In its 2017 Guidelines PIRC clarifies that, in its view, tax compliance fees charged by auditors are to be regarded as non-audit fees for the purpose of calculating these percentages, since they cannot be fully separated from tax advisory services.
Best Practice Principles Group: Consultation to review Principles In April 2017, the Best Practice Principles Group for Shareholder Voting Research and Analysis (BPP Group) announced a review of its Best Practice Principles by the end of 2017.
In 2014 the BPP Group developed the Principles which signatories are expected to adopt on a comply-or-explain basis, (Proxy advisors: Best Practice Principles for Shareholder Voting Research 2014).
It identifies some key issues that need to be addressed by shareholders and boards around buybacks, particularly in relation to capital allocation, determining the appropriate price for the buyback, calculation of net present value and the methodology for calculating this and the impact of buybacks on executive remuneration.
While the report does not take a view as to whether companies should or should not engage in share buybacks, it raises issues about potential abuses and suggests the need for healthy scepticism on the part of both boards and shareholders.
While NEDs have occupied themselves with minimising risk and monitoring processes, executives have fallen short with record high dividends and low investment.