Be open to ideas on addressing AGM clustering

TODAY, those who hold shares in multiple issuers may have to choose from the 120 meetings being held starting from 9 am - comprising 117 annual general meetings (AGMs) and three standalone extraordinary general meetings (EGMs). In 2016, there were already nearly 100 meetings held on each of the last two days of April, but the problem is clearly getting worse.

Clustering adversely affects the ability of shareholders to participate effectively in these meetings. In Singapore, this problem is particularly severe in April, given the large number of issuers with December year-ends.

It is difficult to see how those issuers with many shareholders that hold their AGMs during the busiest meeting days of the year can argue that they have complied with the spirit of Principle 16 and Guideline 16.1 of the Singapore Code of Corporate Governance which respectively state: "Companies should encourage greater shareholder participation at general meetings of shareholders, and allow shareholders the opportunity to communicate their views on various matters affecting the company" and "Shareholders should have the opportunity to participate effectively in and to vote at general meetings of shareholders".