CFA Institute reiterates warning on dual-class share structures
It says arrangement will weaken system of checks and balances between shareholders and management
Singapore
JUST days before Hong Kong stock exchange opens its doors to listing applicants with dual-class share (DCS) structures, CFA Institute maintained its stance against weighted voting rights (WVR), warning that the structure will weaken the system of checks and balances between shareholders and management.
The principle of "one-share, one-vote" is considered a bedrock of good corporate governance standards, it says. In contrast, DCS gives one group of shareholders control and voting power disproportionate to their shareholding.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Capital Markets & Currencies
Singapore stocks end lower even as regional markets rally; STI slips 0.1%
Swiss-Asia Financial Services fined S$2.5 million for breaches of anti-money laundering rules
Asia: Stocks track another rally on Wall Street as US rate optimism lingers
Singapore shares rise at Tuesday’s open tracking global rally; STI up 0.2%
ETF popularity poised to stay as investors flock to diversification, stability
Stocks to watch: FLCT, Paragon Reit, AA Reit, Lendlease Global Reit, Far East Orchard, SIA