Below are key takeaways from ISS’ recently released 2025 Canada Proxy Season Preview. The full report is available to institutional subscribers by logging into ProxyExchange then selecting the Knowledge Center and its Library tab and to corporate subscribers by logging into Compass then selecting Governance and the Governance Library or Governance Exchange tab.
- Shareholder Proposals reflect ongoing requests for in-person meetings, climate, alongside regulatory changes related to modern slavery and artificial intelligence.
- Voluntary Canadian Sustainability Disclosure Standards are now in effect. The CSSB issued CSDS 1 and CSDS 2, effective for annual reporting periods starting January 1, 2025.
- Executive Compensation shows increasing adoption, with fewer management say-on-pay proposals receiving below 80 percent support. E&S performance metrics are most prevalent in Composite Index short-term incentive programs.
- Activism increased year-over-year, with almost double the contests concluding in a shareholder vote (seven in 2023, four in 2022). Unclear if this trend will continue for 2025.
- M&A rose in 2024 across most sectors compared to 2023, with early 2025 showing a significant increase in market activity during the first six weeks compared to the previous year. However, as economic uncertainties persist, their impact on deal-making in the short- and long-term remains unclear.
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By:
Karl Bossi, Jessica Wang, Nicholas Stiege, John Vizikas, Shekinah Glory Solomon
