Thursday, 24 January 2008

OECD: Statement on the proportionality between ownership and control

The OECD has published its view on the issue of proportionality between ownership and control, sometimes referred to as the debate concerning "one member, one vote". The OECD has concluded (to quote directly from its website):

(a) There is nothing a priori onerous about separating ownership and control.
(b) The cost of regulating proportionality would be considerable.
(c) Strengthening corporate governance frameworks is a better alternative.
(d) Specific problems can be dealt with through carefully targeted regulation.

For further elaboration, click here.

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