How will SECs proposal to let shareholders nominate directors to corporate boards impact corporate treasury?
I think that the major issue is whether shareholders will nominate directors with credible knowledge and experience or merely politicians with a chip on their shoulders. Not to mean that all director nominees have always been experts or at the top of the corporate game, but in most cases they have been. Only time will tell if that will change if shareholders get a bigger seat at the table. However, even if the SEC proposal doesn’t go through, it has been getting harder and harder for boards to find qualified persons willing to serve as directors. Many potential directors are not willing to put in the time now required of them or reducing the number of boards they are willing to serve on. So, in the end, it might not make that much of a difference.
