&lt;\/div&gt;&lt;div class=glossaryTooltipMoreLinkWrapper&gt;&lt;a class=glossaryTooltipMoreLink href=https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/corporate-governance\/ &gt;Read more...&lt;\/a&gt;&lt;\/div&gt;\" data-link=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/corporate-governance\/\" href=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/corporate-governance\/\" data-mobile-support=\"0\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">corporate governance<\/a> trends. To that end companies need to know not only which institutional investors own their stock but also how they behave. For example, do they outsource their voting decisions or are decisions made internally? And if decisions are made in-house which teams own or participate in the voting decision? The investment team or the <a class=\"glossaryLink cmtt_Institutional Shareholder\"  aria-describedby=\"tt\"  data-cmtooltip=\"&lt;div class=glossaryItemTitle&gt;Stewardship&lt;\/div&gt;&lt;div class=glossaryItemBody&gt; The responsible and active oversight of investment holdings by institutional shareholders to...&lt;\/div&gt;&lt;div id=&amp;quot;cmtt_related_articles&amp;quot; class=&amp;quot;cmtt_related_articles_wrapper&amp;quot;&gt;&lt;div class=&amp;quot;cmtt_related_title cmtt_related_articles_title&amp;quot;&gt;Related Articles: &lt;\/div&gt;&lt;ul class=&amp;quot;cmtt_related&amp;quot;&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/invictus\/&amp;quot;&gt;Invictus&lt;\/a&gt;&lt;\/li&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/south-korean-consumer-products-company\/&amp;quot;&gt;Case Study: Activism&lt;\/a&gt;&lt;\/li&gt;&lt;\/ul&gt;&lt;\/div&gt;&lt;div class=glossaryTooltipMoreLinkWrapper&gt;&lt;a class=glossaryTooltipMoreLink href=https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/stewardship\/ &gt;Read more...&lt;\/a&gt;&lt;\/div&gt;\"  data-link=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/stewardship\/\"  href=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/stewardship\/\"  data-mobile-support=\"0\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex='0' role='link'>stewardship<\/a> team?<\/span>\n<p>Also, to muddy the waters even more, which institutions have loaned their stock out thereby reducing their votable share position on <a class=\"glossaryLink\"  aria-describedby=\"tt\"  data-cmtooltip=\"&lt;div class=glossaryItemTitle&gt;Record Date&lt;\/div&gt;&lt;div class=glossaryItemBody&gt; The date established by a company&amp;#039;s board of directors as the cutoff point for determining...&lt;\/div&gt;&lt;div id=&amp;quot;cmtt_related_articles&amp;quot; class=&amp;quot;cmtt_related_articles_wrapper&amp;quot;&gt;&lt;div class=&amp;quot;cmtt_related_title cmtt_related_articles_title&amp;quot;&gt;Related Articles: &lt;\/div&gt;&lt;ul class=&amp;quot;cmtt_related&amp;quot;&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/negative-recommendations-article\/&amp;quot;&gt;How to Manage Negative proxy advisory firm recommendations&lt;\/a&gt;&lt;\/li&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/perception-studies-are-the-foundation-for-effective-targeting\/&amp;quot;&gt;Perception Studies are the Foundation for Effective Targeting&lt;\/a&gt;&lt;\/li&gt;&lt;\/ul&gt;&lt;\/div&gt;&lt;div class=glossaryTooltipMoreLinkWrapper&gt;&lt;a class=glossaryTooltipMoreLink href=https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/record-date\/ &gt;Read more...