FSS governor urges stronger proxy voting disclosures and ETF management for asset managers
Lee Chan-jin, governor of the Financial Supervisory Service, held a meeting with CEOs of asset management firms in 7month 13day and demanded improvements to 'copy-and-paste' style proxy voting disclosures, stronger internal controls, and management of ETF advertising and tracking error. According to FSS figures, the proxy voting exercise rate rose from 2024year 79.6% to 2025year 91.6%, and this year it reached 91.8%.
The head of the Financial Supervisory Service demanded that asset management company CEOs improve proxy voting disclosures and strengthen oversight of the ETF market in 2026year 7month 13day. The point was that the impact on investor confidence in information and on market order is important.
The meeting was held at the Korea Financial Investment Association in Yeongdeungpo-gu, Seoul. Lee Chan-jin, governor of the Financial Supervisory Service, and Hwang Seong-yeop, chairman of the Korea Financial Investment Association, attended together with 20representatives of asset management firms.
The FSS pointed to managers' formal 'copy-and-paste' style proxy voting disclosures as a problem. It called for stronger internal controls related to the exercise of shareholder rights.
Regarding the ETF market, the FSC emphasized industry efforts to curb false and exaggerated advertising and to manage the gap between market price and net asset value. The FSC said there was discussion at the meeting about order in the ETF market.
According to FSC statistics, the rate at which public and private funds exercised voting rights was 2024in 79.6%, 2025in 91.6%.
This year’s voting-rights exercise rate was 91.8%.
The opposition rate on voting rights increased over the same period from 5.2% to 6.8%.
At the meeting, along with a review of the status of voting-rights exercise, order in the ETF market and measures to supply venture capital were also discussed.