Active and Informed Ownership to Support Better Corporate Governance in Latin America
1. This White Paper on Strengthening the Role of Institutional Investors in Latin American Corporate Governance reflects the priority of the Latin American Roundtable on Corporate Governance to encourage the emergence of active and informed owners as an important lever for influencing better governance in the region. It draws upon both internationally recognized policy guidelines and best practices, starting with the OECD Principles of Corporate Governance, and region- and country-specific work, including the Roundtable’s 2003 White Paper on Corporate Governance in Latin America and 2007 report, Institutional Investors and Corporate Governance in Latin America: Challenges, Promising Practices and Recommendations. It has been developed through a three-year process of Roundtable consultations and research in a range of Latin American countries, including Argentina, Brazil, Chile, Colombia, Mexico and Peru.
2. Different countries in Latin America have different market characteristics and legal frameworks, with some such as Chile and Peru featuring pension funds as the dominant institutional investors (IIs) investing in their local stock markets, whereas some others have a more mixed institutional investor environment. This White Paper thus notes differences in policies and practices among countries, and differentiates recommendations when appropriate to fit the country-specific context.
See full Study, in pdf format.
Posts
