A study commissioned by the European Commission into the proportionality between ownership and control in EU listed companies
As this study has now been completed, the website will no longer be updated. Consequently, some information will become out-of-date
Background | ECGI team and roles | Resources | Announcements | Final Report
Shareholder's rights
Proportionality between capital and control
From the European Commission's website (click here for the original source)

In its May 2003 Action Plan on Company Law and Corporate Governance, the Commission proposed to carry out a study on the deviations from the principle of proportionality between capital and control existing in the Member States of the European Union. Stakeholders confirmed the need for such a study in their response to the Spring 2006 consultation conducted on the future priorities of the Action Plan.

The study commissioned in September 2006 was led by Institutional Shareholder Services (ISS), associated to a European network of leading academics, the European Corporate Governance Institute (ECGI) and the law firm Shearman & Sterling. The study provides a useful factual background to the issue of proportionality between capital and control, or the "one share, one vote" issue as it is more commonly referred to.

The report is accompanied by detailed surveys of the academic literature and of the empirical evidence on the "one share -one vote " issue as well as by a detailed comparative legal study covering 16 Member States of the European Union as well as Australia, Japan and the US.
Report on the proportionality principle in the European Union (Click here for copy in English)
Academic Surveys  
  - The One Share - One Vote Debate: A Theoretical Perspective by Mike Burkart, Stockholm School of Economics, CEPR, FMG and ECGI, Samuel Lee, Stockholm School of Economics (ECGI Finance Working Finance Working Paper No. 176/2007)
  - One Share, One Vote: The Empirical Evidence by Renée Adams, University of Queensland and ECGI, Daniel Ferreira, London School of Economics and Political Science and ECGI (ECGI Finance Working Finance Working Paper No. 177/2007)
The Comparative Legal Study
  - The synthesis
  - Exhibit A - Methodology
  - Exhibit B - Regulatory framework for control-enhancing mechanisms: summaries
  - Exhibit C - Part I - Legal study for each jurisdiction
  - Exhibit C - Part II - Legal study for each jurisdiction

Consortium members
Go to the ISS website
Go to the ECGI website
Go to the Shearman & Stirling website