AGM season 2019 – Market Tracker Trend Report

AGM season 2019 – Market Tracker Trend Report

This Market Tracker Trend Report examines the latest market practice and trends emerging from the FTSE 350 annual general meeting (AGM) season 2019.

Highlights in the report include:

  • an in-depth look at board diversity statistics and disclosures, encompassing both gender and ethnicity
  • an assessment of significant shareholder opposition to resolutions and the development of public disclosures regarding shareholder dissent following the implementation of the Investment Association’s public register in December 2017
  • a summary of market practice regarding Brexit disclosures, and
  • a first look at the early compliers with new regulations relating to CEO pay ratio reporting, stakeholder engagement and workforce engagement mechanism

Click here to download the report

Key findings of our research include:

  • progress continues in improving gender diversity in the boardroom, 34% of FTSE 350 companies meet the 2020 33% target set by the Davies Five Year Summary and the Hampton-Alexander Review and there was a reduction of the number of FTSE 350 companies with all-male boards (from five in 2018 to two this season)
  • less progress has been made in relation to women appointed to executive board roles: 81% of FTSE 350 companies did not have any female directors on board
  • ethnic diversity disclosures were made by 77% of FTSE 350 companies (up from 36% in the 2018 AGM season), but only 5% of companies meet the Parker Review recommendation to have one director of colour on board by 2021, and
  • there was a slight reduction in the level of shareholder dissent across the FTSE 350 (with 24% of companies receiving significant opposition against one or more resolution at the AGM, compared to 25% in the previous AGM season)

This report includes expert commentary from Will Chalk, Partner and Head of Corporate Governance at Addleshaw Goddard LLP, Edward Craft, Corporate Partner at Wedlake Bell LLP, Jonathan Fletcher Rogers, Partner and Head of the Employee Incentives Team at Addleshaw Goddard LLP, Richard Preston, Managing Associate, Governance and Compliance, Addleshaw Goddard LLP, Tom Proverbs-Garbett, Senior Associate, Pinsent Masons LLP, Peter Swabey, Policy & Research Director at The Chartered Governance Institute (formerly named ICSA: The Governance Institute) and Martin Webster, Corporate Finance Partner, Pinsent Masons LLP.

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Market Tracker is a unique service for corporate lawyers housed within Lexis®PSL Corporate. It features a powerful transaction data analysis tool for accessing, analysing and comparing the specific features of corporate transactions, with a comprehensive and searchable library of deal documentation across 14 different deal types. The Market Tracker product also includes news and analysis of key corporate deals and activity and in-depth analysis of recent trends in corporate transactions.