• Register
Return to: Home > News > Big Four > Former KPMG senior accountant launches Spain’s first proxy advisory firm

Former KPMG senior accountant launches Spain’s first proxy advisory firm

Corporance, the first proxy advisory firm in Spain, has been officially launched this week in Madrid by Juan Prieto, former KPMG senior chartered accountant who qualified with the Spanish Institute of Auditors (Instituto de Censores Jurados de Cuentas de España or ICJCE).

Prieto, a corporate governance pioneer in Spain, previously founded the Spanish Issuers Association, which represents 75% of IBEX35’s constituents, and as an executive of Santander, he served as CFO and finance director within different business divisions of the global bank.

Ramón Hernández Peñasco, a specialist lawyer in banking and securities law at Legal Field Consultores y Abogados, has joined Corporance as legal director.

Corporance is Prieto’s latest initiative launched on the back of the the new EU Shareholders’ Rights Directive, passed earlier in 2017 with a two-year period for transposition into national law, which introduced new transparency obligations for all players of the investment chain.

The directive requires institutional investors and asset managers to publicly disclose, on a comply or explain basis, their shareholder engagement policies and investment strategies.

It also covers measures to ensure more transparency and oversight on directors’ remuneration, and disclosure of the beneficial ownership of shares, affecting this obligation also to custodian banks.

According to Prieto, there is a gap in the Spanish market for the provision of these corporate governance and stewardship services, as well as a lack of national independent firms with expertise in the area of proxy advisory.

Moreover, Prieto believes Spanish institutional investors have failed to engage with issuers and haven’t shown great interest in corporate governance or responsible investment matters.  

Corporance will cover Spain and Portugal as a member of the Expert Corporate Governance Services (ECGS), a partnership of local independent corporate governance specialists across Europe.

The ECGS network’s members are Manifest (UK), Proxinvest (France), Virv Solutions (Netherlands), Ethos (Switzerland), DSW (Germany), Frontis Governance (Italy); as well as SIRIS (Australia).

Corporance was officially launched in Madrid on Tuesday at an event that analised the key challenges of the new directive’s transposition, particularly in Spain.

One panel focused on remuneration issues, at which former president of the CNMV (the Spanish SEC equivalent) and now independent arbitrator, Manuel Conthe, said that “independent outside directors should be paid as less as possible” to safeguard their independence.

ECGS’ representatives are Sergio Carbonara, Frontis Governance; Loïc Dessaint, Proxinvest; Jella Benner-Heinacher, DSW; Juan Prieto, Corporance, who brought the European perspective on remuneration of executives to the panel.

Another panel analised the potential impact of the EU directive in Spain, with representatives of the whole investment chain: Ángel Martínez-Aldama, president of INVERCO, the Spanish investment association; Pilar López-Aranguren, Goldman Sachs senior compliance officer for Spain, Portugal and Ireland; Gregorio Arranz Pumar, lawyer and board member of listed company Inmobiliaria del Sur; and Susana Graupera Sanz a director of ATREVIA, a communications firm, and its Good Governance and Stockholder Forum.

Responsible Investor, the global news service reporting on sustainable finance for institutional investors, first reported on the creation of Corporance.

Carlos Martin Tornero works as a senior reporter for Responsible Investor and previously was the editor of The Accountant. 

Top Content

    Time pressure: Facing up to mental health

    In an ‘always on’ culture, it is becoming increasingly difficult to manage a healthy work-life balance. While companies are beginning to address this problem by introducing different support systems, Joe Pickard finds more could be done to ensure the wellbeing of the professions workforce.

    read more

    Venezuela: the race for the dollar

    With a new currency following hyperinflation, large sections of the population emigrating to neighbouring countries, an economy on the brink of collapse and no apparent solution coming from the government, Jonathan Minter finds a profession struggling to stay afloat in Venezuela.

    read more

    Brazil: transparency and control

    Brazilian accountants have an optimistic view of the impact of more-regular reporting and the implications of audit controversies for the profession. Paul Golden reports.

    read more

    Argentina: looking for a clearer view

    The Argentine accounting profession continues to grapple with the impacts of a weak economy and a culture of financial corruption. Paul Golden takes a closer look.

    read more

    Blockchain: adapting to disruptive tech

    In the relatively few years since digital currencies first began using blockchain technology, the array of potential applications has grown significantly – and continues to expand. Dan Balla, Matthew Schell and Dave Uhryniak from Crowe look at how it impacts accountancy.

    read more
Privacy Policy

We have updated our privacy policy. In the latest update it explains what cookies are and how we use them on our site. To learn more about cookies and their benefits, please view our privacy policy. Please be aware that parts of this site will not function correctly if you disable cookies. By continuing to use this site, you consent to our use of cookies in accordance with our privacy policy unless you have disabled them.