Goldman Sachs has introduced a scheme designed to simplify how retail stockholders cast ballots on their shares.
Under the Goldman Sachs voting instruction programme, individual investors can set standing orders that automatically direct their votes in line with guidance from the bank’s board of directors.
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Participation in the programme is optional, allowing investors to adjust or revoke their preferences at any stage.
A dedicated registration portal for retail clients is scheduled to open shortly, whilst staff members will have access to an internal tool to register qualifying accounts if they choose.
The bank affirmed that shareholder rights, ballot choices, and the delivery of official proxy statements will remain unaltered for all equity holders.
Goldman Sachs Chairman and CEO David Solomon said: “We are pleased to provide our individual investors with this free and flexible way to ensure their shares are voted on important matters.”
According to Bloomberg, the arrangement is expected to raise voter turnout in support of management’s positions at annual meetings, following recent disputes over executive remuneration.
Last year, one-third of voting shareholders rejected $80m retention bonuses allocated to CEO David Solomon and President John Waldron, marking the firm’s largest recorded pushback on leadership compensation.
During that vote, investors representing approximately one-quarter of the bank’s shares did not participate, the news publication added.
According to a September regulatory submission sent to the Securities and Exchange Commission (SEC) by Jamie Greenberg, chief legal counsel for the bank’s board, active personnel alongside former partners, accounting for over 7.6% of common equity, had repeatedly requested a mechanism to submit recurring voting preferences.