&lt;\/a&gt;&lt;\/div&gt;\"  data-link=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/record-date\/\"  href=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/record-date\/\"  data-mobile-support=\"0\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex='0' role='link'>record date<\/a>. The effects of institutional investors loaning stock to short sellers are an often-overlooked analysis especially for companies with large short positions in their stock.<\/p>\n<p>To provide an accurate roadmap, Alliance Advisors has outlined 5 key considerations a company must undertake before finalizing their <a class=\"glossaryLink cmtt_Proxy Solicitation\"  aria-describedby=\"tt\"  data-cmtooltip=\"&lt;div class=glossaryItemTitle&gt;Proxy Statement&lt;\/div&gt;&lt;div class=glossaryItemBody&gt; A Proxy Statement is a document filed with regulatory authorities, such as the Securities and...&lt;\/div&gt;&lt;div id=&amp;quot;cmtt_related_articles&amp;quot; class=&amp;quot;cmtt_related_articles_wrapper&amp;quot;&gt;&lt;div class=&amp;quot;cmtt_related_title cmtt_related_articles_title&amp;quot;&gt;Related Articles: &lt;\/div&gt;&lt;ul class=&amp;quot;cmtt_related&amp;quot;&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/south-korean-consumer-products-company\/&amp;quot;&gt;Case Study: Activism&lt;\/a&gt;&lt;\/li&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/2023-proxy-season-preview\/&amp;quot;&gt;2023 Proxy Season Preview&lt;\/a&gt;&lt;\/li&gt;&lt;\/ul&gt;&lt;\/div&gt;&lt;div class=glossaryTooltipMoreLinkWrapper&gt;&lt;a class=glossaryTooltipMoreLink href=https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/proxy-statement\/ &gt;Read more...&lt;\/a&gt;&lt;\/div&gt;\"  data-link=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/proxy-statement\/\"  href=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/proxy-statement\/\"  data-mobile-support=\"0\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex='0' role='link'>proxy statement<\/a>.[\/vc_column_text][\/vc_column][\/vc_row][vc_row css=&rdquo;.vc_custom_1733482559113{padding-bottom: 40px !important;}&rdquo;][vc_column]<style>.vcex-heading.vcex_69d6a5d96cf0e{font-size:var(--wpex-text-3xl);font-weight:600;}<\/style><\/p><h2 class=\"vcex-heading vcex-heading-plain vcex-module wpex-heading wpex-text-2xl wpex-text-left vcex_69d6a5d96cf0e\"><span class=\"vcex-heading-inner wpex-inline-block\">Five Key Steps Companies Should Take Before Launching their Shareholder Meeting<\/span><\/h2><div class=\"vcex-spacing wpex-w-100 wpex-clear\" style=\"height:40px;\"><\/div><style>.vcex-grid-container.vcex_69d6a5d96de59{gap:40px;}<\/style><div class=\"vcex-grid-container vcex-module wpex-grid wpex-gap-20 wpex-grid-cols-1 wpex-lg-grid-cols-1 vcex_69d6a5d96de59\"><style>.vcex-icon-box.vcex_69d6a5d96ede6{background-color:#f4f4f4;}.vcex-icon-box.vcex_69d6a5d96ede6 .vcex-icon-box-heading{font-size:1.23em;font-weight:600;}.vcex-icon-box.vcex_69d6a5d96ede6 .vcex-icon-box-icon{color:#ffffff;background-color:#e1251b;height:50px;}.vcex-icon-box.vcex_69d6a5d96ede6 .vcex-icon-box-symbol{width:50px;}<\/style><div class=\"vcex-module vcex-icon-box vcex-icon-box-one wpex-flex wpex-shadow-xl wpex-py-40 wpex-px-40 wpex-text-left vcex_69d6a5d96ede6\"><div class=\"vcex-icon-box-symbol vcex-icon-box-symbol--icon wpex-flex-shrink-0 wpex-mr-20\"><div class=\"vcex-icon-box-icon wpex-items-center wpex-justify-center wpex-child-inherit-color wpex-text-center wpex-leading-none wpex-flex wpex-w-100 wpex-text-1 wpex-border-solid wpex-border-0 wpex-font-light\">1<\/div><\/div><div class=\"vcex-icon-box-text wpex-flex-grow\"><h3 class=\"vcex-icon-box-heading wpex-heading wpex-mb-10\">Analyze your shareholder base to determine who holds shares and how vote decisions are made<\/h3><div class=\"vcex-icon-box-content wpex-last-mb-0 wpex-clr\"><p>All companies should conduct a regular analysis of their shareholder profile to better understand the institutional and retail shareholders holding the company&rsquo;s stock. In today&rsquo;s business environment, companies need to know on a regular basis who owns their stock.