Following the 2008 Global Financial Crisis (GFC) and later corporate scandals, regulators are responding to society’s demands for alignment of corporate and investment governance with society’s long-term interests. The amended EU shareholders’ rights directive (SRD), Directive (EU) 2017/8281, came into force on 10 June 2017.
It applies to EU-listed companies and their shareholder intermediaries globally. This includes investment intermediaries such as institutional investors, asset managers and proxy advisors as well as banks and central securities depositories. The SRD amends Directive 2007/36/EC. It covers five areas in order to strengthen shareholders’ rights, promote stewardship of assets by investment intermediaries and protect long-term shareholder value.