August 28, 2015

Press Release
Nikko Asset Management Co., Ltd.

Nikko Asset Management
Casts More Votes at Shareholder Meetings in 2014/15
 Firms increase focus on governance with the introduction of the Corporate Governance Code Nikko Asset Management slightly increased opposition votes on the election of directors as their
independence could not be ensured
As listed Japanese firms strengthen governance with the introduction of the Corporate
Governance Code this year, Nikko Asset Management cast more votes on company-generated
proposals at general shareholder meetings of firms that the Tokyo-based asset manager invested
in during the year to June 2015.
At the shareholder meetings of 2,070 companies, Nikko Asset Management cast 23,117 votes incompany-generated proposals, up 23% from the same period a year earlier. A total of 2,004 ofthese votes were negative which translates into 8.7% of total votes, higher than the 7.6% castduring the same period a year ago.
The percentage of negative votes on proposals to elect directors rose to 7.9% from 5.4% a yearearlier. Before the Corporate Governance Code was introduced in June of this year, an increasing
number of companies began placing outside directors on their boards. The asset manager's votes
opposing proposals to appoint such directors increased because it deemed that theirindependence could not be ensured.
The firm’s opposition votes on proposals to elect corporate auditors fell to 11.7% compared with
16.8% a year ago. This was attributed to more firms providing advance explanations on theindependence of statutory auditors and notices of shareholder meetings containing more details
than in previous years. The firm’s percentage of negative votes for proposals on anti-takeovermeasures remained high at 92.9%, close to the previous year’s 95.2%.
In May 2014, Nikko Asset Management announced its adoption of the "Principles for Responsible
Institutional Investors" (also known as Japan’s Stewardship Code) in relation to its investments inpublicly traded Japanese stocks. Nikko Asset Management unveiled its policy on the Stewardship
Code in order to specify how it will fulfil its stewardship responsibilities(http://en.nikkoam.com/stewardshipcode). As this policy indicates, Nikko Asset Management
emphasizes the exercising of voting rights in the companies in which it invests as an opportunity
to express its opinion, and does so in accordance with its Guidelines on Exercising Voting Rights.
Moreover, the asset manager was the first asset management company in Japan to release theresults of its votes, and has been doing so since 2007. The past results of its votes are available on
the following website at (http://en.nikkoam.com/voting-rights/results).
Nikko Asset Management will continue to fulfil its fiduciary responsibility through appropriate
engagement with the companies in which it invests.

1Votes by Proposal Type
1. Company-generated Proposals
July 2014 – June 2015
Proposal(For Ref.) July 2013 – June 2014
Nay
ratio

Subtotal

Yea

Nay

Appropriation of surpluses

1,457

1,440

17

Partial revision to articles of

1,102

1,031

of

15,945

of

Nay

Nay
ratio

Subtotal

Yea

1.2%

1,403

1,390

13

0.9%

71

6.4%

647

608

396.0%

14,680

1,265

7.9%

13,593

12,854

739

5.4%

3,340

2,949

391

11.7%

2,016

1,677

339

16.8%

Retirement benefit payments

277

195

82

29.6%

261

199

6223.8%

Revision583

561

223.8%350334

164.6%

200

142

58

29.0%

175

129

4626.3%

Restructuring4236614.3%

4944510.2%

Other

171

79

9253.8%

259

88

171

66.0%

98

791

92.9%

167

8

15995.2%

21

20

14.8%

34

32

2

5.9%

52

52

00.0%

58

48

1017.2%

23,117

21,113

2,004

8.7%

18,753

17,323

1,430

7.6%

incorporation
Election/Dismissal
directors
Election/Dismissal
corporate auditorsofexecutive

remuneration amount
Granting of stock acquisitionrightscompany-generated

proposals
Granting
ofacquisition

stockrights(anti-takeover measures)

Selection of corporate
auditors
OtherTotal

22. Shareholder Proposals
July 2014 – June 2015
Proposal(For Ref.) July 2013 – June 2014

Subtotal

Yea

Nay

Yearatio

Subtotal

Yea

Nay

Yea ratio

Appropriation of surpluses

1257

41.7%

72

5

28.6%

Election/Dismissal of officers

36

0

36

0.0%

35

035

0.0%

123

3120

2.4%

121

1120

0.8%

171

8

163

4.7%

163

3160

1.8%

Other proposals(incl. revision to articles ofincorporation)
Total

About Nikko Asset Management
Nikko Asset Management is positioning itself to be Asia’s premier global asset manager. The firm offers
world-class asset management solutions for global investors, and has US$161.3 billion (19.74 trillion yen)in assets under management*. With approximately 200 investment professionals**, the firm leverages its
extensive global resources representing over 30 nationalities across 11 countries. Headquartered in Asia
for over 55 years, Nikko Asset Management’s vantage point, extending east to west, distinguishes its
investment approach.
For more information, please visit http://en.nikkoam.com/* Consolidated assets under management and sub-advisory of Nikko Asset Management and its subsidiaries as of June 30, 2015.
** As of June 30, 2015, including employees of Nikko Asset Management and its subsidiaries.

Nikko Asset Management Co., Ltd.
Registration Number: Director of the Kanto Local Finance Bureau (Financial instruments firms) No. 368
Member Associations: The Investment Trusts Association, Japan/Japan Investment Advisers Association/Japan Securities Dealers Association3