Glass Lewis, U.S-based global proxy advisory firm pledged to comply with South Korea’s stewardship code, a set of guidelines that encourage institutional investors to exert voting rights and be more active in corporate management, said the Korea Corporate Governance Service (KCGS) on Friday.

Glass Lewis has become the first foreign proxy advisor adopting the code in Korea, according to the KCGS.

The stewardship code was introduced in Korea in 2016 to allow institutional investors to more actively participate in invested companies’ decision-making process to maximize shareholder benefit. The KCGS is an institution in charge of managing the guideline and encouraging investors’ adoption.

“Korea’s Stewardship Code (“Code”), published by the Korea Stewardship Code Council on December 16, 2016, is an effort to promote greater transparency among investor groups with respect to their responsible investment activities, with the aim of pursuing the mid- to long-term interests of investors and beneficiaries. Glass Lewis welcomes the opportunity to participate in the Code,” stated the company on its corporate website.

Established in 2003, Glass Lewis is a global proxy adviser to some of the world`s largest fund managers. It boasts 37 percent share in the international proxy advisory market.

A proxy advisor provides services to shareholders to vote their shares at shareholder meetings of, usually, listed companies.

By Park Yun-gu and Cho Jeehyun

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