Adapting to a new virtual reality

THIS WEEK'S TOPIC: Should annual general meetings (AGMs) go virtual even post-pandemic? What's needed to ensure that virtual AGMs uphold the spirit of shareholder engagement and corporate transparency?

Yeoh Oon Jin Executive Chairman PwC Singapore

While there was limited past experience of virtual AGMs in the US and UK, the onslaught of Covid-19 would accelerate the wider acceptance of virtual AGMs in Singapore and around the world. However, a hybrid model of virtual and physical would likely emerge as the preferred norm going forward. Virtual means have the benefits of reach and accessibility while physical ones encourage face-to-face participation and engagement. With this being our first season of virtual AGMs in Singapore, extra effort should be taken to provide investors with sufficient notice and information prior to the meeting. Establishing a good meeting protocol is critical to facilitate better participation from the shareholders and the meeting chair would also need to be skillful to encourage participation and guide the virtual proceedings well.

John Bittleston Founder and Chair Terrific Mentors International Pte Ltd

Post-pandemic, AGMs should be both live and virtual for, say, seven years. Then they should go wholly virtual. In the change-over period the live audience should be taught, encouraged and helped to participate using the virtual tools. These should be better developed to be more user-friendly. The spirit of an AGM is largely determined by the chair. If the chair wants to make an AGM investor-friendly, they can do so. Standards of AGMs need monitoring and improving. The Stock Exchanges should be responsible for overseeing this.

Cheung Pui Yuen Chief Executive Officer Deloitte Singapore

Post-Covid-19, more people will be more accustomed to virtual engagements and it would certainly be a viable option to host virtual AGMs. Companies can benefit in terms of cost savings from venue rental, higher attendance rate, capturing those that might not have been able to attend in person otherwise, and better engagement using technology to ask questions through polls. Virtual AGMs can also generate data to help track the event's success.

Points for consideration include choosing the technology platforms available, and putting cyber measures in place to ensure security and confidentiality. A proper procedure for Q&A should also be built, bearing in mind that shareholders' questions could be submitted beforehand, and companies should allocate enough time to address them.

Dileep Nair Independent Director Thakral Corporation Limited

Despite the first online AGM being held some 19 years ago in the US, virtual AGMs never caught on until now. The benefits of a virtual AGM are patent. Currently, AGM attendance for many companies is a fraction of their shareholders. The inconvenience for shareholders is compounded by the clustering of AGMs in the same month. A virtual AGM will improve inclusivity by giving all shareholders online access. Some fear a loss in accountability of management if there is no uncensored interactive Q&A session. Proper technical arrangements can allow questions from shareholders to be posed even during the virtual AGM, and that these can be viewed by everyone logged in. Of course, companies should ensure that the technology adopted is up to scratch and the platform is reliable, secure and auditable. Similarly, onboarding for shareholders should be simple so that the focus is on content and not on technical logistics. Hopefully, once the cost savings and better shareholder engagement are apparent, virtual AGMs will become a virtual reality.

Max Loh EY Managing Partner, Singapore and Brunei Ernst & Young LLP

Be it virtual or physical, the AGM remains vital to a company's governance framework and must be seen as an opportunity to build trust with stakeholders. Fundamentally, its purpose is to allow shareholders to express themselves and ask questions, even difficult ones. As such, directors and management should seek to proactively deliver a narrative that not only covers the company's past performance and achievements, but also its action plans in dealing with immediate challenges like Covid-19, as well as what is next and beyond strategic business imperatives. Devoting sufficient time and an open communications platform for Q&As and using video instead of audio-only presentations in virtual AGMs can be just as effective in reinforcing transparency and deepening engagement. Ultimately, staying true to the spirit of the AGM is key - and substance is more important than form.

