tag:blogger.com,1999:blog-7004769.post112634781268671356..comments2024-02-21T19:17:51.003+11:00Comments on Ari on the web: Shareholder democracyAri Sharphttp://www.blogger.com/profile/06077102567908140945noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-7004769.post-1126572375479352392005-09-13T10:46:00.000+10:002005-09-13T10:46:00.000+10:00Mr Lefty goes a bit far suggesting that super fund...Mr Lefty goes a bit far suggesting that super funds vote themselves bigger payrises. <BR/><BR/>Seriously, I see stuff like that and all I can think of is the satirical speech from "Tim Robbins" in "Team America";<BR/><BR/><I>"And the corporations act all... corporationy"</I><BR/><BR/>Please use the other side of the mind occasionally. <BR/><BR/>Not all insto's are out there voting blindly in favour of everything. Unfortunately, yes, many are. And yes, often, insto's do control the majority of the "free float" in a given company (meaning those nto already controlled by company founders or other long term holders you'll find identified in your average prospectus or annual report). <BR/><BR/>So shareholder democracy, on an individual or "mums and dads" shareholder level at least, is a furphy.<BR/><BR/>However I would encourage anyone with money with an insitutional investor, which, thanks to Super, is damn near everyone, to contact that body and ask them for thier proxy voting record, and where you do not agree with that record, make the point known. <BR/><BR/>The Investment and Financial Services Association (IFSA) publishes a number of Standards that are compulsory for membership. IFSA Standard 13.0 requires the publication of a company's proxy voting policy and record.<BR/><BR/>I think the standard is rather weak, in that is is more quantitative than qualitative (number of resolutions for and against, rather than reasons), but it is at least a step in the right direction.<BR/><BR/>And Steve - you have the right to manage your own super and avoid the management fees, so by all means enjoy.<BR/><BR/>Tk.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7004769.post-1126411970796200352005-09-11T14:12:00.000+10:002005-09-11T14:12:00.000+10:00Is it an appropriate use of comments to point out ...Is it an appropriate use of comments to point out spelling errors? (yes, spelling errors, no deflection of guilt by attempting to label them "typos")<BR/><BR/>MrLefty, you have a strong point about the use of superannuation money, but the misuse of it does not stop with mere payrises.<BR/><BR/>The compulsory super scheme is a rort, & should be scrapped or at the least brutally overhauled.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7004769.post-1126390404307656082005-09-11T08:13:00.000+10:002005-09-11T08:13:00.000+10:00I think the main problem is that those large corpo...I think the main problem is that those large corporate share-holders, like the Superannuation funds, almost always control a majority of the shares, making the votes of minor shareholders utterly irrelevant.<BR/><BR/>And it's in the interests of the directors of those corporate shareholders for directors' salaries to be high; and the best way of ensuring that is to make sure that any time a corporate pay rise comes up in the companies in which they have a stake, they vote in favour of it.<BR/><BR/>Essentially, using our superannuation money, the corporate sector keeps voting itself whopping payrises. And there's nothing we can do about it.Jeremyhttps://www.blogger.com/profile/06192828679762836954noreply@blogger.com