&nbsp; Understanding the voting policies and trends of their investors and how best to engage directly with each of those shareholder constituencies is critical.&nbsp; A <a href=\"https:\/\/allianceadvisors.com\/zh-hans\/%e6%8a%95%e7%a5%a8%e5%be%81%e9%9b%86%e5%92%8c%e8%82%a1%e4%b8%9c%e5%8f%82%e4%b8%8e\/\">shareholder profile<\/a> analysis is the key to accurately understanding who owns your stock.<\/p>\n<p>Once you know who the true institutional shareholders are, your <a class=\"glossaryLink cmtt_Proxy Solicitor\"  aria-describedby=\"tt\"  data-cmtooltip=\"&lt;div class=glossaryItemTitle&gt;Proxy Solicitor&lt;\/div&gt;&lt;div class=glossaryItemBody&gt; A specialized firm retained by a company or shareholder to assist in the solicitation of...&lt;\/div&gt;&lt;div id=&amp;quot;cmtt_related_articles&amp;quot; class=&amp;quot;cmtt_related_articles_wrapper&amp;quot;&gt;&lt;div class=&amp;quot;cmtt_related_title cmtt_related_articles_title&amp;quot;&gt;Related Articles: &lt;\/div&gt;&lt;ul class=&amp;quot;cmtt_related&amp;quot;&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/south-korean-consumer-products-company\/&amp;quot;&gt;Case Study: Activism&lt;\/a&gt;&lt;\/li&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/es\/2024-proxy-season-preview\/&amp;quot;&gt;2024 Proxy Season Preview&lt;\/a&gt;&lt;\/li&gt;&lt;\/ul&gt;&lt;\/div&gt;&lt;div class=glossaryTooltipMoreLinkWrapper&gt;&lt;a class=glossaryTooltipMoreLink href=https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/proxy-solicitor\/ &gt;Read more...&lt;\/a&gt;&lt;\/div&gt;\"  data-link=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/proxy-solicitor\/\"  href=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/proxy-solicitor\/\"  data-mobile-support=\"0\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex='0' role='link'>proxy solicitor<\/a> will help you understand the level of influence the proxy advisory firms, ISS and Glass Lewis, have on your shareholder base and alongside those investors that maintain their own, independent voting policies.&nbsp; This knowledge allows you to determine where to focus your efforts, i.e., if someone strictly adheres to ISS, you may decide it is not worth trying to engage with that investor.<\/p>\n<p>You can also determine if the voting decisions are made by the investment team, the stewardship team, or a combination of the two.&nbsp; In the event of a negative voting recommendation or vote, knowing the right group to target to try and override that voting opposition &nbsp;is critical.&nbsp; In many cases your ongoing <a class=\"glossaryLink cmtt_Institutional Shareholder Engagement\" aria-describedby=\"tt\" data-cmtooltip=\"&lt;div class=glossaryItemTitle&gt;Investor Relations&lt;\/div&gt;&lt;div class=glossaryItemBody&gt; The function within a company responsible for managing communication and relationships with...