Oasis Says Japan’s 1% Proposal Threshold Hikes Bar for Retail Investors
Updated
Updated · Bloomberg · May 28
Oasis Says Japan’s 1% Proposal Threshold Hikes Bar for Retail Investors
1 articles · Updated · Bloomberg · May 28
Seth Fischer, founder of Oasis Management, said Japan’s plan to tighten shareholder proposal rights would hurt retail investors more than activist funds.
The proposal would raise the eligibility threshold to holders of at least 1% of voting rights from the current 300 voting rights, sharply increasing the bar for small shareholders.
Fischer argued the change would do little to curb institutional activist investors, suggesting the burden would fall mainly on individuals rather than large funds.
Japan’s government floated the measure in March, and some lawmakers from the ruling Liberal Democratic Party also proposed a similar change in May.
As Japan raises shareholder hurdles, will it silence small investors and deter the foreign capital it seeks?
Are Japan's new shareholder rules protecting companies or entrenching management at the cost of investors?