Wednesday, October 11, 2006

Concern in US over 'empty voting'


US executives and institutional investors are increasingly concerned that the explosion in share lending and unregulated equity derivatives has broken the bedrock corporate governance connection between the economic ownership of shares and voting rights.

The issue, which has been at the fore in the UK, is now rising to prominence in the US, spurred by fresh research from University of Texas professors Henry T.C. Hu and Bernard Black.

See full Article (paid registration required).