&lt;\/div&gt;&lt;div id=&amp;quot;cmtt_related_articles&amp;quot; class=&amp;quot;cmtt_related_articles_wrapper&amp;quot;&gt;&lt;div class=&amp;quot;cmtt_related_title cmtt_related_articles_title&amp;quot;&gt;Related Articles: &lt;\/div&gt;&lt;ul class=&amp;quot;cmtt_related&amp;quot;&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/german-shareholder-meeting-review\/&amp;quot;&gt;2023 German shareholder meeting season review&lt;\/a&gt;&lt;\/li&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/annual-equity-plan-replenishments\/&amp;quot;&gt;Navigating Annual Consecutive Equity Plan Replenishments: Data Insights and a Handy Checklist for Companies&lt;\/a&gt;&lt;\/li&gt;&lt;\/ul&gt;&lt;\/div&gt;&lt;div class=glossaryTooltipMoreLinkWrapper&gt;&lt;a class=glossaryTooltipMoreLink href=https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/investor-relations\/ &gt;Read more...&lt;\/a&gt;&lt;\/div&gt;\" data-link=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/investor-relations\/\" href=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/investor-relations\/\" data-mobile-support=\"0\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">investor relations<\/a> relationship can be invaluable, particularly around compensation or corporate action-related proposals.<\/p>\n<\/div><\/div><\/div><style>.vcex-icon-box.vcex_69d6a5d96fb22{background-color:#f4f4f4;}.vcex-icon-box.vcex_69d6a5d96fb22 .vcex-icon-box-heading{font-size:1.23em;font-weight:600;}.vcex-icon-box.vcex_69d6a5d96fb22 .vcex-icon-box-icon{color:#393939;background-color:#f5b335;height:50px;}.vcex-icon-box.vcex_69d6a5d96fb22 .vcex-icon-box-symbol{width:50px;}<\/style><div class=\"vcex-module vcex-icon-box vcex-icon-box-one wpex-flex wpex-shadow-xl wpex-py-40 wpex-px-40 wpex-text-left vcex_69d6a5d96fb22\"><div class=\"vcex-icon-box-symbol vcex-icon-box-symbol--icon wpex-flex-shrink-0 wpex-mr-20\"><div class=\"vcex-icon-box-icon wpex-items-center wpex-justify-center wpex-child-inherit-color wpex-text-center wpex-leading-none wpex-flex wpex-w-100 wpex-text-1 wpex-border-solid wpex-border-0 wpex-font-light\">2<\/div><\/div><div class=\"vcex-icon-box-text wpex-flex-grow\"><h3 class=\"vcex-icon-box-heading wpex-heading wpex-mb-10\">Conduct a Stock Loan Analysis<\/h3><div class=\"vcex-icon-box-content wpex-last-mb-0 wpex-clr\"><p>In today&rsquo;s market of diminishing management fees and intensifying competition, asset managers are placing greater emphasis on identifying alternative sources of revenue. Securities lending has emerged as a key driver, enhancing overall investment advisory and administrative fee income.<\/p>\n<p>Every company should conduct a stock loan analysis to identify the top institutions lending out shares and assess how this impacts the votable share positions ahead of their annual stockholder meeting. This analysis helps ensure accurate understanding of voting dynamics and highlights any potential reductions in voting power caused by this practice.&nbsp; For example, a large institution like Vanguard or Blackrock might report a significant stake in your company&rsquo;s stock. However, since they both actively engage in securities lending, a portion of those shares could be out on loan and are not eligible to vote.&nbsp; This effectively reduces the voting power of that institution on its reported position.&nbsp; This can negatively affect a <a class=\"glossaryLink cmtt_Proxy Solicitation\" aria-describedby=\"tt\" data-cmtooltip=\"&lt;div class=glossaryItemTitle&gt;Proxy solicitation&lt;\/div&gt;&lt;div class=glossaryItemBody&gt; Proxy solicitation is the process of a company seeking votes from its shareholders on corporate...