View more on these topics

Fund firms back a voluntary code

Fund managers have moved to head off the Government’s threat to force institutional investors to reveal how they vote at company meetings by drawing up their own voluntary code of practice.

Treasury Economic Secretary Ed Balls said in a speech t the London Business School last week, that the Institutional Shareholders’ Committee, which represents leading investment and pension fund managers, had agreed to devise a code that will see its members disclose how they voted or explain why.

Balls said: “These changes represent real progress but more can certainly be done, for example, to further strengthen shareholder engagement and the effectiveness of trustee decision-making.”

The Government acquired the powers to enforce disclosure under the recent Companies Act. However, the Investment Management Association has slammed the move, saying it will add to fund managers’ costs and increasing numbers of its members are now disclosing their voting.

Shareholder activism from leading fund managers, including Fidelity and Legal & General, has blocked various board appointments, pay deals and takeover plans at blue-chip companies including ITV, Marks & Spencer and GlaxoSmithKline, among others in recent years.

An IMA spokesman says: “It should remain a voluntary system. Managers have already begun to disclose their votes anyway, with more announcing that they plan to do so on their websites.

“Disclosure is costly, as it can be a prolonged process to ensure a managers’ vote is cast. They need to be passed down through lots of channels from the custodian to the registrar, and there is often an issue of lost manager votes.

“More important, it can also create conflict within a company as the majority of a group may vote against the manager of that company, which could bring out a potential conflict that may not be there.”


Law firms Irwin Mitchell and Golds to merge

Law firms Irwin Mitchell and Golds are set to merge with effect from April 1, 2007. The new firm will be known as Irwin Mitchell, which says it will now be the largest, most diverse supplier of commoditised legal services in the UK.Irwin Mitchell specialises in the provision of commoditised legal services in the insurance […]

It’s good to talk

The protection market must think beyond price so advisers can communicate with clients.

Portman sends out 1.2 million packs for April’s merger vote

Portman Building Society is distributing 1.2 million information packs detailing its proposed merger with Nationwide in preparation for members’ vote on the deal.Savers and borrowers will begin to receive their merger packs from mid-March and will be able to vote at the AGM on April 23.Eligible members are set to receive a merger bonus of […]

Mark Page: “A good time to be a European fund manager”

With European markets picking up in early 2015, Mark Page, Artemis European Opportunities Fund manager, discusses the ‘macro’ drivers and whether the improvements are sustainable. Largely driven by economic stimulus by the European Central Bank, European stockmarkets have performed strongly so far in 2015. Mark discusses the relative merits and sustainability of ECB policy with […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm