Shareholders looking to have a say in the running of companies in which they have invested have been backed by the Financial Services Authority (FSA).
The national regulator wrote a letter to trade associations clarifying that rules set down by the organisation do not stop shareholders from taking a more active role in their invested enterprises.
Prominent banker Sir David Walker recently suggested that good corporate governance could be promoted if those with investments could take a more active role in decision making.
Alexander Justham, director of markets for the FSA, said: "There is nothing under FSA rules that prevents investors discussing matters when it is for a legitimate purpose. Our letter provides clarity to investors that they are free to engage with the boards of companies as Sir David Walker envisaged."
BlackRock recently said that the Monetary Policy Committee's push forward with quantitative easing has not yet reduced the risk of deflation for those making investments in the UK economy.
FSA clarifies activist investment regulations
Onlineshares Quote Line
0845 108 0505
FSA clarifies activist investment regulations
Thu, 20 Aug 2009
Recommended links
Make the right investment choicesInvestments review form
Invest in precious metals
Investment bonds
National savings certificates
Buying preference shares
Unit trusts
Regular income investment fund launched
iShares launches guide for fixed income ETFs
Nationwide offers capital-guaranteed bond
Equity investments still popular, says IMA
| Stocks & Shares news |
|---|
| New chairman at Association of Investment Companies - Thu, 29 Jul 2010 |
| Investment with diversified portfolio recommended - Tue, 27 Jul 2010 |
| New guide to emerging market investments - Thu, 22 Jul 2010 |
| More News |
