Proxy season 2022: ESG matters, virtual meetings and more
This update summarizes current trends on governance and executive compensation. It also includes recommendations on key issues when preparing for the upcoming proxy season.
On December 16, 2016, the Securities and Futures Commission of Hong Kong issued a circular to all licensed corporations in Hong Kong, which introduced measures to heighten the accountability of the senior management at licensed corporations and increase awareness of the obligations of senior management under the current regulatory regime (the Manager-in-Charge Regime).
The Manager-In-Charge Regime impacts all SFC licensed corporations and their senior management in Hong Kong. Senior management outside of Hong Kong may also fall within the scope of the Manager-In-Charge Regime if, for example, a core function of a Hong Kong licensed corporation reports directly to a regional or global head situated in another country.
The Manager-In-Charge Regime requires licensed corporations to review their current organisational structure, the roles of senior management and their current responsible officers (ROs) in light of the SFC’s classification of core functions within licensed corporations and its guidelines on identifying Managers-In-Charge of Core Functions (MICs). The Manager-In-Charge Regime also imposes new reporting requirements on licensed corporations.
In view of the Manager-In-Charge Regime commencing shortly on April 18, 2017, below are some key questions to help you assess if you and your organisation are on track for compliance with the Manager-In-Charge Regime.
Further details on the Manager-In-Charge Regime and FAQs can be found on the SFC’s website.
Despite roadblocks arising from several interruptions to Parliament over the last few years, Canada continues to revive its draft business and human rights (BHR) legislation to fulfill its commitment to fight against modern slavery in supply chains.
© Norton Rose Fulbright LLP 2021