SEC to Focus on Proxy Process Reform for 2019

On December 6, 2018, SEC Chairman Jay Clayton summarized the SEC’s key initiatives for 2019 in a speech made at Columbia University. Notably, the SEC is reviewing the ownership and resubmission thresholds for shareholder proposals with the understanding that the current $2,000 threshold has been in place since 1954. Chairman Clayton also noted the “growing agreement” for proxy advisory reform and the need for greater clarity regarding the division of authority between proxy advisers and investment advisers. The full transcript of the speech is available here. This followed a roundtable held by the SEC staff in November 2018 to discuss the proxy process and rules. The webcast of the roundtable is available here.