Lake Success
12 April 2017
Reporter: Stephanie Palmer
Financial services firms pull off blockchain proxy voting pilot
Broadridge has made its first foray into blockchain technology, completing a pilot for a blockchain-based proxy voting solution, in partnership with J.P. Morgan, Northern Trust and Banco Santander.

The proof of concept used a distributed ledger technology to create a ‘shadow’ digital register of the proxy voting taking place, providing insight into the process throughout the complete voting period from announcement of the meeting date to the annual general meeting itself.

It is intended to improve transparency and analytics in proxy voting, and to allow for role-based access to voting data through cryptography and smart contract technology.

Built on the Ethereum blockchain platform, the pilot supported the annual general meeting of a corporate issuer, with participation from the issuer’s agent Santander Investment.

Vijay Mayadas, senior vice president and global head of corporate strategy at Broadridge, said: “This pilot demonstrates Broadridge’s commitment to developing innovative technology solutions to enhance transparency in the global proxy voting process for the mutual benefit of all stakeholders, ultimately improving corporate governance for all.”

He added: “We believe blockchain will drive increased quality and efficiency in the voting chain by reducing complexity that exists within the process today.”

Justin Chapman, global head of market advocacy and innovation research at Northern Trust, commented: “Corporate governance is a key focus for our custody clients and we are pleased to collaborate with Broadridge on this important initiative.”

He said: “Providing end-to-end vote transparency using blockchain as an enabler has the potential to significantly improve the proxy voting process.”

More news
The latest news from Asset Servicing Times
Join Our Newsletter

Sign up today and never
miss the latest news or an issue again

Subscribe now
Eagle Fund Accounting Solution to be used by Desjardins
24 July 2017 | | Reporter: Jenna Lomax
Desjardins Asset Management, part of Desjardins Group, previously signed with Eagle Accounting for its asset management in 2011
Clearstream gains Edmond de Rothschild as Vestima client
24 July 2017 | Switzerland | Reporter: Jenna Lomax
Vestima, Clearstream’s fund process programme, will assist Rothschild by processing its assets in its mutual funds and hedge funds on a single platform
Northern Trust to offer fund services to GuideStone Funds
24 July 2017 | Dallas | Reporter: Jenna Lomax
GuideStone Funds is a subsidiary of GuideStone Financial Resources, a financial service providing retirement, investment and life and health plans to evangelical Christian churches, educational institutions and ministry organisations
BNY Mellon recruits for alternative investment team
21 July 2017 | New York | Reporter: Jenna Lomax
BNY Mellon has made two senior appointments to its alternative investment services team
Euroclear sees strong H1 asset growth
21 July 2017 | Frankfurt | Reporter: Jenna Lomax
Post-trade service provider Euroclear saw its asset under safekeeping increase by 5 percent to €28.4 trillion in the first half of 2017
Record AuC figures for BNY Mellon
21 July 2017 | New York | Reporter: Stephanie Palmer
BNY Mellon recorded high levels of assets under custody and administration in Q2 2017, reaching $31.1 trillion
LSEG and IBM partner for SME blockchain
20 July 2017 | London | Reporter: Drew Nicol
The framework will be built on Hyperledger Fabric version 1.0 and hosted by The Linux Foundation
More news