Taiwan's e-voting for shareholders becomes mandatory

Taiwan's e-voting for shareholders becomes mandatory

(By Taiwan News)

TAIPEI (Taiwan News) – Starting from January 1, companies traded on the main board and emerging stock board have to implement e-voting at the meetings of the shareholders to enable them to cast votes remotely.

The new rule will hardly cause headaches for the companies traded at the Taiwan Stock Exchange (TWSE) and Taipei Exchange (TPEx), as the e-voting system has been widely adopted in the country in recent years. According to the Taiwan Depository & Clearing Corporation (TDCC), up to 1,233 companies included e-voting in the shareholder’s meetings last year, among which 56 percent were voluntary, with 2.23 million votes cast.

More than 1,600 TWSE- and TPEx-listed companies are subject to the new rule starting 2018.

To improve the user experience, the TDCC introduced an app for e-voting in 2015, and today it links up to 32 brokers' trading apps and has been well received by the market. The app has made vote casting much easier for investors and has been proved to effectively increase the participation of shareholders in the meeting when the cost of physically attending the meeting is higher.

The TDCC has also launched other value-added services to the e-voting app over the past year, including an e-passbook. With the e-passbook, users can check the balance of shares in their securities investment, receive notices from listed companies in their investment portfolios such as the date of shareholder meetings and stock dividend issues, and connect to the e-voting page.

Each user can put together different securities accounts into the same app and that enables users to better manage their investment securities portfolio traded through different broker-dealer firms.

On the other hand, the TDCC will also utilize the data collected from the entries of e-voting at shareholders’ meetings to carry out big data analytics and to produce valuable information for listed companies as well.