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Corporate Governance has been a widely discussed
topic in the U.S. since the 1930s. Following the Asian financial
crisis in 1997 and the financial frauds of US companies including
Enron and Worldcom in 2001, a consensus among authorities and investors
around the world has gradually formed. That is, Corporate Governance
systems are fundamental infrastructures for the sound development
of financial markets. Based on this belief, many countries have
been devoted to promoting and implementing Corporate Governance.
The Financial Supervisory Commission (FSC) has also been actively
supporting Corporate Governance to ensure that it is effectively
carried out to raise corporate competitiveness. Toward this end,
the FSC holds the annual Taipei Corporate Governance Forum, inviting
financial experts and business managers from both home and abroad
to join. Participants share latest information on Corporate Governance
and exchange opinions on relevant policy and practice. The Forum
enters its sixth year in 2009.
Major trends in international financial markets are the key agenda
of this Forum. Many interesting issues on the subject of Corporate
Governance are discussed in the past five years, including Board
functions, shareholder rights, Information transparency, the responsibilities
of supervisory authorities, insider trading regulations, and so
on. The TAICGOF serves as a regional forum for sharing experience
and has an excellent reputation for promoting Corporate Governance
consistently. It also improves the Corporate Governance implementation
of listed companies.
The FSC invites outstanding experts to help understand the latest
OECD Principles of Corporate Governance and latest issues in international
financial markets. In the past five years, representatives from
the OECD Steering Group on Corporate Governance, and experts from
South Korea, Hong Kong and other Asian countries delivered speeches.
In addition, representatives from securities exchange authorities
of the U.S., Germany and Australia shared their experiences as well.
The number of participants also grew from 570 to over 750 persons
in last year. The expansion is parallel to the progress of Taiwan's
authorities and listed companies in Corporate Governance works.
Since the ongoing financial market turmoil, this year the Forum
will further focus on the issues which are worthy to be discussed
deeply during this critical time and expand to include a great diversity
of topics. The concept and practice of corporate social responsibility
(CSR) has become a common theme of government, civil and business
organizations worldwide recently. The first panel discussion will
concern new trends of corporate social responsibility in a globalized
economy. How exchange-listed companies should carry out CSR and
recent developments of CSR-related indices and funds will be addressed
in panel discussions. The second panel discussion will focus on
how we may build a more reasonable and transparent compensation
system for CEOs and directors. We can see some executives in the
US continued to receive high compensation while their companies
were bailed out by the government. The ensuing public disquiet prompted
the US government to push for better regulation of the compensation
system. We will discuss how to use the Corporate Governance mechanism
to build a more reasonable and transparent compensation system for
CEOs and directors. Moreover, the issues of appropriate guidelines
for information disclosure regulation for the authorities, self-discipline
in Corporate Governance for companies, and performance of directors
and senior executives and reasonable distribution of compensation
will be discussed.
The 6th Taipei Corporate Governance Forum will be held at Taipei
International Convention Center on November 12, 2009. The scale
and scope of this year's Forum will surpass former years, a clear
indication of the determination of Taiwan's authorities and listed
companies to carry out Corporate Governance.
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