Shareholders Should Send Underperforming Companies a Message by Voting Against Incumbent Board Members
December 10, 2017
Companies such as Hudson’s Bay, Crescent Point and numerous others have consistently destroyed shareholder value as a result of poor strategy or execution. It is time for all shareholders to send a clear message of their disappointment by voting against current directors when they get an opportunity to vote in a few months.
Investors should scrutinize the voting record of their portfolio managers. If the fund manager is voting for underperforming board or isn’t voting at all, investors should hold the portfolio manager accountable. If no action is taken, failing companies will likely continue on that path. Companies that have lost a significant value this year and devastated their investors should have new leadership starting with the board and CEO.