MANILA, Philippines - Investors will now have a tool in monitoring the compliance of listed firms to good corporate governance after the Philippine Stock Exchange (PSE) promulgated Friday its Corporate Governance Guidelines for listed firms.
In simple ceremonies at the Ayala floor of the PSE, Exchange officials unveiled the CG Guidelines and topped it off with a bell-ringing ceremony before the market opened with British Ambassador Stephen Lillie. The British Government has provided funding support for the PSE's Corporate Governance initiatives.
The PSE defines corporate governance as the framework of rules, systems and processes that governs the performance by the Board of Directors and Management of their respective duties and responsibilities to the stockholders, with due regard to the stakeholders.
As a key initiative in its Corporate Governance Improvement Program or CGIP, the PSE's CG Guidelines for publicly-listed firms complements the Code of Corporate Governance of the Securities and Exchange Commission (SEC) which define the concepts and best practices that characterize a well-governed listed corporation.
"Good corporate governance is the battle cry across developed and emerging markets in Asia. The dynamic financial and economic landscape that drove innovation through most of the decade has been tested by the recent financial crises. …