As Veritas reported in their compensation newsletter 115 institutional investors, 17 advisers to companies and 270 corporate issuers participated in this survey.
A brief synopsis of the results:
- Adding other metrics to TSR to measure pay-for-performance was strongly put forth. ISS is moving to adopt other metrics for evaluation.
- Director tenure – an issue with a need to also look at board refreshment.
- Strong support for annual say-on-pay frequency.
- Majority of institutional investors opposed to new public companies with dual class stock or multiple-class structures.
- Unhappy with directors that take advantage of Maryland law.
Overboarding for non-CEO executive chairs limited to three boards.
Clearly, the focus on the board is being highlighted. This may become a problem in finding qualified directors working to serve under increasing scrutiny.
From Your Friends at Laurel Hill
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