Client Alert

New UK Stewardship Code

July 13, 2010

Ronan OSullivan & Ross McNaughton

On 2 July 2010 the Financial Reporting Council (FRC) published the new UK Stewardship Code (the Stewardship Code), which sets out the best practice for institutional investors in their stewardship of UK listed companies.

The Stewardship Code has been introduced with a view to enhancing the quality of engagement between institutional shareholders and the companies in which they invest. Effective shareholder engagement is a fundamental premise on which the comply or explain approach to corporate governance in the UK is based.

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