What happens if a shareholder of a publicly listed company does not exercise his or her right to vote?

Question

I was wondering what happens if a shareholder of a publicly listed company does not exercise his or her right to vote.

I would be tempted to answer "nothing" but I am sure you guys know better.

Clarification: I'm asking what the consequences are for the shareholder, not for his missed vote

score 6 · Accepted Answer · edited Aug 02 '19 at 23:34

6

It's not included. All votes for and against are counted and the proposal action. Non voters are not counted.

Few decisions by company due to regulations or individual policy need a minimum number of valid votes. Often the number of shares held by individuals is too small for it to matter.

Edit: There is no obligation to vote. No penalty or fines for individual share holders.

edited Aug 02 '19 at 23:34

JohnFx

53,876
13
137
250

answered Jul 31 '19 at 16:07

Dheer

57,348
18
89
170

What happens if a shareholder of a publicly listed company does not exercise his or her right to vote?

1 Answers1