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On 17 December 2017, the IA issued a position paper, which sets
out the views of its members on virtual-only annual general
meetings (AGMs).
The position paper sets out the view of the IA that, although
technology is useful to complement the physical AGM, companies
should not adopt a "virtual-only" approach. The IA states
that virtual-only AGMs remove the public accountability of board
members due to the remoteness of participants, whilst physical
meetings demonstrate commitment to understanding the views of
shareholders.
The IA concluded that its members will not support amendments to
the Articles of Association of companies in relation to electronic
meetings if they allow for virtual-only AGMs. They expect any
amendments to the Articles of Association to confirm that a
physical meeting will be held alongside an electronic element.
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