Broadridge and SDC to Deliver Enhanced Investor Voting Solution to the Nordic Markets


To meet ongoing regulatory and market demand for increased governance and transparency, global Fintech leader Broadridge Financial Solutions, Inc. (NYSE: BR) today announced that it has signed an agreement with SDC, a leading provider of banking systems in Scandinavia, to deliver its end-to-end digital voting solutions to SDC’s customers. Broadridge’s solutions will enable banks to make it easier for retail and institutional clients to vote.

Broadridge’s multi-award-winning digital voting and shareholder disclosure solutions use the latest API- and blockchain-based technologies to help SDC, and its customers in Scandinavia, by enabling easier corporate governance and investor engagement.

“SDC is the main supplier of banking systems to more than 100 banks in the Nordic region and therefore, it is of great importance that we can provide the system support that enables our banks to meet compliance requirements,” said Hilde Seljom, Department Director at SDC. “We see Broadridge as a professional supplier who can help us achieve this goal. We are very pleased with the collaboration with Broadridge, who shows great flexibility and insight into our business and the needs of our banks.”

SDC will leverage the solution to support the regulatory needs across its network of more than 100 Nordic banks, who will benefit from high levels of straight-through processing efficiency throughout the voting lifecycle for both retail and institutional customers.

“Choosing the right partner is so important in these times. Professional integrity, a proven track record, flexibility, along with best-in-class client service and data security, are all pivotal and key consideration points for our clients,” said Demi Derem, General Manager, International Investor Communications Solutions at Broadridge. “We are delighted to be chosen as SDC’s trusted partner. At Broadridge, we’re committed to accelerating global corporate governance standards for the benefit of all participants throughout the investment communications lifecycle. Through our collaboration with SDC, we’re looking forward to bringing greater transparency and higher levels of investor stewardship to the Nordic markets.”


Broadridge Launches New Proxy Voting in Austria via Direct Market Solutions


Further extending its innovation program to support the highest standards of corporate governance in local and global markets, Broadridge Financial Solutions, Inc. (NYSE:BR) today announced the successful live running of its “market golden copy” event sourcing and proxy vote execution service for banks, brokers and wealth managers in Austria.

“We remain firmly focused on our commitment to innovate and transform the proxy voting eco-system, both globally and at a local market level, while reducing costs and risk to market intermediaries through our mutualised shared service model,” said Demi Derem, general manager of International Investor Communication Solutions, Broadridge. “Our investments for the Austrian market will deliver substantial improvements to operational efficiency with advanced straight-through processing for market participants and support incremental levels of shareholder democracy by empowering investor stewardship and related ESG strategies.”

The Austrian service is the latest operationally live addition to Broadridge’s fast-growing Direct Market Solutions (DMS) product suite that directly connects investors and issuers and improves voting deadlines for investors. DMS supports both institutional and retail investor voting in Austrian equities.

By providing a direct, automated service, Broadridge has significantly improved market deadlines – extending the voting window and research period for investors by an average of four days. Meeting and event notifications are electronically sourced from the market after which they are reconciled and forwarded to investors. Voting instructions received are provided digitally for physical submission at the meeting in accordance with national requirements. A confirmation of receipt of votes will be provided and displayed to investors confirming the vote was duly cast.

Broadridge announced its increased focus on driving local market efficiencies in 2021, with expanded coverage for proxy processing and extended voting windows as its core objectives. In 20 markets it has now met these fundamental objectives and remains on target to do the same for several more markets by 2023. These incremental local market innovations complement Broadridge’s existing leading global voting solutions that already provide investors 100% coverage across 100+ markets.


Top Trends Driving the Rise of the Retail Investor in Europe Highlighted in New Broadridge Whitepaper


A new whitepaper focused on the growth of retail investment in Europe, and the corresponding need for financial intermediaries to reappraise how they service the increased corporate governance requirements of the retail investor, was released today by Broadridge Financial Solutions (NYSE: BR), a global Fintech leader.

The whitepaper, titled The Rise of the Retail Investor, assesses the European regulatory agenda and the continued roll-out of the Capital Markets Union that reinforces the objective for a more engaged and empowered retail investor community. It highlights specific regulatory drivers, such as the Shareholder Rights Directive (SRD II), that mandated financial intermediaries – including banks, brokers and wealth managers – to provide voting solutions to their underlying retail investors for the first time. It explores how these retail investors, together with social media, can potentially influence meeting outcomes around topical issues like director remuneration, climate change and the ESG policies adopted by issuers and asset managers.

