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New Rules for Shareholder Proxy Advisory Firms

This act introduces new registration requirements and operating rules for firms that advise on shareholder votes. The goal is to increase transparency and accountability of these firms, which may influence how companies in which citizens invest are managed, and protect their interests as investors. The changes also affect investment funds and how information about them is presented.
Key points
Proxy advisory firms must register and disclose information about their operations, including potential conflicts of interest.
The act requires advisory firms to ensure the accuracy of their recommendations and allow companies to provide feedback before publication.
Investment funds promoting environmental, social, or governance (ESG) goals will need to clearly compare their performance and fees with traditional funds.
Rules for resubmitting shareholder proposals have been changed, making it harder to repeatedly present those that did not receive sufficient support.
Automatic voting ('robovoting') based on advisory firm recommendations is prohibited, aiming to encourage more deliberate decision-making.
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Expired
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Additional Information
Print number: 118_HR_448
Sponsor: Rep. Steil, Bryan [R-WI-1]
Process start date: 2023-01-24
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Summarized by: gemini-2.5-flash-preview-05-20
Source data: api.congress.gov
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OFFICIAL LEGAL TITLE

Putting Investors First Act of 2023

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 118_HR_448.

Which chamber initiated this legislation?

This legislation was initiated in the House of Representatives.

When did the legislative process begin?

The process officially started on 2023-01-24.

What are the main provisions?

Key points include:

  • Proxy advisory firms must register and disclose information about their operations, including potential conflicts of interest.
  • The act requires advisory firms to ensure the accuracy of their recommendations and allow companies to provide feedback before publication.
  • Investment funds promoting environmental, social, or governance (ESG) goals will need to clearly compare their performance and fees with traditional funds.
  • Rules for resubmitting shareholder proposals have been changed, making it harder to repeatedly present those that did not receive sufficient support.
  • Automatic voting ('robovoting') based on advisory firm recommendations is prohibited, aiming to encourage more deliberate decision-making.
What is the specific legal status?

The current status is Expired.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Rep. Steil, Bryan [R-WI-1].

What is the latest detailed status?

The latest detailed status is: Referred to the House Committee on Financial Services.

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2025-12-25.

CATEGORIES

Economy Courts and Law