• Oil Price report that Big Oil’s Boardroom Battles Subside As Climate Activism Loses Steam: “Investor sentiment is back in the favor of Oil and Gas production as prices continue to climb higher. Russia’s invasion of Ukraine has also forced investors and companies to think more about energy security.”
• Reuters asks Where have all the shareholder activists gone? Campaigns slow amid market turmoil: “Activist investors intent on shaking up Corporate America may be getting cold feet as new data points to a slowdown of campaigns as markets gyrate amid fears of faster rate hikes, runaway inflation and geopolitical turmoil.”
• The Financial Times reports that Martin Gilbert’s AssetCo cancels controversial bonus scheme: “Company drops long-term incentive plan after criticism from shareholders”.
• The Financial Times reports that Conservative proposals flop at US AGMs: “The results of this year’s US proxy season are mostly in and activists on both ends of the political spectrum have suffered disappointments.”
• The Wall Street Journal reports that After Defeating Exxon, Engine No. 1 Works With Oil Giants on Emissions: “Following outreach by the erstwhile activist investor, ConocoPhillips, Devon and Pioneer are joining a U.N.-backed group working to cut methane emissions”.
• The Wall Street Journal reports that Elliot Sets Sights on Pinterest: “Activist investor, which has built up a stake of over 9%, has been in discussions with social-media company”
• The Financial Times reports that ESG issues rise up the AGM agenda: “Despite a high profile defeat for Carl Icahn on animal welfare, activists scored notable wins in shareholder votes”.
• The Financial Times reports that Activist investors wage record number of campaigns in Europe: “British companies prove especially vulnerable to restive shareholders.”
• Reuters reports that Sainsbury's shareholders vote against committing to pay Real Living Wage. “Shareholders of Sainsbury's (SBRY.L) voted against a special resolution for Britain's second-biggest supermarket group to commit to paying the so-called real Living Wage to all its workers by July 2023, at its annual general meeting on Thursday.”

• The Economist published a special report on ESG investing: a broken idea: “The environmental, social and governance (ESG) approach to investment is broken. It needs to be streamlined and stripped of sanctimoniousness, argues Henry Tricks”. Read the Economist’s special report along with its leader ESG should be boiled down to one simple measure: emissions.
• The Financial Times reports that European ESG turns towards defence and energy to staunch outflows: “ESG had been underperforming this year after outperforming over the past 10 years, Bank of America said. That reflects the low exposure of most ESG strategies to the energy and defence sectors, both of which have been surging amid the turmoil sparked by Russia’s invasion of Ukraine.”
• The Carbon Disclosure Project (CDP) reports that A record 263 financial institutions with us$31 trillion demand environmental data from 1400+ non-disclosing companies: “The companies targeted, including Tesla, Exxon Mobil, Saudi Aramco and Glencore, cover over US$24 trillion (as of 22 June 2022) in global market capitalization and are estimated to collectively emit more than 4,800 megatonnes (Mt) of carbon dioxide equivalent (CO2e) annually.”
• The Wall Street Journal reports that Audit and Consulting Firms at Odds Over Who Should Verify Climate Data: “The SEC's proposal to require new environmental disclosures from businesses has prompted some firms to claim they are more qualified to sign off on the information”.
• Bloomberg Law reports that Abortion Looms as ESG Issue for Companies After Voiding of Roe: “Companies are being cautious and deliberative in how they factor abortion into their long-term ESG plans despite demands for swift action from shareholders, employees, and the public after the Supreme Court overturned Roe v. Wade.”
• Reuters reports that Shareholder ESG support down but not out, researchers say: “Average support for shareholder resolutions on environmental, social and governance (ESG) topics at U.S. companies dipped to 26.6% this year from 32% in 2021 as asset managers shied away from backing tougher investor requests, new data showed.”
• The Telegraph reports HSBC banker quits and declares 'cancel culture destroys wealth and progress': “Stuart Kirk was suspended in May after attacking climate change 'nut jobs'. Mr Kirk, who was global head of responsible investing at HSBC Asset Management, wrote on social media site LinkedIn that he has now decided to quit in protest. ‘Ironically given my job title, I have concluded that the bank’s behaviour towards me since my speech has made my position, well, unsustainable,’ he wrote. He added that ‘cancel culture destroys wealth and progress’ and there is ‘no place for virtue signalling in finance’.”  
• The Financial Times reports that Chief sustainability officers prosper as ESG risks mount. “CSOs are an increasingly indispensable part of the executive team — and a potentially valuable source of tip-offs.” 

