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.

Governance Issues Have Not Been Resolved as Far as Profiles of TSE-Listed Companies Shows

The Reality of the Concentration of AGM Dates Has Not Changed

Is Progressive Dividend Distribution the Result of Half-Baked Cash Allocation?

The Data Also Shows that Companies with Low Stock Valuations Are Increasingly Using Share Buybacks

Rather than “Technical Guidance,” What Is Needed Is Thorough Fiduciary Duty to Shareholders

Executive Director, Metrical Inc

Aki Matsumoto

Executive Director

<ul>
<li>For asset management companies that mainly use passive funds, it is difficult to have sufficient dialogue with all portfolio companies equally in the environment where AGMs are concentrated in June.</li>
<li>As more companies focus on meeting formal voting guidelines, there is a risk that the goal of improving corporate value through management reforms will be put aside.</li>
<li>Solving individual management issues will lead to increased corporate value. However, due to physical reasons, not many companies engage in dialogue regarding individual management issues.</li>
</ul>


For asset management companies that mainly use passive funds, it is difficult to have sufficient dialogue with all portfolio companies equally in the environment where AGMs are concentrated in June.
As more companies focus on meeting formal voting guidelines, there is a risk that the goal of improving corporate value through management reforms will be put aside.
Solving individual management issues will lead to increased corporate value. However, due to physical reasons, not many companies engage in dialogue regarding individual management issues.


With Passive Funds Dominating Markets Today, Proxy Voting Tends to Be Limited to Formalities

TSE Tokyo Price Index TOPIX

With Passive Funds Dominating Markets Today, Proxy Voting Tends to Be Limited to Formalities