Investment

stment CG Watch 2010

Corporate governance in Asia

In collaboration with the Asian Corporate Governance Association

Amar Gill, CFA

Head of Thematic Research amar.gill@clsa.com (65) 65122337

Jamie Allen

Secretary General, ACGA jamie@acga-asia.org (852) 28724048

Simon Powell

Head of Sustainable Research (852) 26008626 2 September 2010

Asia

Special report

Higher ranked markets Singapore Hong Kong Japan Taiwan Thailand

High CG stocks HK Exchanges (388 HK) Nintendo (7974 JP) Li & Fung (494 HK) TSMC (2330 TT) HSBC (5 HK) Infosys (INFO IB) Sony (6758 JP) Sumitomo Metal (5405 JP) Tokyo Electron (8035 JP) Tokyo Gas (9531 JP) Canon (7751 JP) Wipro (WPRO IB)

Stray not into perdition

Asia's CG momentum slows

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CG Watch 2010

Contents

Executive summary ............................................................................ 3 Market CG scores - Sinners repent ..................................................... 5 Measuring governance ..................................................................... 16 Social responsibility on the rise........................................................ 25 Corporate standards......................................................................... 32 Does CG matter? .............................................................................. 43 Market profiles China..........................................54 Malaysia......................................87 Hong Kong ..................................60 Philippines ...................................92 India...........................................65 Singapore....................................97 Indonesia ....................................71 Taiwan ...................................... 102 Japan..........................................76 Thailand .................................... 107...