• The Financial Times reports How women broke into the boardroom: “The 30% Club’s mentoring scheme, aimed at getting more women into board-level positions, is now 10 years old. How much has it achieved?”
• Responsible Investor reports that Asset managers under fire over voting power on both sides of the Atlantic: “US lawmakers are seeking to strip managers of proxy voting powers for wokeness while UK funds push them on ESG standards. Managers also have concerns over split voting efforts on the other side of the Atlantic. Rebeca Coriat, head of stewardship at Lombard Odier Investment Management, said that split voting would dilute the firm’s engagement power.”
• The Financial Times reports that HSBC installs Communist party committee in Chinese investment bank: “Lender is highly exposed to escalating geopolitical rivalry between China and west.” 

• ESMA publishes results of its Call for Evidence on ESG ratings: “The feedback received is indicative of an immature but growing market which, following several years of consolidation, has seen the emergence of small number of large non-EU headquartered providers.”   
• The Financial Times reports that the EU parliament votes to designate gas and nuclear as sustainable. “Campaigners threaten to sue over ‘shameful’ outcome that will influence investment in energy sources.” 

• The Financial Times reports how the Audit watchdog to overhaul UK corporate governance code: “FRC lays out plans to make boards more accountable for fraud and company finances”. Read the FRC’s position paper discussing the new UK Code here: https://www.frc.org.uk/news/july-2022/frc-sets-out-next-steps-in-transition-to-new-regul. “In particular, the Position Paper sets out proposed changes to the UK Corporate Governance Code. This will provide a stronger framework for reporting on the effectiveness of internal controls and Board responsibilities for expanded sustainability and ESG reporting, and new guidance on enhanced resilience statements and fraud reporting by directors.”
• The Financial Times reports how Pre-emption changes should force modernisation for London: “Aims of capital market review rely on a more fundamental overhaul and digitisation of market infrastructure”. Read the Government’s UK Secondary Capital Raising Review. “The UK Secondary Capital Raising Review, led by Mark Austin, was launched on 12 October 2021 to look into improving further capital raising processes for publicly traded companies in the UK.”
• The Financial Times reports that the UK aims to set the pace for corporate net zero plans: “Policymakers want to make the country a world leader in green finance, but without scaring businesses away.”
• The Financial Reporting Council publishes Guidance on running effective AGMs:  “With input from a wide range of stakeholders, the guidance gives practical advice to help companies ensure that their AGMs are well-run constructive forums for effective engagement. It covers key aspects such as board engagement with shareholders, communication of meeting arrangements, using proxies, and voting processes.”
• The Financial Times argues The rising risk of ‘audit orphans’ in a dysfunctional UK market: “UK market Regulator Sir Jon Thompson flags the increasing chance that a large listed company is left without an auditor.”
• The Financial Reporting Council announced that New research shows positive impact of revised Stewardship Code: “The research, which took evidence from 55 asset managers and owners, found that both groups are very positive about the impact of the Code and that there was strong evidence of material changes to practice in the areas of governance, resourcing, stewardship activities, outcomes and reporting.”

• The AMF published a statement reiterating its call for a European regulation of ESG data, ratings, and related services: “In its response to the European Commission's public consultation on ESG ratings, the AMF reiterates the need for a European regulatory framework for providers of ESG data, ratings and related services.”.
• Les Echos reports on EDF: an association of employee shareholders files a complaint against the state (“EDF : une association d'actionnaires salariés porte plainte contre l'Etat”): “The association Energie en actions considers that the State, the majority shareholder of EDF, has taken 'ill-considered and despoiling decisions'. According to the association, it has put the company in difficulty 'in defiance of its social interest and the interests of its minority shareholders'.”
• Les Echos reports on 2022 AGMS: shareholders are speaking up and voting on resolutions (“AG 2022 : les actionnaires donnent de la voix et votent les resolutions”): “The climate and executive remuneration were the main issues of contention for shareholders. But shareholders rejected three times fewer resolutions than in 2021.”
• Les Echos reports that In 2022, CAC 40 CEOs received, on average, 7.4m in pay (“En 2022, les patrons du CAC 40 toucheront en moyenne 7,4 millions d'euros”): “After a record year in 2021 marked by exceptional bonuses, the remuneration of the directors of the largest French companies should fall in 2022.”

