SGX reviewing companies' compliance with CG Code
SGX said on Monday that it is carrying out a review of how listed companies abide by the "comply or explain" requirement for principles and guidelines of the Singapore Code of Corporate Governance.
The review will cover annual reports of over 550 mainboard companies released in the 12 months to June 30, 2015. SGX intends to make findings of the review public and engage with relevant companies to ensure shortcomings identified are addressed.
The review will capture all aspects of the CG Code and focus on the areas specified in the SGX Disclosure Guidance document. Examples of key CG Code principles covered in the review include board composition, risk management and internal controls and disclosure on remuneration.
"A company's approach to the Code of Corporate Governance principles speaks volumes about its commitment to business transparency and accountability to stakeholders. Companies are under ever increasing scrutiny; those with good governance will build up reserves of shareholder trust and confidence which can be drawn upon should they become victims of negative research reports or short selling," said Tan Boon Gin, chief regulatory officer of SGX.
SGX will work with KPMG which has been appointed to carry out the review of companies' annual reports. The review is expected to take four months to complete.
KEYWORDS IN THIS ARTICLE
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Companies & Markets
Frasers Centrepoint Trust posts 1.8% drop in H1 DPU to S$0.06022
TSMC says ‘A16’ chipmaking tech to arrive in 2026, setting up showdown with Intel
US seeks 36 months’ jail for Binance founder Zhao
Keppel’s Q1 revenue down 6.3% to S$1.5 billion; net profit up with exclusion of legacy O&M assets
Cisco says hackers subverted its security devices to spy on governments
Stocks to watch: Keppel, FCT, Suntec Reit, OUE Reit, Clint, Digital Core Reit, OKP, Cordlife