Chia Ngiang Hong President Real Estate Developers' Association of Singapore (REDAS)

The Covid-19 pandemic has necessitated the digitalisation of numerous corporate practices, including AGMs, which is a blessing in disguise. The key strength of virtual AGMs is enabling wider participation. Shareholders no longer have to be physically present to keep abreast with and question the company's performance and strategies. There will also be significant logistical and financial cost savings.

However, wider participation is meaningless without active shareholder engagement and corporate transparency. Shareholders should be able to raise and receive responses to their questions and feedback with impunity. Official minutes should also be kept to ensure that executives do not evade difficult questions. Together with regulatory requirements including for disclosure of all material information affecting operations and balance sheets, virtual AGMs could remain a viable option for companies to adopt post-pandemic. To facilitate the transition, a hybrid model (ie concurrent physical and virtual meetings) could be used, to account for variations in familiarity with virtual technologies and preferences for face-to-face interaction

Callum Laing Chief Executive Officer MBH Corporation PLC

We live in a global, digital economy; it makes sense for shareholders to be able to attend AGMs online. Shareholder engagement and corporate transparency shouldn't be dependent on getting a chance to meet face-to-face with directors once a year. All other things being equal, investors will migrate to companies that communicate effectively with their shareholders. The technology has been available for years; it just takes willingness on the part of the companies, or pressure from shareholders, to change ingrained behaviours.

Victor Mills Chief Executive Singapore International Chamber of Commerce

Most of us will experience virtual AGMs this year. We may well experience them next year too because of the pandemic. There is no good reason why they should not continue beyond 2021 because of the obvious cost benefits to companies. Regulators should consider setting the rules for virtual AGMs for all listed companies to comply with. This would achieve a level playing field and ensure adequate protection for all shareholders, including minority shareholders. At a minimum, companies should provide virtual platforms for meetings which allow questions to be asked and answered. The tools exist and are easy to use.

Jayaprakash Jagateesan Chief Executive Officer RHT Fintech Holdings

Considering the costs involved in holding a physical meeting, we believe more companies will gravitate towards virtual meetings. We have been working with clients to deliver the technology solutions needed to hold virtual AGMs. Companies are generally excited by the new possibilities offered by such technology, which will define the way we work in a post-pandemic future.

The commitment towards upholding the spirit of shareholder engagement and corporate transparency depends more on the organisation's culture rather than the mode of the meeting. We believe the application of blockchain technology can further enhance corporate governance given its transparency and immutability, adding yet another technological boost to shareholder meetings in the near future.

Angela Campbell-Noë Senior Partner Tulchan Communications

The unique aspect of the AGM is that it is the only occasion when a company's board faces shareholders publicly in an unscripted format. The quality of questions varies enormously but it is the threat - and occasionally, the reality - of highly perceptive and penetrating questions from shareholders that challenge the board to review their policy, strategy and initiatives for the year ahead. Whether virtual or physical, it is important that irrespective of the format shareholders can ask the unexpected question and, in a public forum, the board has to respond immediately.

Ronak Shah CEO Singapore | Asia QBE

While Covid-19 has brought about a new normal in holding meetings online, there may still be situations where physical interaction is preferred - AGMs are likely one example. However, instead of deciding between physical or virtual, boards could consider running both concurrently, where shareholders can choose either to attend in-person or online through a web conference. Doing so would likely increase participation among shareholders, and could see AGMs achieve quorum more easily.

AGMs held in any online capacity must ensure a transparent process; the ability to communicate freely and equally between board members and shareholders must be guaranteed. Tools like anonymous polls, live chats, and document sharing functions on these platforms can be leveraged to enhance the overall integrity and legitimacy of these meetings.

Jeffery Tan Group General Counsel Jardine Cycle & Carriage Ltd

Companies should recognise that shareholder engagement and corporate transparency is an ongoing endeavour that is not restricted to the AGM. Companies that quickly embrace technology to enable interaction with their shareholders will have connected more deeply with their shareholder base, which is increasingly more global.

