How Shifting from In-Person to Virtual-Only Shareholder Meetings Affects Shareholders’ Voice
Series number :
- shareholder meetings •
- shareholder votes •
- Shareholder Voice •
- virtual •
- in-person •
Virtual-only shareholder meetings have become dramatically more common following Covid-19. Analysis of transcripts and recordings of in-person versus virtual-only shareholder meetings show that virtual-only meetings are shorter and dedicate less time to addressing shareholders’ concerns.
I construct a unique dataset documenting questions shareholders submitted at virtual-only shareholder meetings. Precisely when shareholders vote against management recommendation, indicating contention with management, firms are likely to limit shareholders’ voice: they ignore shareholders’ questions and explicitly limit the scope of questions addressed. Such actions are shown to limit the extent of communication at shareholder meetings.