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H.R. 3402119th CongressIn committeeLatest action May 14, 2025Decoded by AI · checked against the record
Official title: To amend the Securities Exchange Act of 1934 to require certain disclosures by institutional investment managers in connection with proxy advisory firms, and for other purposes.
Introduced:
Read the official bill on Congress.govThe plain-language version leads. The official text is always the reference.
Large investment firms would have to publicly report how they vote on corporate proposals and how often they follow outside voting advice.
45-second read · 4 questions answered below
This bill would require large investment firms to file yearly reports showing how they voted on corporate shareholder proposals and how closely they followed recommendations from outside proxy advisory firms. Firms managing at least $100 billion must also document a financial analysis for any vote that goes against an independent board of directors, and must tell customers they are not required to vote on every proposal.
The bill applies to institutional investment managers, such as companies that manage stocks on behalf of pension funds or individual retirement accounts. Firms with at least $100 billion in assets under management face additional requirements beyond the general rules.
Clients would be able to see whether their investment manager is making independent decisions or largely following outside advice. This creates a public record of voting behavior that did not previously exist.
AI-drafted summary. Verify it against the official text before you act on it. Read the official bill on Congress.gov
Right now: a House committee is reviewing it. If the Senate changes it, it goes back to the House before reaching the President.
Latest action: — Referred to the House Committee on Financial Services.