Proxy Blog

Broadcom Inc. 

March 9, 2020

The annual proxy for this semiconductor and infrastructure software solutions company had the following proposals: 

  • Proforma votes on directors, appointment of auditors, and “say-on-pay” advisory vote 

Magni for and against proforma proposals: 

  • For directors – The board has a majority of independent directors and some have CEO/CFO experience with other companies. The compensation of directors is disclosed with a meaningful portion in equity where the equity has restrictions to align director incentives with long-term value creation.  
  • For auditors – There appear to be no controversies with the financial statements of the company. 
  • Against “say-on-pay” advisory vote – Most of the executive compensation disclosure was good; however, the peer group is larger than the company, and that may cause an upward bias on compensation levels