Evolving Corporate Governance Landscape in Japan

The adoption and subsequent revisions of Japan’s Stewardship Code and Corporate Governance Code (Governance Code), along with increased investor activism, have slowly ushered in reform in a market that traditionally lags global peers in corporate governance practices. Revisions to the Governance Code and the Tokyo Stock Exchange’s upcoming market reorganization are expected to push companies further toward improved governance practices. However, changes to Japan’s Foreign Exchange and Foreign Trade Act (FEFTA) may limit international investors’ ability to engage with companies and exercise their rights, insulating management from external influence. In this webinar, we took a look at meeting highlights of the 2021 Japanese proxy season and dived into FEFTA’s impact on foreign investors and engagement.

Agenda Topics:

• Improvements in Japanese corporate governance practices

• 2021 Japan proxy season review

• Changes to Japan’s regulatory framework

• Amendments to Japan’s Foreign Exchange and Foreign Trade Act (FEFTA)

• Introduction of MSCI governance metrics

Watch the session on demand.