“Some of the world’s leading banks and brokers have recognised the importance of regulatory and social change impacting their business and many have stepped up their investor communications product offerings, with the most advanced now looking at ways to incorporate ESG sentiment from their mutual fund holders,” said Demi Derem, General Manager, International Bank Broker-Dealer Communication Solutions at Broadridge. “We have witnessed a strong demand for our ESG-focused retail voting solutions and this whitepaper highlights how the industry is managing the implementation of the rising standards in corporate governance communications. The whitepaper also examines how some firms are looking over the industry horizon, to build brand reputation and trust, while leveraging Fintech innovation to achieve best-in-class compliance and strengthen their core service propositions against their peers.”


Broadridge Announces Go-Live of Global Proxy Sub-Custody Services in Switzerland


As part of the ongoing worldwide rollout of its innovation program to promote and enable the highest standards of corporate governance in local and global markets, Broadridge Financial Solutions, Inc. (NYSE:BR) today announced the live operational availability of its “golden copy” event sourcing and proxy vote execution service for custodians and local agents in Switzerland.

The Swiss service is the latest market-ready addition to Broadridge’s fast-growing sub-custody Direct Market Solutions (DMS) product suite that can directly connect investors and issuers.

“This new local service offering for Switzerland is another market-level transformation, empowering all participants throughout the proxy voting lifecycle to transition to a more streamlined and efficient process,” said Demi Derem, GM, International Investor Communication Solutions at Broadridge. “Firms adopting our service for the Swiss market can now capitalize on straight-through processing automation, which extends their clients’ voting window while lowering overall voting costs through a mutualized shared service model.”

Broadridge’s extensive user community – global and local custodian banks, brokers, wealth managers and central securities depositories (CSDs) – can now further enhance their services provided to Swiss market investors by enabling early receipt of issuer-verified event announcements, improved deadlines for submitting votes, confirmation of votes received by the issuer or its agent, and power of attorney services for both bearer and registered shares. Issuers also benefit from a channel through which greater event information can be distributed directly to the investor, and voting transparency is enhanced as instructions can be received in a timelier manner.

Broadridge recently announced its expanded coverage for proxy processing and extended voting windows for 20 sub-custody markets in 2021, with more markets to follow in 2022 and 2023. This complements Broadridge’s existing leading global voting solutions that already provide 100% coverage across 100+ markets.


Broadridge Expands Global Proxy Sub-Custody Market Services


Broadridge Financial Solutions, Inc. (NYSE:BR) today announced the significant expansion of its Direct Market Solutions (DMS), a custodian focused local market “golden copy” event sourcing and vote execution service extension to Broadridge’s leading Global Proxy solution. The innovation in DMS services is across three areas:

  • Grows coverage to 20 key markets in 2021 (which represents the significant majority of client holdings and ~50% of global meetings) with more markets to follow in 2022 and 2023. This complements Broadridge’s existing leading voting solutions that already provide 100% coverage across 100+ markets
  • Improves market deadlines and extends voting windows by up to three days, allowing investors more time to make their elections
  • Reduces costs to custodians due to Broadridge’s ability to mutualise event sourcing and execution across the industry, and pass those savings to participating clients

DMS enables issuer market “golden copy” meeting information to be communicated to investors on the day of the meeting announcement, where required.  It also extends the voting window by up to 3 days for investors by removing market inefficiencies in the traditional voting process, allowing votes to be placed directly from the investor to the issuer or its agent in these markets.

“Today’s announcement is part of our ongoing innovation to enable higher standards of corporate governance and investor stewardship,” said Demi Derem, GM, International Investor Communication Solutions at Broadridge. “Broadridge has long advocated and invested in more efficient and innovative local market models through its DMS service launched in 2015.  Shareholder Rights Directive II (SRD II) obligated European issuers to provide the market with “golden copy” machine readable issuer meeting information. Since SRD II was put into effect in September 2020, we have completed over 300 new retail and institutional client implementations and processed over 89,000 meetings for clients that trust in our global proxy credentials and ability to continually drive the market forward for the benefit of all participants.”

DMS markets covered in 2021 include AustraliaBelgiumCanadaDenmarkFranceGermanyHong KongIrelandItalyJapanMalaysiaNetherlandsNew ZealandSaudi ArabiaSingaporeSpainSwitzerlandTaiwan, UK and US.

