NEW YORK May 17 Pension and endowment managers
on Friday called on U.S. regulators to review the rules for
shareholder voting after a firm collecting ballots for JPMorgan
Chase & Co cut off polling information to the bank's
The Council of Institutional Investors, which represents
managers of pensions, endowments, and foundations with more than
$3 trillion of assets total, said in a letter to the Securities
and Exchange Commission that votes at companies' annual meetings
are set up in a way that gives too much of an advantage to
A group of investors has proposed stripping JPMorgan head
Jamie Dimon of his chairman title, leaving him as solely the
chief executive. Voting on the proposal closes on Tuesday May 21
at the bank's annual meeting in Tampa, Florida.
Earlier this week Broadridge Financial Solutions Inc,
which distributes proxy communications and collects votes,
stopped giving early vote tallies to the investors who have
proposed the measure. The Securities Industry and Financial
Markets Association, a trade group whose members include
JPMorgan, asked Broadridge to stop giving the sponsors that
information, said Lyell Dampeer, a senior executive at the
Dimon and the board, who have been campaigning to defeat the
measure, continue to get updates on incoming votes, and can
adjust their campaign strategy accordingly. Investors calling
for an independent chairman say that Broadridge's decision has
put their campaign at a disadvantage.
Next week's vote has come to be seen as a referendum on
Dimon and his ability to safely manage the biggest U.S. bank
after its $6.2 billion "London Whale" loss derivatives trades
Dampeer said Broadridge took the SIFMA letter as a directive
from its customers which it had to obey. Corporations pay the
firm to distribute proxy materials and collect votes.
A JPMorgan spokesman declined to comment.
Dampeer said Broadridge wants the SEC to settle the issue.
An SEC spokesman declined to comment.