• The Wall Street Journal argues that Porsche Is a Great Company. Shame About the Governance. “The German sports-car brand needs to reassure investors that it can act independently of its owner, Volkswagen.”
• The Financial Times Reports Herbert Diess ousted as Volkswagen boss: “Volkswagen’s chief executive Herbert Diess, the architect of the German carmaker’s multibillion-euro push into electric vehicles, will leave the company within weeks after being forced out by union bosses.”
• The Financial Times reports that Wirecard’s former top accountant admits forging documents for KPMG special audit: “Stephan von Erffa said fabricated payment authorisation was an isolated event. Wirecard’s ex-head of accounting has admitted to forginf documents requested by KPMG during a special audit, ahead of a trial that is set for later this year, according to people familiar with the matter.”
• The Financial Times argues that the DWS woes put spotlight on the limits of its independence: “Asset manager is listed but German corporate structure allows parent Deutsche Bank to call the shots […] Unlike the process for most public companies, Hoops was appointed chief executive without the need to seek approval from the supervisory board because of the idiosyncratic German structure that Deutsche chose for the DWS listing, known as a KGaA. It combines elements of a limited partnership and a stock corporation. In effect, the influence of minority shareholders is small.”

• La Repubblica reports on Companies and social responsibility: new record of investments in Italy (“Imprese e responsabilità sociale: nuovo record degli investimenti in Italia”): “The figures: €2.16 billion from active companies, which represents 96% of the total.”
• Milano Finanza reports that Italian SMEs due at the test of transparency and governance (“Pmi italiane alla prova di trasparenza e governance”): “The stages of corporate culture needed to increase visibility and prepare the transition to the main segment. Companies moving from Euronext Growth Milan to the main Borsa Italiana’s segment capitalise now a total of €8.3 billion, confirming the great role of the share index dedicated to the Italian innovative SMEs in the overall growth of the Italian stock market.”
• Il Foglio report on Eni and the media-judicial circus: the final acquittal almoest goes unnoticed (“L'Eni e il circo mediatico-giudiziario: l'assoluzione definitiva passa quasi inosservata”): “After the verdict in the Nigeria case, there is great embarrassment among the right-wingers. Years of headlines and calls for the resignation of Eni's top management on the basis of the investigative acts, and now the affair is almost over.”

• Corporate Climate reporting: Ethos’ position on the new legislation put forward by the Swiss Federal Council: “While Ethos welcomes the Federal Council's desire to legislate in the field of companies' non-financial and climate reporting, Ethos regrets that the current project does not oblige them to publish all their greenhouse gas emissions - including indirect emissions - nor to have the information verified by an independent third party.”

• Eumedion reports Large investors will hold supervisory directors to account for too generous executive remuneration policies: “Institutional investors intend to take tougher action against supervisory directors who continue to reward executives too generously, against the advice of shareholders. From now on, Eumedion will warn its members if it appears that supervisory directors have not adjusted the remuneration policy or the bonus payments.” 

• Reuters reports that Shares in Spain's Indra plunge after government tightens control of board: “Shares in Spanish engineering and defence company Indra (IDR.MC) slumped 16% on Friday, a day after shareholders agreed to a board reshuffle that gives the government greater control as Spain looks to boost defence spending.”

