Adoption of New Proxy Voting Guidelines to Include LGBTQ Diversity on Corporate Boards Sets New Standard
NEW YORK – Amalgamated Bank, the nation’s leading bank for those at the forefront of social change, announced that it will be the first non-governmental institutional investor to expand the definition of corporate board diversity to include LGBTQ individuals*. Amalgamated has adopted new language in its proxy and investment guidelines to explicitly expand the definition of board diversity to include LGBTQ directors.
These policies guide how the bank will vote proxies at the companies in which the bank, through its LongView Funds, holds shares. Typical voting matters include proposals to elect new directors, approval of executive pay packages, mergers and acquisitions, as well as other governance policies.
Amalgamated’s new proxy and investment guidelines now read as follows:
“The Funds generally support reasonable proposals requesting that companies adopt policies or recruit board nominees from diverse populations which may add to the diversity of perspectives on the board and benefit shareholder value. The Funds view diversity broadly and believe diverse boards may encompass considerations such as professional background, expertise, skills, age, race, gender, ethnicity, geography, sexual orientation and gender diversity. Director attributes should be relevant to the company’s business and enhance the board’s capacity to effectively oversee strategy and risk, including operational, regulatory climate-related and environmental, human capital, macroeconomic, and financial risks.”
The expanded language affirms Amalgamated’s longstanding commitment to promoting diversity of all kinds and its belief that diverse boards and leadership drive long-term shareholder value. Amalgamated’s updated proxy and investment guidelines reflect the example of New York City Pension Funds, who adopted similar language in 2016. As the first non-governmental institutional investor to embrace this policy change, Amalgamated is proud to be a leading voice in the push for diversity in leadership.
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Courtesy of Amalgamated Bank.