Board Constitution and Term Limits

Ipreo has a vast network of clients and contacts across all corners of the financial community, and we often turn to that community for insights and perspective straight from the source. Doing so not only keeps us abreast of the latest changes in the industry, but allows us to provide others with information that they might not be able to access themselves.

Our series of Hot Topic Summary Reports is part of that ongoing effort, and in these reports we strive to identify hot button issues facing our industry, and to gather input on those issues right from the people directly affected by them.

This month, we asked a collection of buy-side analysts and portfolio managers for their views on board constitution and term limits. Specifically, we requested their thoughts on best practices in relation to those issues, and we asked their opinion on companies that adhere to and ignore such practices.

As usual, the responses varied, particularly in regards to the size of the board and term limits. There was consensus around the idea of having an independent board that is diverse with a good range of knowledge, and most investors believe that companies would benefit from the fresh perspective that comes with new board members.

To see all of Ipreo’s findings in the full Hot Topic Summary Report:
“Best Practices Relating to Board Constitution and Term Limits”.