Large EU-registered investment managers are expected be required to provide detailed breakdowns of their voting behaviour at portfolio companies by the end of this year.
This will include listing the proportion of voting rights held in portfolio companies where a manager has more than 5% voting rights, thematic breakdowns of votes over the past reporting year, usage of proxy advisors and information on a manager’s voting guidelines.
The disclosure rules are set out in draft regulatory technical standards, published today by the European Banking Authority (EBA), specifying the information that investment firms will need to publicise to comply with the EU’s new prudential regime which began in June.
The final draft RTS has been submitted to the European Commission for adoption, and the rules also need to be approved by the European Parliament and Council of member states. The first disclosure date will be 31 December 2021, the EBA said.…