• The Wall Street Journal reports how the Supreme Court Climate Ruling Adds Obstacles to SEC Policies: “Decision is regarded as potentially encouraging legal challenges to rules being drafted by financial regulators”.
• Reuters reports that Wells Fargo shareholder sues over reports of sham 'diversity' policy: “A Wells Fargo & Co shareholder has filed a proposed class action accusing the bank of harming its reputation and stock value by allegedly holding sham job interviews so it would appear to comply with an internal policy mandating diverse pools of candidates.”
• The Wall Street Journal reports that Aerojet Rocketdyne CEO Wins Proxy Fight Against Executive Chairman: “Shareholders elect an eight-person board slate put forth by CEO Eileen Drake, her team says”.
• The Wall Street Journal reports that Businesses Urge SEC to Consider Mergers in Climate-Disclosure Rule: “Deals could be delayed or scrapped if buyers are forced to report on acquisitions’ climate risks and emissions without having the time to integrate them, executives and lawyers say”.
• The SEC announced its proposed Amendments to Shareholder Proposal Rule: “The Securities and Exchange Commission today proposed amendments to the rule that governs the process for including shareholder proposals in a company’s proxy statement. Under Rule 14a-8, companies generally must include shareholder proposals in their proxy statements.”
• IR Magazine reports that Share ownership becoming more concentrated, shows MSCI research: “Growing concentration of ownership and control of global equities could result in a loss of influence, and make engagement with listed companies more difficult, warns firm”
• The Wall Street Journal reports that Companies Must Clean Up Supply Chains Under Uyghur Forced Labor Law, Legislators Say: “The remarks highlight the intense bipartisan scrutiny of compliance with a new law that places heavy burdens on importing from China’s Xinjiang region. Two congresswomen made a bipartisan call for companies to take action to comply with a newly operative U.S. law intended to block the import of goods made with Uyghur forced labor.”
• The Financial Times reports that the SEC to rescind Trump-era rule for proxy advisers “Companies backed requirement that ISS and Glass Lewis tell them voting recommendations.”
• Corporate Secretary reports that the SEC scraps rules giving companies more power in proxy process: “The SEC has voted to undo Trump-era rules that handed companies more involvement in the creation of proxy advice.”

• SCMP reports that China’s new ESG disclosure guidelines need a forward-looking slant for international alignment, experts say. “A set of voluntary corporate sustainability disclosure guidelines launched in China last month has provided a good starting point for regulators to set future requirements, but more forward-looking disclosures will be needed for China to align with international norms, according to experts. The reporting guidelines, drafted by over 80 think tanks and companies and comprising 127 environmental, social and governance (ESG) metrics and 373 sub-metrics, is the first China-focused ESG disclosure standard. Nearly 40 per cent of the metrics pertain to environmental matters. Published by the China Enterprise Reform and Development Society (CERDS), a state-backed think tank, its metrics are mostly aligned with international standards.”
• Reuters reports that Chinese tech giants vow to stop NFT secondary trading -state media: “Chinese tech giants including Tencent Holdings (0700.HK) and Ant Group have signed a pact to stop the secondary trading of digital collectibles and ‘self-regulate’ their activities in the market, Chinese state media reported on Thursday.”
• Reuters reports that China IPO applications jump, bucking global trend, as COVID curbs ease: “A spike in listing applications from Chinese companies in June has nearly doubled China's IPO candidates to almost 1,000, the highest in at least three years, potentially making the country a bright spot for bankers as equity offerings slow in other markets.”
• The Financial Times reports Overseas investors mired in fight for control of Chinese developer Nam Tai: “Feud casts rare spotlight on challenges for outsiders navigating country’s property industry.” 

• SCMP reports that Hong Kong Securities and Futures Commission CEO Ashley Alder to leave post in January to join UK regulator as chairman: “Ashley Alder, the CEO of Hong Kong’s Securities and Futures Commission since 2011, will leave his post to join UK regulator Financial Conduct Authority (FCA) in January 2023, the commission said on Friday morning. The government will undertake a global search for a replacement. Alder, whose contract was set to end in September 2023, is the commission’s longest serving CEO.”
• SCMP reports that Hong Kong’s listed firms set for more climate risk reporting, with roll out of new consolidated ISSB standards on the horizon: “Financial executives at listed companies in Hong Kong should brace themselves for more climate risk reporting duties, with a new set of international standards expected as soon as next year. The International Sustainability Standards Board (ISSB), a new body set up late last year to consolidate various standards for environmental, social and governance (ESG) reporting, is conducting public consultations on its proposed standards until July 29.”
• SCMP reports that Hong Kong to benefit as China’s carbon neutral goal and urbanisation drive commodities in post-pandemic era, HKEX CEO says: “China’s 2060 carbon neutrality goal and urbanisation will be key drivers of demand for commodities globally in the post coronavirus pandemic era, creating huge opportunities for Hong Kong, according to Nicolas Aguzin. ‘As the world recovers from the pandemic, the London Metal Exchange [LME] has seen increasing participation by clients from China,’ Aguzin, CEO of bourse operator Hong Kong Exchanges and Clearing (HKEX), which owns the UK exchange, told the LME Asia Metals Seminar 2022 on Tuesday.”
• The Wall Street Journal reports that After 91% Drop, Hong Kong’s IPO Market Shows Signs of Life: “Hong Kong’s equity capital markets are perking up, after a punishing first half for what has long been one of the world’s largest venues for stock issuance. A recovery in initial public offerings and other share sales would be welcome news for the many companies eager to tap investors in the city for funds. It would also be a boost for global investment banks, after a lean period in which they have brought fewer companies to market, often via much smaller deals than in the good years.”
• Bloomberg reports that UK Politicians’ Concern Over HSBC China Communist Committee: “British politicians have criticized HSBC Holdings Plc after a report that a Chinese communist party committee was set up at its local investment banking arm. Chris Bryant, a former Labour government minister and member of the UK parliament’s foreign affairs committee, said the development should ‘worry’ HSBC. Bryant’s concerns were echoed by Alistair Carmichael, a British lawmaker in the Liberal Democrat party. ‘For a group that is headquartered in the UK to be accommodating the Communist Party of China in this way shows a woeful lack of governance and a woeful lack of judgement in the boardrooms that authorize this,’ said Carmichael, who chairs a UK political group focused on Hong Kong.

