From the Regulators

New deadline is July 23 for comments on the proposed new policy guidance for proxy advisory firms

By James Langton |

Canadian securities regulators are giving the industry an extra month to respond to their recent proposals setting out policy guidance for proxy advisory firms.

The Canadian Securities Administrators (CSA) said Thursday it is extending the comment period on proposed new guidance for proxy advisory firms from June 23 to July 23. (See Investment Executive, CSA seeks comment on guidance for proxy advisory firms, April 24, 2014.)

The CSA says that it is extending the deadline after receiving feedback that it would be beneficial to have additional time to properly review and assess the proposed policy and prepare comments.

The proposals follow consultations on possible regulatory responses to concerns about the current role of proxy advisory firms in the securities industry. They would provide guidance on recommended practices and disclosure for proxy firms that, the CSA says aims to "promote transparency in the services they provide to clients and to foster an understanding among market participants about proxy advisory activities."