Below are key takeaways from ISS’ recently released 2025 Taiwan 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.
- Strengthening Sustainability Disclosures: All TWSE and TPEx listed companies are required to disclose sustainability reports starting in 2025. In addition, listed companies with a paid-in capital exceeding NTD 10 billion, as well as those in steel and cement industries, are required to disclose detailed climate-related information, such as greenhouse gas emissions and assurance, carbon reduction targets and implementation plans.
- Advancing Board Gender Diversity: Listed companies in Taiwan are required to disclose more information about their board gender diversity, and the percentage of women serving on boards of directors has been increasing, and is expected to continue to increase in the future.
- Enhancing Board Independence: The independence level of the board of directors of Taiwan-listed companies has been increasing steadily over the past five years, and this upward trend is expected to continue given increasingly stringent regulatory requirements.
- Mandating Profit-sharing Mechanism with Employees: Listed companies and companies that are traded over-the-counter are required to allocate a certain proportion of their annual profits as remuneration adjustments and/or compensation for their rank and file employees and amend their Articles of Associations to reflect such requirement in FY2025.
If you are not a subscriber, please contact sales@iss-stoxx.com (for institutional investors) or contactus@isscorporatesolutions.com (for corporations) to learn more about accessing bespoke governance research.
By:
Ada Lu, Harry Liu, Harry Sun, Mengzhen Zhang, Xinyi Yang, Yuan Yao, Elodie Zeng, Rui Ning Cheng, Xiao Xie
