Did you know it's proxy season, that period from roughly April through June when public companies hold annual meetings? When you own stock in a publicly-traded company, you can vote by proxy on shareholder proposals about issues such as new board members. While it may seem boring on its face, remember that shareholder proposals essentially function as the complaints department for investors. If you agree with a shareholder proposal claiming the CEO's salary is too high, for example, this is your chance to vent your frustration.
While important, such shareholder proposals are not binding. However, they send strong signals to corporate management. These proxy season votes have garnered more interest in recent years, thanks to support of various resolutions from large mutual fund companies (which vote on behalf of investors) and proxy advisory companies.
