Independent Leading Corporate Governance Research

Metrical Inc

METRICAL INC. is an independent leading Corporate Governance research firm in Japan where Corporate Governance is increasingly recognized as an important element on corporate management in these days. Thus, CG research and solutions would become an essential component of global capital markets and play important to contribute to transparency of the markets and maximize shareholders’ value in Japan. 

METRICAL INC. provides Corporate Governance research and analysis including rating services, and  also offers investment research and IR services with solutions and customized profound research on CG and IR issues.

Both the Reduction in Cash on Hand and the Reduction in Policy-Held Shares Are Still Underway

As for the Amount Eligible for Profit Distribution Under the Rules, That’s One Thing...

Focus on How Practices Improve for Value Creation, Not Whether Improved Practices Helps Create Value

While Companies Buy Time Before Executing Fundamental Measures, Shareholder Proposals Keep Rising

Both Statutory Nomination Committee and BODs Chaired by Outside Directors Are in the 2% Range

There Is Concern that Meeting Formal Criteria Is Being Prioritized Here as Well

Approaches Aimed at Resolving “parent-Subsidiary Listings” in the Broad Sense Remain Effective

Executive Director, Metrical Inc

Aki Matsumoto

Executive Director

<ul>
<li>If the revised Corporate Governance Code requires Prime market-listed companies to have majority independent outside directors, issues regarding outside directors’ concurrent positions and long tenures may become more prominent.</li>
<li>The real reason hiring at companies with statutory nomination committee etc. isn't progressing is that internal leadership cannot accept the decisions made by nomination committee, which carry legal enforceability.</li>
<li>As more companies establishing statutory nomination committees increases and corporate governance practices become more formalized at many companies, investor engagement will play an even more critical role than ever before.</li>
</ul>


If the revised Corporate Governance Code requires Prime market-listed companies to have majority independent outside directors, issues regarding outside directors’ concurrent positions and long tenures may become more prominent.
The real reason hiring at companies with statutory nomination committee etc. isn't progressing is that internal leadership cannot accept the decisions made by nomination committee, which carry legal enforceability.
As more companies establishing statutory nomination committees increases and corporate governance practices become more formalized at many companies, investor engagement will play an even more critical role than ever before.


Are Investors Prepared for the Upcoming Formalization of Corporate Governance Practices?

TSE Tokyo Price Index TOPIX

Are Investors Prepared for the Upcoming Formalization of Corporate Governance Practices?