Issuers participating in the ICJ platform have the unique advantage of being able to regularly monitor votes coming in from all over the world. The direct and timely flow of votes from overseas institutional investors via the ICJ platform allows companies to gauge the outcome of proposals and respond accordingly. By placing links to materials in English on ProxyEdge, issuers are able to put valuable information in the hands of institutional investors in a timely manner.
More importantly, the platform provides overseas institutional investors with the extra time needed to make quality decisions. ICJ’s platform provides voters with proxy statements and meeting materials immediately upon release by participating issuers, and allows voting past the normal “Eight Business Days prior to Meeting Date” deadline.
Prior to the introduction of the ICJ platform in Japan, proxy statements were delayed in arriving and cutoff deadlines were set at eight business days prior to the meeting date. This afforded only several days for investors to review, research and vote over one thousand agendas.
With the clock running it becomes more difficult for investors to consider their positions carefully and vote in the best interests of shareholders. ICJ’s platform stretches the previous three day window to at least ten days on average, providing the time necessary for institutional investors to properly execute their votes. ICJ’s platform gives institutional investors the necessary time and materials to properly carry out their voting responsibilities as asset managers.
The graph on the left shows the actual change in number of days available for research and review based upon an issuer's decision to participate in the ICJ platform.
Clearly institutional investors want to enjoy the benefits of (1) access to proxy statements and meeting materials on the day of release; (2) a voting timeline which stretches from the release date right up to the day before the meeting; and (3) the ability to utilize standing instructions, automated reporting and a host of other advanced features available to ProxyEdge users to streamline their work flow.
We encourage you to make your thoughts known to issuers throughout the Japanese market, and encourage them to earnestly consider participation in the ICJ platform.