Canadian Big Banks Adopt First Proxy Access Policies: Is Proxy Access A Solution In Need Of A Problem?

Two of Canada's largest banks – Toronto-Dominion Bank (TD Bank) and Royal Bank of Canada (RBC) – are the first public companies in Canada to adopt proxy access policies. The move comes after dialogue with their respective shareholder bases both before and after their 2017 annual general shareholders' meetings (AGMs) at which shareholders had supported (to varying degrees of success) shareholder proposals asking the banks to adopt proxy access bylaws to facilitate shareholders' nominations of directors. Proxy access has now arrived in Canada, at least for big banks. However, many continue to question the necessity or appropriateness of proxy access in Canada, suggesting that for most public companies proxy access may be a solution in need of a problem.