How French asset managers exercise voting rights
The Association Française de la Gestion Financière (AFG), the French asset management association, has published a survey on the exercise of voting rights at general meetings of shareholders by asset management companies based in France.
Among its main findings, the research reports an increase in the number of participations to general meetings.
“Reflecting portfolio diversification, general meetings of foreign issuers now account for 80% of meetings’ participations by asset management companies,” the survey highlights.
Also, voting practices point to stronger engagement by asset managers. The study reveals that asset management companies rejected one-fifth of proposed resolutions. In 2014, they have voted at least one “no” at over 75% of French general meetings and at 60% of foreign general meetings.
The survey points out that general meetings highlight gaps between issuers’ strategies and management companies’ voting policies.
Finally, the majority of asset managers surveyed feel that the quality of dialogue on governance is improving, particularly with French issuers.
The full report is available here : 2014_04_07_appendix_Survey_Voting_Mancos_France_2014