Out of necessity, the Covid-19 outbreak has kicked off the transition of AGMs from physical events to virtual ones. Post-Covid-19, the astute companies will leverage technology and make virtual AGMs the new norm, thereby powerfully demonstrating their aglity, innovation and ability to transform.

Helen Ng Chief Executive Officer Lock+Store

AGMs should go virtual even after the novel coronavirus outbreak has been contained. We have to anticipate that there will be cycles of outbreaks and circuit breaker measures could be implemented at various intervals. To ensure that companies continue to be answerable to shareholders, all questions submitted ahead of virtual AGMs should be addressed both during and after the meetings. Responses could be published on the companies' websites.

Koh Chin Beng President The Institute of Internal Auditors Singapore

There is merit to encourage companies to continue leveraging technology, even beyond the circuit breaker period, to conduct AGMs virtually for the convenience and accessibility for shareholders. To reap the benefit of reaching out to a broader base of shareholders, a hybrid AGM is an option to consider which complements the best of a physical AGM and a live webcast. It is also important to manage risks associated with a digital approach, such as companies filtering out difficult questions or uninvited attendees to the meeting. It is here that internal auditors can value-add, like providing a review of the effectiveness and efficiency of the processes and technology associated with holding a virtual AGM. The internal audit function can be an indispensable resource in supporting sound corporate governance.

Hans Hirt Head of EOS Federated Hermes

During the pandemic, we will take a pragmatic approach regarding the changing nature of AGMs, including converting them to virtual or hybrid meetings, provided virtual-only meetings are temporary and shareholders can continue to exercise their rights. However, only physical AGMs allow investors to fully hold boards and management to account. Making statements, asking questions that cannot be filtered or ignored, and exceptionally proposing motions is central to these rights and this practice should be safeguarded. For the many retail investors in Singapore, this is often the only time in the year where they can meet boards and pose questions.

Mario Singh Chief Executive Officer Fullerton Markets

The current climate of having virtual AGMs is borne out of necessity rather than convenience due to the current Covid-19 pandemic. Global players like Amazon and Starbucks are scrapping physical meetings while local banks such as DBS and OCBC have already made the move to announce virtual AGMs during this time.

Post-pandemic, as companies get increasingly global, the trend is certainly moving towards having virtual AGMs. Many tangible benefits such as lower costs and increased participation are evident in a virtual AGM compared to a physical one. A move in the right direction would be to start with a hybrid option - where AGMs are conducted physically and virtually at the same time. The companies can then gauge the overall efficacy of such a move before deciding on having future AGMs 100 per cent virtual, provided their Articles of Association and the broader Companies Act allow it.

The very notion of having a successful virtual AGM would itself ensure that the boxes of shareholder engagement and corporate transparency have been ticked. This is because both the company and the shareholders must play their part in ensuring the security of the platform, the log-in passwords and the execution of proxy forms for voting if needed.

Bill Doherty Chief Executive Officer Walton Group of Companies

For unlisted companies like Walton which has a huge investor base spread across Asia, virtual meetings have a use today and post-Covid-19 pandemic. Like shareholders in a listed company, investors want periodic engagement with the management. This is usually done at the company's AGM.

For Walton, during this period of restrictive mass gatherings, we need to meet up with our investors to inform them of the impending exit strategy for our properties in the US; we are already tapping into technology such as webcasts, video conferencing and live streaming to secure their votes on whether to proceed with exit offers.

Much of the technology to achieve these ends has been readily available, but old processes and habits die hard. The past two months have forced us to accelerate changes that would likely have taken years. As a result, we are learning better ways to communicate and engage with stakeholders.

It is important to have physical interaction with stakeholders after the pandemic is over. However, Covid-19 has brought into focus that a combination of physical and virtual engagement will become the norm in the future.

