Bill > HR4648

This bill amends the Securities Exchange Act of 1934 to impose new requirements on investment advisors, asset managers, and pension funds that engage with proxy advisory firms and vote on shareholder proposals. The key provisions are: (1) Institutional investment managers must disclose how they voted on shareholder proposals, the percentage of votes consistent with proxy advisory firm recommendations, and how they reconciled their voting decisions with their fiduciary duty; (2) Larger institutional investment managers ($100 billion or more) must clarify that shareholders are not required to vote on every proposal, perform an economic analysis before voting against a board recommendation, and include those analyses in their annual reports; and (3) The bill defines "proxy advisory firm" as a person primarily engaged in providing proxy voting advice, research, analysis, ratings, or recommendations to clients.

Business and Industry

https://www.congress.gov/bill/118th-congress/house-bill/4648/all-info