Monthly Archives: August 2010

Proxy Access Rule Issued by SEC

After years of hard work by organized labor, pension activists and, finally, friendly politicians, the SEC has bit the bullet to allow shareholders under (very) limited circumstances to spend their own money to participate in shareholder democracy!

I am being ironic but also accurate. Until now managers use corporate resources to help directors get elected: they control access to the proxy statement that accompanies the proxy card that shareholders inevitably submit back to management who then vote onto boards their hand picked director candidates.

Now however shareholders can piggy back on the proxy material sent out by management and use that material to nominate independent candidates for corporate boards.

Much like the market for corporate control it may well be that the mere threat of the rule will be enough to change corporate behavior – event studies galore will no doubt emerge soon!

The link below is to a law professors’ site that is debating the issue and here is a link to the rule itself on the SEC website.

The Conglomerate Blog: Business, Law, Economics & Society.

Pundita: Ah I see from this map of Mexico that we’ve had everything backward.

_48659365_mexico_cartels_464map1An important post by Pundita this AM. There is an insurgency underway in Mexico today – but the question is, who are the real insurgents?

Folks, forget Somalia, forget Yemen, forget Afghanistan, we have a failing state right on our southern border and as our economy continues to flail it will only get worse.

An earlier post here made an important point about the fecklessness of today’s global elite – and the consequence that crime bosses increasingly fill the gap in today’s world.

Pundita: Ah I see from this map of Mexico that weve had everything backward..