<p>Israeli-based <a href=”https://www.financemagnates.com/tag/etoro/” target=”_blank”>eToro</a> announced its partnership with New York-headquartered <a href=”https://www.financemagnates.com/tag/broadridge-financial-solutions/” target=”_blank”>Broadridge Financial Solutions </a>(NYSE: BR) on Tuesday for allowing proxy voting for the retail broker’s users. eToro will collect all investor votes and aggregate them before sharing them with the companies.</p><p>The partnership will allow eToro users holding company shares, including fractional shareholders, to participate in annual general meetings (AGMs) by casting <a href=”https://www.financemagnates.com/cryptocurrency/news/citis-proxy-voting-platform-proximity-secures-20-5m-from-big-banks/” target=”_blank”>proxy votes</a>. They can vote on corporate decisions like mergers, executive pay, environmental decisions as well as social and governance proposals.</p><p>The broker will first enable proxy voting for the US-listed stocks and then it will extend the feature for shares listed on other global exchanges.</p><p>“In the last few years, we’ve seen an explosion in the number of retail investors. This group has the potential to have a major influence on financial markets,” eToro’s Co-Founder and CEO, Yoni Assia, said.</p><p>“Thanks to our partnership with Broadridge, eToro’s users can now have their say in corporate decision-making at many of the biggest companies in the world. This is a huge milestone in the retail investor story, and one that could have a lasting impact on the business world.”</p><p>The new feature was enabled weeks after eToro <a href=”https://www.financemagnates.com/forex/etoro-acquires-portfolio-management-tool-bullsheet/” target=”_blank”>acquired Bullsheet</a>, a provider of portfolio management tools exclusively to eToro users, which will further enhance its user experience.</p><p>A New Breed of Investors</p><p>Additionally, the rising number of retail brokers prompted the broker to enable the proxy voting feature. A broker survey among 10,000 retail investors concluded that 73 percent want to participate in AGM voting. Further, young investors are more inclined to participate in such decision-making activities compared to older ones.</p><p>In addition, the survey found that most retail investors are interested in deciding on dividends, followed by executive pay and climate strategies. </p><p>“Retail investors have not always been given the platform, the voice, and the support that they deserve, but this is rapidly changing, and retail investor access to proxy voting is a crucial step in this journey. There is clearly a huge appetite amongst retail investors to participate in AGMs, and we look forward to seeing how eToro clients engage with this new feature,” Assia added.</p><p>Broadridge is a financial infrastructure provider with clients including banks, broker-dealers, asset and wealth managers and public companies. Last year, it expanded its market reach by acquiring the trading <a href=”https://www.financemagnates.com/terms/c/connectivity/” target=”_blank” id=”67c58fee-a85e-483c-8fac-648b94f10aab_1″ class=”terms__main-term”>connectivity</a> and <a href=”https://www.financemagnates.com/terms/t/technology-provider/” target=”_blank” id=”35d66747-cf26-42b4-be1f-d75d2fdd8824_1″ class=”terms__secondary-term”>technology provider</a>, <a href=”https://www.financemagnates.com/institutional-forex/broadridge-to-buy-trading-technology-provider-itiviti-for-2-5-billion/” target=”_blank”>Itiviti</a> for $2.5 billion.</p><p>On top of that, the New York-headquartered company expanded its geographical reach by expanding offerings for <a href=”https://www.financemagnates.com/institutional-forex/broadridge-expands-into-switzerland-with-proxy-sub-custody-services/” target=”_blank”>custodians and local agents in Switzerland </a>last year in October. Meanwhile, the company’s <a href=”https://www.financemagnates.com/fintech/news/broadridges-total-revenues-climb-12-in-q4-fy22/” target=”_blank”>revenue</a> for the fourth quarter of the financial year 2022 climbed 12 percent to touch $1.7 billion, along with an operating income of $342 million.</p><p>Commenting on the eToro partnership, Broadridge’s President of Bank Broker-Dealer Investor Communication Solutions, said: “We are excited to be supporting eToro and helping them shape the future of corporate governance through our advanced proxy voting solution while empowering their clients through a differentiated service proposition.”</p>
This article was written by Arnab Shome at www.financemagnates.com.
