Some welcome muscle for comply-or-explain governance code
Add BT as a preferred sourceAN overlooked nugget in Singapore's review of its Code of Corporate Governance is a proposal to strengthen the comply-or-explain regime.
But giving the regulatory framework a stronger bite may well be the most impactful among the many planned changes to the Code. After all, the best designed rules will not matter if nobody follows them.
The proposed change to the comply-or-explain regime is contained in a single paragraph of the Singapore Exchange's listing rules. While the rule currently requires that listed issuers only "disclose any deviation from any guideline of the Code together with an appropriate explanation for such deviation", the proposed new language will make it clear that companies "must comply with the principles in the Code".
TRENDING NOW
Singapore developer in limbo after Timor-Leste scraps major township project
On the board but frozen out: The Taib family feud tearing Sarawak construction giant apart
MAS to remove mandatory financial advice for complex products for most retail investors
That ‘cheap’ Malaysia condo could cost Singapore buyers far more than they think
