E-voting for shareholders to improve convenience, enhance corporate governance

  • Date: 2018-03-05
  • Source: Department of Information Services, Executive Yuan
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Vice Premier Shih Jun-ji on Monday said electronic voting for shareholder meetings will offer shareholders greater convenience, enhance corporate governance, and increase foreign investor confidence in Taiwan’s capital market.

Speaking at an e-voting and corporate value forum, the vice premier said the Taiwan Depository and Clearing Corp. has been pushing shareholder e-voting and corporate governance for more than 10 years, and this year should see the full adoption of e-voting by all listed companies in Taiwan.

The Executive Yuan established a taskforce in 2003 to study corporate governance reform in advanced nations and draft specific action plans for Taiwan. Having promoted corporate governance for more than 15 years, the taskforce continues to roll out reform measures, including stronger independence for boards of directors, formation of functional committees by boards of directors, establishment of corporate governance best-practice principles, wider disclosure of related-party transactions, protection measures for investors, and greater transparency of company information. Among these reforms, shareholder e-voting was pushed for by the Financial Supervisory Commission and the Ministry of Economic Affairs and written into law in 2005 as the legal basis for implementing stockholder e-voting in Taiwan.

Following the examples of other nations, Taiwan issued Stewardship Principles for Institutional Investors in 2016. The Company Act is also under amendment, with stronger corporate governance to be incorporated as a central concept. All of these measures will create a comprehensive regulatory framework that will raise the overall value of Taiwan’s corporations while enhancing their international competitiveness, the vice premier said.