Lee Fook Chiew Chief Executive Officer Institute of Singapore Chartered Accountants (ISCA)

Covid-19 has had wider and more profound effects on many aspects of our lives and the economy than previous pandemics and many market events. Some changes are likely to stay at least for a while even beyond the pandemic, like the need for safe physical distancing, especially at events with many participants. At the same time, the changes imposed during this period have provided a good opportunity to prove the efficacy of various technologies and tools, and accelerated their adoption, especially platforms for virtual meetings. Apart from some teething problems which have been addressed, they have proven to be scalable and secure (to acceptable standards). Hence, the post-Covid-19 era may redefine the way AGMs are held. While participants at AGMs will probably still prefer to attend the meetings in person once things return to normalcy, virtual AGMs can cater to shareholders who prefer to avoid crowds or not to travel. They can also provide the means to reach out to a much larger group of shareholders beyond the limits of a physical venue, but still offer the usual arrangements for Q&A and secured voting. Companies may therefore need to hold physical AGMs together with virtual ones. Although the cost of hybrid AGMs will be higher, the enhancement in corporate transparency and ability to engage with a substantially wider shareholder group are invaluable, and will yield long-term benefits.

Frankie Chia Managing Partner BDO LLP

Virtual AGMs are not new. In the US and UK, some companies have opted for virtual or webcast AGMs for some time now, citing convenience, cost benefits and efficiency. It is only recently that this idea has caught on here out of necessity due to the pandemic. The proof is in the pudding. Some of the limitations, such as authentication of shareholders' identity, security and raising queries at virtual AGMs, can be addressed with some adjustments to the AGM procedures and when technology catches up with the requirement. The recently announced AGM Facilitation Grant by SGX is a step in the right direction to get companies to experiment and get used to virtual AGMs - pushing another step toward digital transformation. Virtual AGM is here to stay.

Munenori Ando Regional Managing Director Epson Singapore

While digital AGMs are a necessity in the current climate, going virtual can offer additional benefits for companies - from increasing attendance to lowering costs and reducing the impact on the environment. While some have questioned the interactivity of digitally-delivered AGMs, this can be addressed through innovative technologies such as projectors that offer multi-location interactivity and video-conferencing compatibility for a seamless experience. In addition, the technology exists to allow authenticated shareholders to engage in sophisticated Q&As. With sufficient moderation and management, virtual AGMs can fulfill the same goals as traditional physical AGMs, at a fraction of the cost.

Chris Burton Managing Director, SE Asia Vistra Group

Shareholders in Singapore still cling on to the traditional way of having a physical AGM. Impromptu queries can be raised during a physical meeting based on the responses given by the board. Virtual AGMs restrict this freedom. A hybrid approach would therefore be more palatable as it caters to all types of shareholders. Shareholders can choose to attend physical meetings for more interaction; and for those who prefer the electronic route, they can attend via web-cast. It is also a gradual move towards a complete virtual AGM.

The virtual AGM must be scalable to allow all shareholders to participate. Live interaction between shareholders and the board should prevail in order to uphold the spirit of shareholder engagement and corporate transparency.

Teong Eng Guan Vice President, ASEAN Palo Alto Networks

The unprecedented scale at which remote working has been implemented globally has made the benefits of virtual meetings ever more apparent. The productivity gains from the elimination of commuting and streamlining communications make a compelling case for businesses to continue being reliant on video conferencing, post-pandemic. However, the varying maturity of IT infrastructure across the region should be taken into account, as the access to and security of Wi-Fi networks vary considerably.

Organisations will need to ensure they are securely utilising collaboration tools for virtual AGMs and acclimatising shareholders to this new normal. As businesses relook at their traditional operating procedures, it is crucial that security is not compromised for convenience, especially when it concerns the sharing of highly confidential information.

Magnus Grimeland Founder and CEO Antler

Enabling digital capabilities for AGMs, if done well, can create even more transparency, ability to engage and allow more shareholders to take part in the meetings than in the past. To ensure this happens, one needs to have the tools to facilitate all questions, additional sharing of information, and more, which is very feasible with existing products.

