Carl Icahn urges U.S. SEC to 'rethink' proposed rule change for proxy advisers
Reuters
Published Nov 18, 2019 08:31PM ET
Carl Icahn urges U.S. SEC to 'rethink' proposed rule change for proxy advisers
(Reuters) - Billionaire activist investor Carl Icahn on Monday urged the U.S. Securities Exchange Commission (SEC) to rethink a proposed rule change for proxy adviser firms, saying it would make activist investing "even more difficult and expensive to practice."
The SEC earlier this month put forward new rules that would require proxy adviser firms to give companies a chance to review proxy materials before they are sent to shareholders.
"I believe the current proposal - which would subject proxy advisory firms to onerous regulations - is a dangerous misstep that will have disastrous repercussions for the U.S. economy," Icahn wrote in an opinion piece for The Wall Street Journal.(https://on.wsj.com/2Qxjvlm)
"This odd arrangement would allow corporations to interfere with advisers' research - a recipe for disaster," Icahn wrote, asking the regulator to "rethink" the proposal.
Proxy advisory firms tell investors how to vote on governance issues in corporate elections and cast ballots on behalf of some asset managers. The role of proxy advisers has gained more attention in recent years as the firms have become more influential.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.