&lt;\/div&gt;&lt;div id=&amp;quot;cmtt_related_articles&amp;quot; class=&amp;quot;cmtt_related_articles_wrapper&amp;quot;&gt;&lt;div class=&amp;quot;cmtt_related_title cmtt_related_articles_title&amp;quot;&gt;Related Articles: &lt;\/div&gt;&lt;ul class=&amp;quot;cmtt_related&amp;quot;&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/2023-proxy-season-preview\/&amp;quot;&gt;2023 Proxy Season Preview&lt;\/a&gt;&lt;\/li&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/2023-u-s-proxy-season-review\/&amp;quot;&gt;2023 U.S. Proxy Season Review&lt;\/a&gt;&lt;\/li&gt;&lt;\/ul&gt;&lt;\/div&gt;&lt;div class=glossaryTooltipMoreLinkWrapper&gt;&lt;a class=glossaryTooltipMoreLink href=https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/proxy-solicitation\/ &gt;Read more...&lt;\/a&gt;&lt;\/div&gt;\" data-link=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/proxy-solicitation\/\" href=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/proxy-solicitation\/\" data-mobile-support=\"0\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">proxy solicitation<\/a> campaign, as the anticipated number of votes may be significantly reduced, requiring efforts to secure additional votes from other investors.&nbsp; To be effective, this type of analysis should be done on a regular basis and well prior to a meeting&rsquo;s record date.<\/p>\n<\/div><\/div><\/div><style>.vcex-icon-box.vcex_69d6a5d970745{background-color:#f4f4f4;}.vcex-icon-box.vcex_69d6a5d970745 .vcex-icon-box-heading{font-size:1.23em;font-weight:600;}.vcex-icon-box.vcex_69d6a5d970745 .vcex-icon-box-icon{color:#ffffff;background-color:#393939;height:50px;}.vcex-icon-box.vcex_69d6a5d970745 .vcex-icon-box-symbol{width:50px;}<\/style><div class=\"vcex-module vcex-icon-box vcex-icon-box-one wpex-flex wpex-shadow-xl wpex-py-40 wpex-px-40 wpex-text-left vcex_69d6a5d970745\"><div class=\"vcex-icon-box-symbol vcex-icon-box-symbol--icon wpex-flex-shrink-0 wpex-mr-20\"><div class=\"vcex-icon-box-icon wpex-items-center wpex-justify-center wpex-child-inherit-color wpex-text-center wpex-leading-none wpex-flex wpex-w-100 wpex-text-1 wpex-border-solid wpex-border-2 wpex-font-light\">3<\/div><\/div><div class=\"vcex-icon-box-text wpex-flex-grow\"><h3 class=\"vcex-icon-box-heading wpex-heading wpex-mb-10\">Check whether a director may be vulnerable to a negative vote<\/h3><div class=\"vcex-icon-box-content wpex-last-mb-0 wpex-clr\"><p>Conduct a review of your <a class=\"glossaryLink cmtt_AGM (Annual General Meeting) and EGM (Extraordinary General Meeting)\" aria-describedby=\"tt\" data-cmtooltip=\"&lt;div class=glossaryItemTitle&gt;Institutional Investor&lt;\/div&gt;&lt;div class=glossaryItemBody&gt; A professional investor or organization that invests large sums of money in financial markets...&lt;\/div&gt;&lt;div id=&amp;quot;cmtt_related_articles&amp;quot; class=&amp;quot;cmtt_related_articles_wrapper&amp;quot;&gt;&lt;div class=&amp;quot;cmtt_related_title cmtt_related_articles_title&amp;quot;&gt;Related Articles: &lt;\/div&gt;&lt;ul class=&amp;quot;cmtt_related&amp;quot;&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/south-korean-consumer-products-company\/&amp;quot;&gt;Case Study: Activism&lt;\/a&gt;&lt;\/li&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/2024-proxy-season-preview\/&amp;quot;&gt;2024 Proxy Season Preview&lt;\/a&gt;&lt;\/li&gt;&lt;\/ul&gt;&lt;\/div&gt;&lt;div class=glossaryTooltipMoreLinkWrapper&gt;&lt;a class=glossaryTooltipMoreLink href=https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/institutional-investor\/ &gt;Read more...