CG 2

What are some of the rights typically given to shareholders?

• To participate in day-to-day management of the business

• To sell their shares at any time

• To receive notice, attend, and vote at shareholders' meetings

• To access the company's social media accounts

What are shareholders required to vote for in annual general meetings (AGM)?

• Approval of there-appointment of auditors

• Approval of the accounts presented by the directors

• Payment of dividends proposed by the directors

• All of the above

What is the role of a proxy in corporate governance?

• To create shareholder newsletters

• To represent a shareholder at meetings

• To manage the company's finances

• To audit the company's accounts

What is the purpose of shareholder activism?

• Challenge excessive director remuneration

• Oppose schemes and predatory behaviour to protect the company

• Highlight unsatisfactory performance

• All of the above

What are some types of directors mentioned in the slides?

• Executive director & Non-executive director

• Managing director & Shadow director

• Nominee director &

  Worker or employee director

• All of the above

What are some of the Nolan principles of public life?

• Selfishness, Dishonesty, Subjectivity

• Accountability, Laziness, Honesty

• Selflessness, Integrity, Objectivity

• Openness, Rudeness, Leadership

What is a related party transaction in corporate governance?

• A transaction between two unrelated companies

• A transaction between a company and a closely related party

• A transaction between a company and a random individual

• A transaction between a company and a competitor

What is insider trading and why is it considered inappropriate?

• Trading in a company's assets based on insider tips, following fiduciary duty

• Trading in a company's shares based on public information, following fiduciary duty

• Trading in a company's shares based on privileged information, breaching fiduciary duty

• Trading in a company's shares based on market trends, breaching fiduciary duty

What are some examples of board committees mentioned in the slides?

• Social committee, Environmental Committee

• Audit committee, Remuneration Committee

• Food committee, Travel Committee

• Music committee, Movie Committee

What are the essential duties of a director?

• Duty of trust & Duty of care

• Duty of trust only

• Duty of care only

• None of the above