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Jamie Dimon has taken a swipe at proxy advisor firms arguing they are “incompetent” and that their sway over shareholder decisions is “driving companies out of the public market”.
Criticism of advisors like ISS and Glass Lewis seems to have ramped up a notch as Republicans in Congress seek to restrict proxy recommendations on governance, mergers and executive pay.
Both firms, it’s worth noting, last year recommended rejecting Elon Musk’s unprecedented $56 billion bonus at Tesla. Project 2025 meanwhile accuses ISS and Glass Lewis of using “heavily weighted ESG criteria in directing the proxy votes”.
A regulatory clampdown on the proxy advisors seems likely. But their main clients, institutional investors, may have something to say about it.
