Corporate Governance Examination Act

Corporate Governance Examination Act

This bill requires the Securities and Exchange Commission (SEC) to regularly report on shareholder proposals, proxy advisory firms, and the proxy process. (Proxy advisory firms provide voting services and advice to institutional investors in public companies for proposals presented at shareholder meetings.)

Specifically, the SEC must report every five years on the financial incentives and obligations involved, whether the process no longer serves the economic interests of long-term investors, and an assessment of shareholder proposal requirements, among other topics.