Courtesy of Proxy Analytics’ alerts – hot off the press: State Street released its annual updated “Proxy Voting and Engagement Guidelines for North America” (US & Canada) and other regions, which are designed to work in tandem with its updated “Global Proxy Voting and Engagement Principles.” Its updated “Global Proxy Voting and Engagement Guidelines for Environmental and Social Factors” provides additional color on SSGA’s approach to engagement and voting (typically via shareholder proposals) on sustainability issues.
Significant changes in proxy voting principles applicable to the US market that are highlighted in State Street’s “Summary of Material Changes” encompass virtual/hybrid shareholder meetings; board racial and ethnic diversity disclosure; board gender diversity; and director time commitments for S&P 500 directors (see pages 3 – 4 of the Material Changes publication and State Street’s sample disclosure (page 4)). In addition, verbiage regarding climate-related disclosures has been scaled back considerably from 2022 (see page 6 of each of the 2023 and 2022 North America guidelines). Likewise with respect to State Street’s use of its proprietary R-Factor (see the text on page 6 of the 2022 North America Guidelines (which is absent from the 2023 North America Guidelines) as compared to page 3 of the 2023 E&S Proxy Voting and Engagement Guidelines).
See also State Street’s updated “Issuer and Stakeholder Engagement Guidelines,” formerly known and described in our prior year reports as the Issuer Engagement Protocol. We reported on other expectations documents in 2022 here.