The retail
stock traders on the eToro platform can now not only receive dividends but also
participate in voting during shareholder meetings worldwide, regardless of
which company they have invested in.
This
development comes after the successful launch of the feature for US stocks last
year, which saw over 145,000 votes submitted by eToro users.
The
expanded proxy voting feature made possible through eToro’s partnership with
Broadridge Financial Solutions Inc., allows users, including those holding
fractional shares, to participate in Annual General Meetings (AGMs) for stocks
worldwide. Retail investors can now cast their votes on crucial matters such as
mergers, executive compensation, and environmental, social, and governance
targets.
“eToro
users embraced proxy voting last year, and we are thrilled to be building out
this feature to include all stocks on our platform,” Dan Moczulski, the UK Managing Director at
eToro, commented. “Our users invest in companies from all over the world. Now
they can have their voice heard with these companies by having a say in big
corporate decisions.”
According
to eToro’s Retail Investor Beat survey, which polled 10,000 retail investors
across 13 countries, the appetite for proxy voting is rising. The survey
revealed that 29% of retail investors have voted in an AGM, up from 26% in the
previous survey conducted in June.
Among those
who voted, the most common topics included the election or re-election of
directors (47%), dividends (45%), share buybacks (34%), and executive pay
(30%).
Separate
research by eToro showed that 27% of retail investors are moving away from
large companies, seeking investment opportunities in smaller ones where they
can have a more tangible impact on building their value.
Empowering Retail
Investors and Promoting Shareholder Democracy
The
expansion of eToro’s proxy voting feature aligns with the growing trend of
retail investors seeking greater influence and engagement in the companies they
invest in.
Demi Derem,
the General Manager of International Corporate Governance, Digital
Transformation and Market Innovation at Broadridge, highlighted the importance
of this development.
“We are
witnessing the evolution of a new generation of retail investors – one that has
expectations for more choice, convenience, and simplicity as their appetite to
influence a company’s direction grows,” Derem added.
Broadridge has collaborated with eToro on proxy voting since the service’s launch in the United States at the end of 2022. Due to its immense popularity, platform clients can now actively participate in the lives of “their” companies worldwide.
“Proxy
voting will be an increasingly important feature for our users, allowing them
to exert their rights as shareholders and have a direct influence on the
companies they hold in their portfolio,” said Gili Wolff, the Senior Director of Product, Trading, and Dealing at eToro.
Finance
Magnates learned this week that eToro is exploring opportunities to obtain a
license in Singapore, and the application is “in process.”
Information
from a month ago also indicates that eToro plans to become a public company
through an IPO. Drew Niv, the founder and former CEO of FXCM, discussed this
topic with Finance Magnates.
The retail
stock traders on the eToro platform can now not only receive dividends but also
participate in voting during shareholder meetings worldwide, regardless of
which company they have invested in.
This
development comes after the successful launch of the feature for US stocks last
year, which saw over 145,000 votes submitted by eToro users.
The
expanded proxy voting feature made possible through eToro’s partnership with
Broadridge Financial Solutions Inc., allows users, including those holding
fractional shares, to participate in Annual General Meetings (AGMs) for stocks
worldwide. Retail investors can now cast their votes on crucial matters such as
mergers, executive compensation, and environmental, social, and governance
targets.
“eToro
users embraced proxy voting last year, and we are thrilled to be building out
this feature to include all stocks on our platform,” Dan Moczulski, the UK Managing Director at
eToro, commented. “Our users invest in companies from all over the world. Now
they can have their voice heard with these companies by having a say in big
corporate decisions.”
According
to eToro’s Retail Investor Beat survey, which polled 10,000 retail investors
across 13 countries, the appetite for proxy voting is rising. The survey
revealed that 29% of retail investors have voted in an AGM, up from 26% in the
previous survey conducted in June.
Among those
who voted, the most common topics included the election or re-election of
directors (47%), dividends (45%), share buybacks (34%), and executive pay
(30%).
Separate
research by eToro showed that 27% of retail investors are moving away from
large companies, seeking investment opportunities in smaller ones where they
can have a more tangible impact on building their value.
Empowering Retail
Investors and Promoting Shareholder Democracy
The
expansion of eToro’s proxy voting feature aligns with the growing trend of
retail investors seeking greater influence and engagement in the companies they
invest in.
Demi Derem,
the General Manager of International Corporate Governance, Digital
Transformation and Market Innovation at Broadridge, highlighted the importance
of this development.
“We are
witnessing the evolution of a new generation of retail investors – one that has
expectations for more choice, convenience, and simplicity as their appetite to
influence a company’s direction grows,” Derem added.
Broadridge has collaborated with eToro on proxy voting since the service’s launch in the United States at the end of 2022. Due to its immense popularity, platform clients can now actively participate in the lives of “their” companies worldwide.
“Proxy
voting will be an increasingly important feature for our users, allowing them
to exert their rights as shareholders and have a direct influence on the
companies they hold in their portfolio,” said Gili Wolff, the Senior Director of Product, Trading, and Dealing at eToro.
Finance
Magnates learned this week that eToro is exploring opportunities to obtain a
license in Singapore, and the application is “in process.”
Information
from a month ago also indicates that eToro plans to become a public company
through an IPO. Drew Niv, the founder and former CEO of FXCM, discussed this
topic with Finance Magnates.
