Clearstream and Institutional Shareholder Services (ISS) have launched a service which will allow customers to manage meetings for assets in the securities lending programme and vote on positions pledged as collateral.
The new service was delivered in advance of the 2012 proxy voting season and covers all Clearstream proxy voting markets and eligible instrument types, including eurobonds and investment funds, for both the ICSD in Luxembourg and CSD in Germany.
The enhanced proxy services provides customers with extensive and timely information throughout the lifecycle of a meeting, with a range of options, including the ability to send and receive information via SWIFT and through ISS' online system, ProxyExchange.
Philip Brown, member of the executive board and head of client relations, Europe & Americas and head of product development at Clearstream said, "As the focus on corporate governance intensifies globally, investors increasingly need state-of-the-art asset services to support their active ownership initiatives. Our new enhanced proxy voting solution offers customers a superior quality service across the widest possible set of securities and markets."
Global market initiatives such as the United Nations Principles for Responsible Investment and recent regulatory developments such as the introduction of investor stewardship codes in various markets highlight the important governance role of investors in exercising their active ownership rights, including voting at company meetings. The implementation of the EU Shareholder Rights Directive is working to remove the practical impediments to voting, such as share blocking, in EU markets. Clearstream notes that the enhanced service addresses many of the "pain-points", ultimately making i8t easier for its customers to exercise their voting rights.
