Background

In Japan, the legal framework of shareholder rights is based on the nominee concept with the rights of beneficial shareholders being exercised behind the nominee. Due to the existence of various intermediaries involved, the system for distributing shareholder meeting materials to anonymous beneficial shareholders, and the subsequent collection and execution of their votes, has been very complex and time consuming.

Fuelled by the desire to enhance Japanese domestic market efficiencies while recognizing the increasingly important role overseas shareholders play in Japan, the Tokyo Stock Exchange Inc. (TSE) partnered with the world’s largest proxy service provider, Broadridge Financial Solutions, Inc. (Broadridge) to create ICJ.

The ICJ platform provides the solutions necessary for issuers to communicate effectively with the voting public, and for institutions to both receive proxy statements on the day of release and vote up until the day before the meeting date.