• Responsible Investor reports Japan releases world’s first code of conduct for ESG data providers. “Voluntary code advises investors to pay attention to objectives and limitations of ESG data.”
• The Financial Times argues AGM season in Japan shines an unforgiving light on corporate governance: “There are signs that domestic institutional stewardship may not be the painless rubber stamp it once was” 

• Institutional Investor Advisor Services argues that India Inc’s remuneration levels needs to be reined in: “Early signs in 2022 suggest that once again, the growth in remuneration will outpace revenue and profit growth. Compensation levels are increasing, and remuneration disclosure levels are decreasing. Nomination and Remuneration Committees are unable to build tangible contours for compensation, resulting in runaway payments.”
• Mint reports on All that shareholders need to know before attending an e-AGM: “It is the annual general meeting (AGM) season. And, shareholders of listed companies can take part in these meetings from the comfort of their homes now. The ministry of corporate affairs has allowed companies whose AGMs are due in 2022 to conduct such meetings through video conferencing or other audio-visual means (OAVMs) till 31 December.” 

• The Telegraph reports Ben & Jerry's forced to end Israel boycott: “Unilever has blocked Ben & Jerry's from boycotting Israel by selling the ice cream brand’s operations in the country to a local manufacturer. Consumer giant Unilever slapped down efforts by Ben & Jerry's to take a political stance in the region, saying it "rejects completely and repudiates unequivocally any form of discrimination or intolerance". Last summer, Ben & Jerry’s had claimed selling into occupied Palestinian territory was "inconsistent with our values" and said that it would not be renewing its licence agreement with its franchise partner in Israel. However, owner Unilever on Wednesday said it had overruled its subsidiary and sold the ice cream maker's local operations, following consultation with the Isreali government.” 

• The Australian Financial Review reports Bonuses are back as Afterpay CEOs take home a record $264m: "ACSI put company boards on notice that major super funds would closely scrutinise CEO bonuses, which have been revived from a pandemic-induced freeze, during the upcoming shareholder meeting season."
• Women on Boards reports on the She's Price(d)less report released by KMPG, Diversity Council Australia and the Workplace Gender Equality Agency, 'Kicking the can down the road again: gender pay gap nears $1bn per week': "Gender pay gaps remain prevalent regardless of labour force size, gender composition or average rate of pay."
• The Australian Financial Review reports Blue hydrogen may be a white elephant'. "The comments come [from ISS ESG] in an overall downbeat note about the investment prospects for hydrogen, despite the hype and noise around the fuel’s likely role in helping the world reach net zero emissions."
• Board Agenda reports CEO Covid pay cuts merely ‘symbolic’: “After examining companies listed on the Australian stock exchange (ASX), researchers from Sydney found that, while many CEOs saw their salary cut back in 2020, their overall pay, thanks to incentives arrangements, remained intact. Pay cuts, they suggest, were largely ‘symbolic’. They add that shareholders, when they saw the remuneration reports, were ‘outraged’.”
• The Financial Times reports Australian pension funds will keep relying on miners for returns, says ex-minister: “Coal and gas stocks ‘appropriate’ investments despite calls to dump them, says former superannuation chief.”