CSA Invite Comments On Regulating Proxy Advisory Firms

The Canadian Securities Administrators (the CSA) have requested comments from market participants on concerns raised about services provided by proxy advisory firms (such as Institutional Shareholder Services Inc. (ISS)), and their impact on Canadian capital markets and to determine if, and how, these concerns, should be addressed by Canadian securities regulators.

This consultation provides an opportunity to Canadian public company issuers which have concerns regarding their interactions with proxy advisory firms, notably ISS, with respect to voting recommendations provided by ISS on issuers' governance matters such as the election of directors, approval of stock plans, and approval of M&A transactions, to comment to the Canadian securities regulators on whether, and how, proxy advisory firms such as ISS should be regulated.