A record number of Japanese companies saw shareholder proposals pass at their annual general meetings this year, in a sign that investors are exerting more influence in the market.
While shareholders in general still support company management, the notable break from their passive stance is seen as a boon for funds looking to invest in Japan. Activist investors have been inundating companies with an unprecedented number of proposals at meetings, calling for action such as the disposal of real estate, changes in strategy and bigger stock buybacks.
A total of seven companies saw shareholder proposals pass this year, including board appointments, according to Mitsubishi UFJ Trust & Banking. That’s the highest since the bank began compiling the data almost three decades ago.
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