With its track record of over 30 years leading the industry in voting-related managed services, Broadridge has the scale, global coverage, and the ability to provide an iron-clad, multi-lingual 24/7 client service solution that enables every vote to get to the right place at the right time. The investments involved in building this infrastructure are substantial, but Broadridge is deeply committed to making sure its clients always get the most advanced voting service possible.


Caceis Goes Live with Retail and Institutional SRD II Solution from Broadridge


In response to new regulatory obligations under the updated Shareholder Rights Directive (SRD II), CACEIS Bank S.A., Germany Branch has selected global Fintech leader Broadridge Financial Solutions, Inc. (NYSE:BR) to provide it with a full suite of advanced solutions for the Directive. Caceis is running live on Broadridge’s SRD II solutions, enabling it to address the Directive’s requirements for increased governance and transparency through a strategic, end-to-end process for voting and disclosure across all in-scope European markets.

Caceis is using Broadridge’s enhanced Global Proxy Voting platform for its German domestic and cross-border custody operations, benefitting from high levels of straight through processing efficiency throughout the voting lifecycle for its broad network of bank and broker intermediaries as well as for their direct retail and institutional investor clients. The bank is also using Broadridge’s new Shareholder Disclosure Hub, both in Germany and more widely across the Caceis Group, enabling it to meet issuer requests for shareholder details within the tight deadlines mandated by the Directive.

“We welcome and fully support the heightened levels of corporate governance introduced through SRD II, together with its objectives for improved communication standards between issuers and investors, and the drive for greater shareholder engagement,” said Stéphane Arvor, Member of the German Executive Committee and responsible for Information Technologies, Caceis Bank S.A., Germany Branch.  “Working with Broadridge as our trusted partner, we have benefitted from their proven global leadership in proxy vote processing, their deep and highly experienced talent pool of knowledgeable experts, and their exceptional proposition that supports both retail and institutional shareholder communications and their respective multi-channel delivery requirements.”

“Caceis has taken a structured and responsible approach to SRD II compliance, enabling it to play an important role in advancing shareholder democracy and market-wide governance standards throughout the shareholder communications chain,” said Demi Derem, General Manager for International Investor Communications, Broadridge.  “SRD II is global in its scope, impacting any financial intermediary that holds or services European equities.  Many firms like Caceis, including banks, brokers and wealth managers, are required to provide voting and disclosure services for the first time, and it is important that they meet their new obligations.”

Broadridge’s enhanced Global Proxy solution utilises a white labelled retail voting platform, ProxyVote©, as well as its multi-custodial institutional voting platform, ProxyEdge©.  It enables same-day event capture and distribution, same-day proxy vote processing and vote confirmations, advanced multi-channel retail functionality and European client data storage.  Its new Shareholder Disclosure Hub, an industry-wide digital solution, uses the latest API- and blockchain-based technologies to address SRD II’s new shareholder disclosure requirements and provide class-leading data security.

Broadridge has successfully implemented over 300 client solutions for SRD II, in markets spanning EMEA, North America and Asia Pacific.


Global Impact of SRD II and Lessons Learned Highlighted in New Whitepaper from Broadridge


Despite its new obligations for financial intermediaries taking effect in September 2020, the European Commission’s updated Shareholder Rights Directive (SRD II) is still very much in the early stages of a full and seamless adoption across European regulated markets, according to a new report by global Fintech leader Broadridge Financial Solutions, Inc. (NYSE: BR).

Today Broadridge launches its latest industry whitepaper on SRD II. The report extracts learnings from over 350 SRD II client implementations, which should serve as a valuable resource for firms that have yet to implement their SRD II solution, as well as those who met the deadline but continue to refine their processes.

“The implementation of SRD II compliance procedures has created a number of challenges on affected intermediaries, especially those providing voting-related services for the first time,” said Demi Derem, General Manager, International Bank Broker-Dealer Communication Solutions at Broadridge. “Having worked with clients based within and outside of Europe, including both retail- and institutional-focused firms, spanning multiple tier-one banks, brokers and wealth managers, this report will serve as a useful reference and navigation guide”.

SRD II is a key part of the Capital Markets Union agenda and, as such, it remains a high-profile, mandatory requirement subject to deep scrutiny over the coming years, including a formal review of the directive’s effectiveness by the European Commission.

“The risks and penalties are wide-ranging and can be severe for firms, which are yet to be fully compliant,” Derem added. “Firms seeking external support should consider their options carefully. They should pay particular attention to companies that can offer the requisite knowledge and experience of navigating the shareholder communications landscape, and can provide the necessary economies of scale, digital data security and complete market coverage”.