By Geoff Wilson AO
Current legislation must be repealed to outlaw virtual-only annual general meetings (AGMs) for ASX-listed companies. The gold standard is a fully hybrid AGM, providing the 7.7 million Australian retail shareholders with access to company boards and management at least once a year.
The Government is currently considering legislative changes to the method of conducting company AGMs. We advocate for reform that promotes a fully hybrid format and bans virtual-only AGMs. We encourage all other listed companies to adopt the hybrid format, which is the fair and equitable approach.
Initially enabled by temporary amendments to the Corporations Act during the pandemic, fully hybrid AGMs have since been embraced by Wilson Asset Management’s investment team, our 130,000 retail shareholders and eight listed investment company boards.
These AGMs integrate a physical meeting venue with online participation which allows shareholders to vote and ask questions.
The format provides shareholders with full transparency, accountability and access to the companies they invest in, no matter their location.
Since first holding hybrid AGMs in late 2020, Wilson Asst Management has seen a 157% increase in the average number of AGM attendees across our eight listed companies.
Feedback from our shareholder consultations has confirmed, that the fully hybrid meeting structure accommodates diverse shareholder needs, from health concerns to geographic constraints and professional responsibilities.
While online participation enhances accessibility, physical attendance remains critical for upholding transparency and accountability. It ensures all shareholders can hold the board and management to account for their performance.
We remain committed to preserving this dual approach to AGMs. It’s important that we all continue to leverage technology to empower Australian investors.
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