Marc Treviño Quoted in Agenda Article on Compensation-Related Shareholder Proposals

July 28, 2017

On July 28, Marc Treviño was quoted in an article titled “'Near Elimination' of Comp-Related Shareholder Proposals in 2017” published by Agenda, a Financial Times publication. The article outlined the reasons for the decline in compensation-related shareholder proposals in 2017, also citing S&C's 2017 Proxy Season Review, which explained that compensation-related shareholder proposals are less necessary than they were in the past because many of the concerns they addressed are now incorporated into say-on-pay votes. Marc noted that many of these concerns are also now addressed by proxy adviser methodologies that focus on investor concerns. “I think as ISS has gotten more in tune with the investor base, the resonance of some of these [shareholder] proposals has fallen off … either it's being built into ISS's regular process, in which case it sort of flows through the say-on-pay vote, or it isn't and does not resonate with investors,” he said. He also noted that since passing compensation-related proposals is rare and that proponents are only likely to pass a single proposal, proponents are apt to focus on proposals they have a high change of winning. “Proponents are saying, “I got proxy access proposals to fight. I can actually win on a proxy access proposal,” Marc said.