&lt;\/a&gt;&lt;\/div&gt;\" data-link=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/institutional-investor\/\" href=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/institutional-investor\/\" data-mobile-support=\"0\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">institutional investor<\/a>&rsquo;s <a class=\"glossaryLink cmtt_Shareholder Vote Projection\" aria-describedby=\"tt\" data-cmtooltip=\"&lt;div class=glossaryItemTitle&gt;Voting Guidelines&lt;\/div&gt;&lt;div class=glossaryItemBody&gt; Criteria and principles used by institutional investors and proxy advisory firms to evaluate...&lt;\/div&gt;&lt;div id=&amp;quot;cmtt_related_articles&amp;quot; class=&amp;quot;cmtt_related_articles_wrapper&amp;quot;&gt;&lt;div class=&amp;quot;cmtt_related_title cmtt_related_articles_title&amp;quot;&gt;Related Articles: &lt;\/div&gt;&lt;ul class=&amp;quot;cmtt_related&amp;quot;&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/the-importance-of-pre-agm-shareholder-engagement-cornerstone-practices-for-greater-china-2023\/&amp;quot;&gt;The Importance of Pre-AGM Shareholder Engagement Cornerstone Practices for Greater China 2023&lt;\/a&gt;&lt;\/li&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/2023-proxy-season-preview\/&amp;quot;&gt;2023 Proxy Season Preview&lt;\/a&gt;&lt;\/li&gt;&lt;\/ul&gt;&lt;\/div&gt;&lt;div class=glossaryTooltipMoreLinkWrapper&gt;&lt;a class=glossaryTooltipMoreLink href=https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/voting-guidelines\/ &gt;Read more...&lt;\/a&gt;&lt;\/div&gt;\" data-link=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/voting-guidelines\/\" href=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/voting-guidelines\/\" data-mobile-support=\"0\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">voting guidelines<\/a> to determine if a director nominee(s) will run afoul on issues such as gender diversity, being over-boarded, or lacking sufficient disclosure.&nbsp; By doing so, you will help mitigate potential surprises well before the voting starts.&nbsp; It will also give you the opportunity to inform your board about any potential concerns.&nbsp; In addition to proxy policy votes against directors, many shareholders are increasingly using an against vote on directors to affect change.<\/p>\n<p>Communication is key.&nbsp; Companies who regularly engage with their investors are ultimately the most successful at preventing or navigating voting opposition to their directors and other important ballot items.<\/p>\n<\/div><\/div><\/div><style>.vcex-icon-box.vcex_69d6a5d97133a{background-color:#f4f4f4;}.vcex-icon-box.vcex_69d6a5d97133a .vcex-icon-box-heading{font-size:1.23em;font-weight:600;}.vcex-icon-box.vcex_69d6a5d97133a .vcex-icon-box-icon{color:#ffffff;background-color:#e1251b;height:50px;}.vcex-icon-box.vcex_69d6a5d97133a .vcex-icon-box-symbol{width:50px;}<\/style><div class=\"vcex-module vcex-icon-box vcex-icon-box-one wpex-flex wpex-shadow-xl wpex-py-40 wpex-px-40 wpex-text-left vcex_69d6a5d97133a\"><div class=\"vcex-icon-box-symbol vcex-icon-box-symbol--icon wpex-flex-shrink-0 wpex-mr-20\"><div class=\"vcex-icon-box-icon wpex-items-center wpex-justify-center wpex-child-inherit-color wpex-text-center wpex-leading-none wpex-flex wpex-w-100 wpex-text-1 wpex-border-solid wpex-border-0 wpex-font-light\">4<\/div><\/div><div class=\"vcex-icon-box-text wpex-flex-grow\"><h3 class=\"vcex-icon-box-heading wpex-heading wpex-mb-10\">If you are presenting a new equity plan or amending an existing plan do your homework well in advance of filing the proxy statement<\/h3><div class=\"vcex-icon-box-content wpex-last-mb-0 wpex-clr\"><p>In addition to your <a href=\"https:\/\/allianceadvisors.com\/zh-hans\/%e6%8a%95%e7%a5%a8%e5%be%81%e9%9b%86%e5%92%8c%e8%82%a1%e4%b8%9c%e5%8f%82%e4%b8%8e\/\">shareholder analysis<\/a>, review the factors that shareholders and the <a href=\"https:\/\/allianceadvisors.com\/zh-hans\/%e4%bb%a3%e7%90%86%e5%90%8e%e5%8b%a4%e5%92%8c%e8%99%9a%e6%8b%9f%e8%82%a1%e4%b8%9c%e4%bc%9a%e8%ae%ae\/\">proxy advisory firms<\/a> use to evaluate equity plans such as burn rate and overall voting power dilution.&nbsp; It is important to compare these factors to the voting policies of your top investors and the proxy advisory firms.&nbsp; &nbsp; In addition to more quantitative metrics, investors also look at a plan&rsquo;s qualitative features.&nbsp; For example, is the plan broad-based or does the plan have an evergreen provision?&nbsp; Provide a narrative around the why your compensation programs are effective and work well at your company to enhance shareholder value. &nbsp;In addition, include context around the business strategy and how your compensation programs drive the company forward.&nbsp; This will help you maximize the chances of a successful voting outcome.<\/p>\n<\/div><\/div><\/div><style>.vcex-icon-box.vcex_69d6a5d971fc2{background-color:#f4f4f4;}.vcex-icon-box.vcex_69d6a5d971fc2 .vcex-icon-box-heading{font-size:1.23em;font-weight:600;}.vcex-icon-box.vcex_69d6a5d971fc2 .vcex-icon-box-icon{color:#393939;background-color:#f5b335;height:50px;}.vcex-icon-box.vcex_69d6a5d971fc2 .vcex-icon-box-symbol{width:50px;}<\/style><div class=\"vcex-module vcex-icon-box vcex-icon-box-one wpex-flex wpex-shadow-xl wpex-py-40 wpex-px-40 wpex-text-left vcex_69d6a5d971fc2\"><div class=\"vcex-icon-box-symbol vcex-icon-box-symbol--icon wpex-flex-shrink-0 wpex-mr-20\"><div class=\"vcex-icon-box-icon wpex-items-center wpex-justify-center wpex-child-inherit-color wpex-text-center wpex-leading-none wpex-flex wpex-w-100 wpex-text-1 wpex-border-solid wpex-border-0 wpex-font-light\">5<\/div><\/div><div class=\"vcex-icon-box-text wpex-flex-grow\"><h3 class=\"vcex-icon-box-heading wpex-heading wpex-mb-10\">Don&rsquo;t forget your retail investors<\/h3><div class=\"vcex-icon-box-content wpex-last-mb-0 wpex-clr\"><p>Even if retail investors do not represent a sizable percentage of your shareholder base, they can be a source of voting support when &nbsp;you&rsquo;re faced with a challenging vote.&nbsp; Our experience shows that in a close vote, <a href=\"https:\/\/allianceadvisors.com\/zh-hans\/%e9%9b%b6%e5%94%ae%e5%8f%82%e4%b8%8e\/\">retail shareholders<\/a> who have been solicited by a proxy solicitor, will be the difference maker that pushes a proposal over the finish line.<\/p>\n<p>It would not be unusual to see a 10 percent against vote on a controversial proposal.&nbsp; To overcome that 10 percent, you would need about 30 percent (3 to 1 ratio) of the outstanding shares represented in registered and NOBO shares to bridge the gap. When solicited by a proxy solicitation agent, retail votes generally come in supporting management at a 9 to 1 ratio.<\/p>\n<p><a href=\"https:\/\/allianceadvisors.com\/zh-hans\/%e6%8a%95%e7%a5%a8%e5%be%81%e9%9b%86%e5%92%8c%e8%82%a1%e4%b8%9c%e5%8f%82%e4%b8%8e\/\">Shareholder meetings<\/a> are no longer a routine, three-month event. Companies need to prepare well in advance with their proxy solicitor to ensure proper <a class=\"glossaryLink cmtt_Institutional Shareholder Engagement\" aria-describedby=\"tt\" data-cmtooltip=\"&lt;div class=glossaryItemTitle&gt;Shareholder Engagement&lt;\/div&gt;&lt;div class=glossaryItemBody&gt; The process of establishing and maintaining communication and relationships between...