Mark Billington Regional Director, Greater China and SEAsia ICAEW

Over the past few months, businesses worldwide have drastically changed the way they operate, to adapt to a world where physical contact is restricted. It is likely that we will continue to see more virtual AGMs even post-pandemic, as they can provide greater convenience, communication and accessibility to business stakeholders, no matter where they are. However, the choreography of virtual AGMs needs careful consideration. Shareholders need to be able to ask questions and receive answers, and this dialogue needs to be audible to everybody.

It is vital that boards engage with investors and other stakeholders through the most appropriate channels. As chartered accountants, we emphasise the need for businesses to report with integrity and transparency, and provide our members with training and resources to ensure they can help their organisations navigate the increasing complexities of corporate reporting in a digital world.

Mark Laudi Chief Executive Officer Hong Bao Media

Virtual or hybrid AGMs are long overdue. But while the technology is already capable and secure to handle all the requirements listed companies and shareholders may have, let's consider the human factor.

Boards of directors and officers need to be not just tech-savvy, but media-savvy as well. They need to get comfortable with speaking to shareholders through cameras, rather than in person. This will not only allow them to respond confidently to all manner of questions during AGMs. They will also be more confident public speakers, ready to communicate to staff and customers post-pandemic as well.

Eryk Lee Chief Executive Officer AAM Advisory

With or without Covid-19, we will increasingly find ourselves living in a digital world. We have seen the benefits of cashless transactions, digital banking, Spotify and Netflix.

Virtual AGMs are not new; Covid-19 merely speeds up the adoption. There are advantages in a move towards a digital AGM. There will no longer be any logistical barrier for shareholders to participate, wherever they are in the world. The technology is available to make virtual meetings as seamless as meetings in person so ensuring shareholder engagement should not be an issue. Companies can save costs on renting of premises and replacing thick annual reports with digital copies. Once companies and shareholders get a chance to try out virtual AGMs and if all works well, I think the trend will continue. It does not make sense to go backwards.

Lee Chong-Win Chief Executive Officer Logicalis Asia

Adapting in the face of Covid-19, many Singapore companies will deliver their inaugural web-based AGMs this reporting year. Virtual AGMs should uphold transparency and allow shareholders to participate online. For that reason, the platform should be operated by a neutral party. Clear participation rules would keep out trolls, and ensure that legitimate questions and comments are not censored. Such a platform would need - among other things - digital proxy forms pre-AGM, an interactive solution for shareholder participation during the AGM, and detailed reports post-AGM. All this requires integration with other digital platforms and tools. Expect cloud-based solutions to play an increasingly vital role in digital workplace integration.

Edmund Lee Managing Director Singapore TMF Group

The ability to hold virtual AGMs is merely another platform for companies to engage with stakeholders. Like any tool, it can be used positively, such as to increase participation, or negatively, to obfuscate and shield interaction. The pertinent issue is less about the platform itself but rather, the corporate governance of the company in question. An irresponsible party would refuse to provide transparency regardless of the communication medium employed.

Although a virtual AGM could never replace the shareholder's experience of a physical meeting, a hybrid of both could be a solution as lockdown measures eventually ease. Furthermore, the means for promoting shareholder engagement and corporate transparency should be less about the platform and rather more about enhancing the Code for Corporate Governance. Authorities may consider achieving this by shifting corporate disclosure requirements in respect of shareholder engagement at AGMs to the SGX listing rules to make compliance mandatory.

Maren Schweizer Director Schweizer World Pte Ltd

Hybrid general meetings seem to be the right transition scheme post-Covid-19 to allow stakeholders to get used to technology-enabled lively interaction. Webinar-style AGMs that include polling and attendee participation make sense, and most of us get trained these days.

Germany, as an example - among others - has set rules, that questions have to be submitted in advance. Indeed, there are good reasons to do so.

