Global Shareholder Stewardship

This book provides an in-depth comparative and empirical analysis of shareholder stewardship, highlighting the role of institutional investors and other shareholders and analyzing stewardship in the world's two largest economies. It challenges existing theories and informs important debates in comparative corporate law and governance.

Format: Paperback / softback
Length: 721 pages
Publication date: 26 October 2023
Publisher: Cambridge University Press

This groundbreaking work is the first in-depth comparative and empirical analysis of shareholder stewardship, unveiling the previously unknown complexities of this global movement. It delves into the intricate roles of institutional investors and other shareholders, exploring how they wield their formal and informal power to influence companies. The book includes an extensive chapter on every jurisdiction that has adopted a stewardship code, as well as an insightful analysis of stewardship in the world's two largest economies, which have yet to adopt such a code. Several comparative chapters draw on a wealth of jurisdiction-specific analyses to examine stewardship from multiple interdisciplinary perspectives. Ultimately, this book offers a cutting-edge and comprehensive understanding of shareholder stewardship, challenging existing theories and shaping key debates in comparative corporate law and governance.

Introduction:
Shareholder stewardship is a critical aspect of corporate governance that has gained increasing attention in recent years. It refers to the actions and decisions taken by shareholders to ensure that companies are managed in a responsible and sustainable manner. This study aims to provide a comprehensive understanding of shareholder stewardship, including its origins, evolution, and various perspectives.

Origins of Shareholder Stewardship:
The concept of shareholder stewardship can be traced back to the late 19th century when investors began to hold companies accountable for their actions and decisions. Initially, this was done through proxy voting, where shareholders would vote on behalf of management to approve or disapprove of certain decisions. Over time, however, shareholders began to take a more active role in the management of companies, recognizing the importance of their role as owners.

Evolution of Shareholder Stewardship:
In the early 20th century, the rise of institutional investors and the increasing importance of long-term investment strategies led to the development of more sophisticated approaches to shareholder stewardship. Institutional investors, such as pension funds and mutual funds, have significant stakes in companies and are therefore motivated to ensure that their investments are managed in a responsible and sustainable manner. As a result, they have developed guidelines and policies that encourage companies to adopt best practices in corporate governance, such as transparency, accountability, and sustainability.

Perspectives on Shareholder Stewardship:
Shareholder stewardship can be viewed from various perspectives, including economic, legal, and ethical. Economic perspectives argue that shareholder stewardship is important for promoting economic growth and stability. By encouraging companies to adopt responsible practices, shareholders can help to ensure that companies are profitable and sustainable in the long term, which can benefit both shareholders and the broader economy. Legal perspectives argue that shareholder stewardship is important for protecting the interests of shareholders. By holding companies accountable for their actions, shareholders can help to ensure that companies are operating in a legal and ethical manner, which can protect the interests of shareholders and other stakeholders. Ethical perspectives argue that shareholder stewardship is important for promoting social and environmental responsibility. By encouraging companies to adopt sustainable practices, shareholders can help to promote a more sustainable and equitable society.

Conclusion:
Shareholder stewardship is a critical aspect of corporate governance that plays a significant role in promoting economic growth, stability, and social and environmental responsibility. By understanding the origins, evolution, and various perspectives of shareholder stewardship, we can better appreciate the importance of this movement and its potential to impact the future of corporate governance.

Weight: 1368g
Dimension: 178 x 255 x 45 (mm)
ISBN-13: 9781108823876