NYSE Euronext has released the final report of a commission it called on to examine corporate governance, the exchange company said Thursday.

The Commission on Corporate Governance, chaired by Larry Sonsini, chairman of Wilson Sonsini Goodrich & Rosati, sets out 10 core governance principles, including: that the board’s fundamental objective should be to build long-term sustainable growth in shareholder value; management has the primary responsibility for creating a culture of performance with integrity and ethical behavior; and, that good corporate governance should be integrated with the company’s business strategy and not viewed as simply a compliance obligation.

It also stresses that shareholders have a responsibility to vote their shares in a “reasoned and responsible manner”, and should engage in a dialogue with companies in a thoughtful manner. It calls for proxy advisory firms be held to appropriate standards of transparency and accountability; and says that the US Securities and Exchange Commission should work with exchanges to ease the burden of proxy voting while encouraging greater participation by individual investors in the proxy voting process.

Additionally, the report says that, while legislation and rule-making are important to establish the basic tenets of corporate governance, governance issues are generally best solved through collaboration and market-based reforms.

“The principles outlined by the Commission on Corporate Governance are a significant contribution to understanding the core duties and responsibilities of boards, management and shareholders in the governance process, and provides an important framework outlining the common interests of these groups,” said Sonsini.

IE