Nevertheless, we need to maintain an ad-hoc interaction between shareholders and the board. It's valuable and essential to check how much the executive board oversees the business without a back office preparing any answer in advance. Body language speaks for itself, too, especially if the chairman decides not to answer a question.

In the long run, virtual AGMs can become the standard, interspersed with hybrid AGMs once every three or five years.

Sylvie Ouziel International President Envision Digital

I think this question is part of a broader topic around digital ways of working post-Covid-19.

As a board member of a European-listed company specialised in office real estate, I think the virtualisation trend was already there, notably with the digital native generation joining the workforce, and now we only see an acceleration.

When it comes to general assemblies, one could argue that physical presence requirements reduce the right to a proper engagement of shareholders with the company's leadership for those who cannot attend (for instance, foreign shareholders).

Available technology allows proper interactions, as proven by quarterly earning calls successfully held by most listed companies in a virtual way.

I would expect that most companies will find a facilitation process allowing hybrid general assemblies, combining physical presence for those who can and want to, with virtual attendance.

Lim Soon Hock Managing Director PLAN-B ICAG

Going virtual post-pandemic should remain an option for AGMs, given that it has now been tried and, inevitably, will be an integral part of the new normal of working. Based on my experience chairing one recently, it can be productive and efficient, without sacrificing shareholders' engagement and participation. What is important and sacrosanct is protecting shareholders' interests by opening up unfettered channels for shareholders to ask questions or raise concerns, be it via submission of questions in advance or real-time interactive video links such as webinars. As some shareholders may be shy or uncomfortable in asking questions in person, face-to-face at physical AGMs, virtual meetings offer an opportunity for these shareholders to do so and raise more questions for the larger benefit of shareholders. Shareholders will also benefit from questions raised by SGX and the Securities Investors Association (Singapore).

If Parliament, which has more issues of greater import to deliberate, is now planning for participation by Members of Parliament (MPs) from two or more locations, there is no reason why virtual AGMs should not be offered as another viable alternative going forward. For such AGMs to be productive and beneficial to shareholders, companies must be transparent and respond in a timely manner, especially on matters that are price-sensitive, and in compliance with SGX's directive on disclosures.

Toby Koh Group Managing Director Ademco Security Group

Virtual AGMs are a matter of mind-set and nothing to do with technology. The technology is available now. The time has arrived for progressive boards and management to display their ability to adapt and communicate effectively to their shareholders. In fact, corporates who practise good corporate governance and transparency may even wish to record the AGM and make it available to shareholders even post-event. Best practice will be a hybrid of premise plus virtual AGM. The notion that one must be physically present during an AGM is antiquated. Verification of identity can be easily authenticated using SingPass. No more excuses, thank you.

Tomas O' Farrell Co-founder Workana

Since the outbreak of Covid-19, we have observed companies transitioning to remote working, and business events to virtual platforms. This new normal will likely continue even after the circuit breaker, and AGMs should be no exception. With the right technologies, structure, and pandemic-related policies in place, virtual AGMs can ensure the health and safety of attendees, and deliver notable cost savings. Selecting the most appropriate, and secure, communications platforms for these types of meetings is essential to ensure high-quality video and visuals, in addition to audio. Despite not being able to meet in person, companies can ensure that engagement and interaction levels are maintained if they infuse warmth, sincerity, and a bit of humour into these meetings.

Reshmi Khurana MD and Head, SEAsia, Business Intelligence & Investigations Kroll

The decision to conduct virtual AGMs should depend on the business model of a company, the constitution of the board, and preference of the shareholders, especially minority shareholders. This pandemic has shown that companies can maintain productivity through virtual meetings with the added benefits of efficiency and safety. Equally, this pandemic has shown us the value of face-to-face interactions amongst employees, management, customers and shareholders. AGMs are an opportunity for minority shareholders and investors to hold management accountable. While this can be achieved virtually over time, the investment community should not underestimate the symbolic importance of face-to-face interactions between minority shareholders and management.

