We have included a follow up article to our published story yesterday from the IRRC Institute NEW STUDY FINDS SIGNIFICANT VOTING PATTERNS VARIATIONS AMONG LARGE EXCHANGE-TRADED FUNDS.
Barry Burr from pionline.com reports “Invesco PowerShares ETFs cast the highest percentage of proxy votes against management proposals, according to a Proxy Governance study commissioned by the IRRC Institute on proxy-voting of the seven largest exchange-traded fund sponsors. Also, Invesco PowerShares ETFs and ProFunds ProShares ETFs supported every shareholder proposal on corporate governance and corporate compensation examined in the study, the most consistent in favor of such proposals of any ETFs.”
“Invesco PowerShares voted against 66.7% of management proposals examined in the study, while ProFunds ProShares voted against 33.3% of them. The study examined the proxy voting and policies of at least one major fund, and in most cases several funds, of each of the seven largest ETF companies on 21 proposals at 21 corporations for the year ended June 30, 2008,” Burr Reports.
“The seven sponsors together held 87% of the $535.5 billion in U.S. ETF assets as of last Dec. 31, with BGI accounting for a 48% share of the total, the study said. Barclays on June 11 agreed to sell its BGI asset management business, including iShares, to BlackRock for $13.5 billion,” Burr Reports.
“Rydex ETFs were the most likely of the ETFs analyzed to vote in support of management proposals and against shareholder proposals, the 30-page study said. Rydex supported all management proposals examined in the study and all the shareholders proposals on compensation. It supported only 14.3% of shareholder proposals on governance,” Burr Reports.
Full Story: Here