Padma Venkat, CFA, is former director of capital markets policy at CFA Institute. She is responsible for promoting CFA Institute standards, policies, and positions in the Asia-Pacific region.
CFA Institute and Indian Association of Investment Professionals release guide to help investors exercise rights at shareholder meetings.
The OECD recently released a corporate governance working paper on “Institutional Investors as Owners: Who Are They and What Do They Do?” The paper has been written from a public policy perspective and considers the role of ownership engagement in effective capital allocation and monitoring of corporate performance.
Need to address product suitability and fair treatment in reforms aimed at protecting unsophisticated investors.
I was at the Court of Final Appeal in Hong Kong on 30 April to witness the SFC win over Tiger Asia Management LLC in a landmark ruling. In dismissing Tiger Asia’s appeal, the court upheld the SFC’s right to seek remedial orders and injunctions in relation to the insider dealing case.
“While exchanges have a responsibility to provide fair and equal access to all market participants without violating public interest responsibility, they are dependent on a responsible financial ecosystem of lawyers, consultants, advisers, accountants, and managers of listed companies to avoid fraud by listed companies,” TMX Group CEO Thomas Kloet said recently at a program on “The Future of Exchanges.”
At the recent “Mis-selling of Financial Products: Investor Rights and Protection Forum” in Hong Kong, regulatory experts, lawyers, and investment professionals discussed the scope and limitations of recent regulations and measures, addressing investor rights and responsibilities.
Regulators are stepping in to fill the ethical void. Indeed, the Monetary Authority of Singapore (MAS) and Stock Exchange Board of India (SEBI) have resorted to strict rules to regulate the behavior of financial professionals and investment advisers. Singapore’s Financial Advisory Industry Review (FAIR) Panel report was released on 16 January while SEBI recently published new Investment Advisers Regulations.
Regulators including the Stock Exchange Board of India (SEBI) and Reserve Bank of India (RBI) have set themselves on a fast pace of reforms to improve corporate governance practices.
The spate of financial scandals across the globe in recent years has caused a tectonic shift in corporate board accountability for better oversight and risk governance processes to identify and manage risk. Padma Venkat, CFA, examines recent developments in Asia.
Indian’s economic journey may best be described as “Capindialism,” in which profits are controlled not by institutional shareholders but mainly by the state and /or by entrepreneurs and their descendants. This, coupled with the country’s rapid economic growth, has created a plethora of unusual problems for regulators there.