Edwin Koh Director for Southeast Asia Limelight Networks

AGMs are one of the few opportunities shareholders have to engage with the management, hear other shareholders' views, and question the board. However, the Covid-19 outbreak has caused companies to rethink their arrangements including holding virtual AGMs in 2020 and beyond. Here's where realtime streaming comes into play. It provides low latency, high video quality for participants wherever they're located, and makes online viewing experiences much more interactive. Shareholders at a virtual AGM can ''be in the room'' to make comments and ask questions, which ensures that both personal engagement and corporate transparency are maintained.

Luke Lim Managing Director Phillip Securities Pte Ltd

The AGM is the one of the few precious opportunities for our retail investors to meet management. The success of any AGM is measured by its participation. Virtual AGMs will grow in popularity as they increase participation numbers and in quality. With a wider investor public attending an AGM in the comfort of their homes, the increased exposure will improve investors' competency to assess the management. With virtual AGMs, our global investors, who expect global standards from our companies, can also participate. Good investors do their homework and come prepared for the AGM. A well-managed AGM, whether virtual or not, must strive to achieve a high quality of engagement between good investors and management to add value to our companies' long-term performance.

Rakesh Bhatia Co-Founder Balo and McXtra

The future has arrived faster than what we envisaged due to Covid-19. The pandemic has given clear evidence that negotiations of complex deals and inter- and intra-governmental discussions can all be held virtually with real progress made. We need to learn from this profound experience and ensure that to the extent possible non-essential travel should be restricted. It will save time, effort and the environment. The current technology adequately supports AGMs going virtual in the future. To ensure continued spirit of shareholder engagement and corporate transparency, companies should recreate the environment online to ensure that all information shared, questions asked or comments raised are disseminated in the same spirit and form as they would in a physical environment. A model code of conduct for such AGMs should be finalised in consultation with the government, SGX and a panel of eminent lawyers, accountants and people from the technology industry. Feedback from shareholders and an independent auditor which evaluates the performance of the companies based on the model code of conduct should be shared on the corporate websites and also becomes part of their environmental, social, and governance (ESG) report. We have to hit the reset button to learn from this difficult pandemic episode in our collective wisdom.

Joanne Wong VP, Asia Pacific and Japan LogRhythm

The Covid-19 outbreak has dramatically disrupted communications as we know it, and this could instigate a fundamental shift in how organisations engage with their stakeholders in the future. Collectively, we've realised some positive benefits from virtual meetings, like reduction of carbon footprints and wider audience reach. However, the success of these virtual meetings is contingent on cooperation. Stakeholders must be kept informed of potential security vulnerabilities, and organisers must be prudent to ensure that necessary precautions are taken.

As we know, cybersecurity threats remain a concern for any virtual interaction, especially so for such high-stakes meetings. AGM organisers must ensure that they have capabilities to detect and respond to suspicious threats in almost real time, since these meetings are streamed live. Only then will these meetings be transparent, productive, and sustainable in the long run.

Saikrishnan Ranganathan CEO & Co-Founder SensorFlow

Holding AGMs in the virtual space, especially now, requires incorporating the social element within professional communication. Instead of being strictly business, checking up on everyone and how they are managing the situation ensures more trust and support within the company.

In addition, providing a meeting agenda in long-form writing and sending it across all participants prior to the meeting would also ensure maximum productivity and engagement during AGMs. Amid the ongoing pandemic, time and communication are of utmost importance, as circumstances can change very quickly. As a response, we are increasing the frequency of shareholders meetings to provide constant updates and to speed up decision-making processes.

