Musk tweets proxy voting firms have ‘far too much power’

Billionaire Elon Musk said in a tweet that the advisers that help guide shareholders on how to cast their votes at meetings of publicly traded companies had “far too much power”, without citing specific examples.

Advisers including Institutional Investor Services (ISS) and Glass Lewis issue reports to institutional clients such as pension schemes suggesting how they should vote on everything from electing board members to signing off on pay and perks.

As companies increasingly face investor pressure over environmental, social and governance-related (ESG) issues, such as climate change, their role is in the crosshairs of a growing movement in the United States pushing back on such matters.