Proxy Blog

Visa Inc. 

December 29, 2020

The annual proxy for this financial services company had the following proposals: 

  1. Proforma votes on directors, appointment of auditors, and compensation 
  2. Board proposals on equity incentive compensation plan and special meeting rights 
  3. Shareholder proposals on written consent and amended compensation principles 

Magni voted as follows: 

  1. For and against proforma proposals.
    For directors – The disclosures in the proxy meet the criteria in Magni’s policy on election of directors.
    -For auditors – The company meets the criteria in Magni’s policy on auditor ratification.
    -Against compensation- The disclosures in the proxy did not meet the criteria in Magni’s policy on the advisory vote. 
  2. For board proposals.
    Equity incentive compensation plan – Per Magni policy, Magni votes in favor of many of these proposals.
    -Special meeting rights – The proposal is about the ability of shareholders to call meetings, and the proposal meets the criteria in Magni’s policy on lowering threshold for special meetings 
  3. For and against shareholder proposals.
    Against written consent – Per the Magni position paper, Magni routinely votes against these proposals.
    -For amended compensation principles – the shareholder proposal is generic and focuses on the ratio of CEO pay to other employees. The merits of the proposal do not warrant a vote in favor; however, the weaknesses in the executive compensation process need to be addressed (per Magni’s vote on the “say-on-pay” proposal). Voting in favor of this proposal hopefully will be a wakeup call to the company.