Ang Shih-Huei Chief Executive Officer Klareco Communications

Future shareholder engagements are going to be increasingly online but up until two months ago, the actual transformation has been slow for many. Covid-19 has compelled us to adapt with urgency and it is an opportune time for organisations to relook into modernising AGMs as well as create alternative platforms to engage with shareholders. We are still in a nascent stage and the questions surrounding interaction and transparency could be resolved as more companies roll out e-AGM platforms, and as regulators look into updating legislation to provide for the necessary investor support and safeguards.

John Lee Managing Director (Asia Pacific) GRF Asia-Pacific Pte Ltd

The pandemic has accelerated the use of digital technologies due to workplace closures for many non-essential services. This includes AGMs. AGMs could be conducted remotely post-pandemic with consideration for cybersecurity and use of a stable technology platform. It can be recorded with permission for attendance and minutes purposes. AGM documents can be disseminated before the meeting. Registration and PIN assignment can ensure that only authorised persons attend. Shareholders attending can ask or submit questions like at a physical AGM. With a good collaboration tool, proper documentation, reporting etc and so on, there should not be transparency or governance issues.

Jay Ng Managing Director Stacs

Restrictions on mass gatherings and working from home as a result of Covid-19 have thrown the spotlight on the importance of the use of technology. Without technology, we will not be able to work from home or to conduct meetings virtually.

The same goes for AGMs which listed companies must hold to get shareholders' approval on the resolutions. Technology will enable AGMs to go virtual and also uphold the spirit of shareholder engagement. Shareholders can interact with the management virtually and corporate transparency will not be compromised.

Technology will definitely play an important part in transforming businesses post-pandemic. At Stacs, we are using blockchain technology to transform the finance sector. As such, customers can do transactions efficiently, remotely and securely without the need to maintain physical presence.

Henry Tan Group CEO Nexus TS Group

Covid-19 has changed the way we work, not just in AGMs but in many meetings. Efficiency has increased because now we can make at least six different meetings a day without the need to travel. The practice is also environmentally-friendly with a smaller carbon footprint caused by cars, et cetera. Cost of virtual meetings is always lower. The AGM virtual platform should improve to allow more interactive Q&A, like in a physical meetings, and to ensure a seamless experience. I support embracing technology and continuing with virtual meetings wherever possible.

David Leong Managing Director PeopleWorldwide Consulting Pte Ltd

AGMs can be organised online since the whole thrust and intent of the meeting is to reveal the company's annual report card for past-year performance and future plans. Disclosures, discussions and debates can be done virtually via videoconferencing with equal forcefulness and delivery. Technology has enabled webinars and large group meetings to conduct polls, votes, raise questions through streaming messages and the whole episode can be recorded for accountability. The resolutions, queries and rambunctious debates, along with the board's and management's responses will be open for all to view, not just those who attended the closed-door meetings. Accountability in the area of corporate transparency with such shareholders' engagement via videoconferencing is higher.

Board and management have no way to hide, to skirt questioning or to put up weak defences or non-responses without incurring the wrath even of shareholders who did not attend the AGM, or garner support from shareholders when issues are openly shared and debated. In fact recordings of virtual AGMs may become commonplace.

Zaheer Merchant Regional Director (Singapore & Europe) QI Group of Companies

According to PWC US for the 2019 proxy session, 248 companies held virtual AGMs with 97 per cent being audio-only. I'm a fan of virtual AGMs for their massive ease and convenience. Assuming they're allowed by the Singapore Exchange, proper indoor management compliance by the entity concerned and all disclosure requirements being fulfilled, virtual AGMs both prior to or post-pandemic can work. Harvard Law School's Forum on Corporate Governance cited relatively simple requirements for virtual AGMs to uphold shareholder engagement. They ranged from entities assessing the benefit of physical meetings and suitability, public health in holding meetings presently, to logistical considerations and presentation of shareholder proposals. One non-negotiable factor remains constant: corporate transparency. And this should not suffer as all notices and statements must provide proper details and enable access-driven technology platforms for queries to be debated robustly during the meetings and have an archival process for storage. It all works.