&lt;\/div&gt;&lt;div id=&amp;quot;cmtt_related_articles&amp;quot; class=&amp;quot;cmtt_related_articles_wrapper&amp;quot;&gt;&lt;div class=&amp;quot;cmtt_related_title cmtt_related_articles_title&amp;quot;&gt;Related Articles: &lt;\/div&gt;&lt;ul class=&amp;quot;cmtt_related&amp;quot;&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/%e8%81%94%e7%b3%bb%e6%96%b9%e5%bc%8f\/&amp;quot;&gt;&#32852;&#31995;&#26041;&#24335;&lt;\/a&gt;&lt;\/li&gt;&lt;li class=&amp;quot;cmtt_related_item&amp;quot;&gt;&lt;a href=&amp;quot;https:\/\/allianceadvisors.com\/zh-hans\/south-korean-consumer-products-company\/&amp;quot;&gt;Case Study: Activism&lt;\/a&gt;&lt;\/li&gt;&lt;\/ul&gt;&lt;\/div&gt;&lt;div class=glossaryTooltipMoreLinkWrapper&gt;&lt;a class=glossaryTooltipMoreLink href=https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/shareholder-engagement\/ &gt;Read more...&lt;\/a&gt;&lt;\/div&gt;\" data-link=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/shareholder-engagement\/\" href=\"https:\/\/allianceadvisors.com\/zh-hans\/glossary-index\/shareholder-engagement\/\" data-mobile-support=\"0\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">shareholder engagement<\/a> and shareowner analysis campaigns have been conducted.<\/p>\n<p>With the help of a proxy solicitor, it is possible for companies to know their shareholders, understand their voting patterns, and correctly forecast the voting outcome before the proxy statement is even released.<\/p>\n<\/div><\/div><\/div><\/div>[\/vc_column][\/vc_row]\n<\/div>","protected":false},"excerpt":{"rendered":"<p>Five Key Steps Companies Should Take Before Launching Their Shareholder Meeting<\/p>\n","protected":false},"author":56,"featured_media":52840,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[229],"tags":[],"post_series":[],"ppma_author":[677],"class_list":["post-52834","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-zh-hans","entry","has-media"],"authors":[{"term_id":677,"user_id":56,"is_guest":0,"slug":"p-casey","display_name":"Pete Casey","avatar_url":"https:\/\/secure.gravatar.com\/avatar\/d1f9f5d32f2b2ceaec8dd0a18c5b5387266384381b5391b8cf3f4c2ecabb7031?s=96&d=mm&r=g","0":null,"1":"","2":"","3":"","4":"","5":"","6":"","7":"","8":""}],"_links":{"self":[{"href":"https:\/\/allianceadvisors.com\/zh-hans\/wp-json\/wp\/v2\/posts\/52834","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/allianceadvisors.com\/zh-hans\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/allianceadvisors.com\/zh-hans\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/allianceadvisors.com\/zh-hans\/wp-json\/wp\/v2\/users\/56"}],"replies":[{"embeddable":true,"href":"https:\/\/allianceadvisors.com\/zh-hans\/wp-json\/wp\/v2\/comments?post=52834"}],"version-history":[{"count":6,"href":"https:\/\/allianceadvisors.com\/zh-hans\/wp-json\/wp\/v2\/posts\/52834\/revisions"}],"predecessor-version":[{"id":54068,"href":"https:\/\/allianceadvisors.com\/zh-hans\/wp-json\/wp\/v2\/posts\/52834\/revisions\/54068"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/allianceadvisors.com\/zh-hans\/wp-json\/wp\/v2\/media\/52840"}],"wp:attachment":[{"href":"https:\/\/allianceadvisors.com\/zh-hans\/wp-json\/wp\/v2\/media?parent=52834"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/allianceadvisors.com\/zh-hans\/wp-json\/wp\/v2\/categories?post=52834"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/allianceadvisors.com\/zh-hans\/wp-json\/wp\/v2\/tags?post=52834"},{"taxonomy":"post_series","embeddable":true,"href":"https:\/\/allianceadvisors.com\/zh-hans\/wp-json\/wp\/v2\/post_series?post=52834"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/allianceadvisors.com\/zh-hans\/wp-json\/wp\/v2\/ppma_author?post=52834"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}