Fidelity And Vanguard Chairmen Come Down Against Mutual Fund Proxy Disclosure

Fidelity Investments Chairman Edward Johnson III and Vanguard Group Chairman John Brennan said in a jointly signed article in the Wall Street Journal today that a Securities and Exchange Commission proposal to require mutual funds to disclose how they vote

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Fidelity Investments Chairman Edward Johnson III and Vanguard Group Chairman John Brennan said in a jointly signed article in the Wall Street Journal today that a Securities and Exchange Commission proposal to require mutual funds to disclose how they vote their proxies would “politicize” the process. Some would say, of course, that the process is already politicised. The corporate governance lobbyists want to know how major fund managers vote so they can pressurise them on issues such as boardroom pay, while Fidelity and Vanguard will be concerned not to strain relationships with corporations whose pension plans they help to invest.

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