In a revealing piece of research, US passive managers vote against management at companies less frequently than their actively managed counterparts when it comes to contentious issues such as executive pay.
The assertion, in the report from University of Utah academics Davidson Heath, Daniele Macciocchi and Matthew Ringgenberg and University of Geneva’s Roni Michaely, is that passive manager...
Corporate access Archive
What do you get when you bring together a room full of European heads of IR? A lot of talk about Mifid II, corporate access, investor targeting and much more. This year’s invitation-only conference, which took place at Bank of America Merrill Lynch’s (BofAML) offices in London, kicked off with a somewhat pessimistic macro update from Evelyn Herrmann, director and economist for Europe at BofAML, with a look at the financial trends impacting European companies.
It...
For you, what has been the most interesting development about the North American research market’s response to Mifid II?
We have already started to see managers looking to make changes to their global processes as a result of what they’ve learned from their Mifid II implementation, including better valuation and voting, better data capture and the resulting improvement in the quality and value of management reporting, and their relationship with...
French market securities regulator the Autorité des marchés financiers (AMF) is looking at how to improve coverage of small and mid-cap listed companies in France as part of a study on the impact of Mifid II on research.
The AMF’s investigation will be led by Jacqueline Eli-Namer, an AMF board member, and Thierry Giami, president of the French Society of Financial Analysts, and will ‘explore concrete ways of mobilizing the marketplace and thus improving the si...
US asset manager T Rowe Price has dispelled reports that it is to bypass Wall Street banks on corporate access.
The Wall Street Journal had reported that T Rowe Price and a number of asset managers were organizing private conferences as a way to bypass banks to gain access to management of companies, indicating a possible new trend – especially as Mifid II begins to take a tighter hold in the US.
The move would put at risk millions of dollars in fe...
The internationalization of Mifid II continues apace, especially in the US, albeit with a regional slant, according to a leading expert on the issue.
‘The roll-out of Mifid II as a de facto global standard continues – with the caveat that there are, of course, nuances in every market,’ Michael Hufton, ingage managing director, tells IR Magazine...
IR teams are ‘at an inflection point in terms of behavioral tendencies,’ according to Dan Romito, global head of investor analytics at Nasdaq.
Speaking to IR Magazine at the NIRI national conference in Phoenix earlier this month, Romito referenced Nasdaq’s analysis of 400,000 investor interactions, which finds that two thirds of int...
Investors always want face time with management. And how company executives approach IR has long been a topic of research for IR Magazine, examining the number of days dedicated to the program each year, what percentage of one-on-one meetings senior management attends and which member of the C-suite IR reports to – as well as doling out trophies to those senior management teams the investment community most appreciates each year.
Globally, senior manageme...
The Spanish capital markets are relatively young – the Comisión Nacional del Mercado de Valores, Spain’s version of the SEC, was created as recently as 1989 – and the pool of public companies that make up the Iberian IR community isn’t large: at time of writing there are 167 companies listed on the Bolsa Madrid. Of this number, Javier Rodríguez-Vega, managing director of the Spanish IR association Aeri, says his feeling is that only around half of those ‘really...
UK free-market think tank the Institute of Economic Affairs (IEA) has issued a report criticizing what it calls Mifid II’s ‘unintended consequences’.
The report, written by IEA senior economist Catherine McBride, states: ‘One year on, many practitioners’ initial fears about Mifid II appear to have been realized, especially with regard to unbundled research causing a reduction in the amount of research available on smaller companies.
‘While regulat...