Code of Conduct

CODE OF CONDUCT: GOVERNING THE CORPORATES

Neville White. Investment Week. London: May 16, 2011. pg. 58, 1 pgs

Abstract (Summary)

In the wake of several high-profile business failures in recent years, the question of how investors can protect themselves against the risks of mismanagement and collapse of the companies in which they invest has been all increasingly hot topic. In the run-up to the 20th anniversary of the world's first corporate governance code -- the Cadbury Report, which was published in the UK -- it is timely to examine its impact and the importance of corporate governance today. Shareholder activism in the UK, Europe and Asia in the form of shareholder resolutions is still quite rare, and usually only takes place through coalitions of socially responsible investors or NGOs. Last year, the biggest issues leading to shareholder resolutions were environmental concerns, accounting for 37% of the total.

With the imminent 20th anniversary of the publication of the Cadbury Report, Neville White, senior SRI analyst at Ecclesistical Investment Management, examines how the world's first governance code has affected corporates |

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In the wake of several high-profile business failures in recent years, the question of how investors can protect themselves against the risks of mismanagement and collapse of the companies in which they invest has been an increasingly hot topic.

In the run-up to the 20th anniversary of the world's first corporate governance code - the Cadbury Report, which was published in the UK - it is timely to examine its impact and the importance of corporate governance today.

The publication of the Cadbury Report in 1992 was a response to major corporate scandals associated with governance failures in the UK, and formed the backbone of the UK Corporate Governance Code still in force today. It sets out recommendations on the arrangement of company boards and accounting systems to mitigate corporate governance risks and failures....