ADCCGorganizes a seminar on the Role for MENA Institutional Investors in CorporateGovernance

The Abu Dhabi Centerfor Corporate Governance held a seminar titled: “What Role for MENA InstitutionalInvestors in Corporate Governance?” at the Chamber Tower in Abu Dhabi. A largenumber of public and private companies attended the seminar.

His Excellency MohamedHelal Al-Muhairi, Director General of the Abu Dhabi Chamber, said that thisseminar is the first of its kind since it showcases the outcomes of the studyof GOVERN on the role for MENA institutional investors in corporate governanceand how they are linked to corporate governance.

He emphasized on theimportance of applying governance programs in financial and bankingestablishments in order to increase their efficiency, productivity and profitsas well as ensuring their continuity and contribution to the sustainable andcomprehensive economic development process in the UAE.

Alissa Amico, ManagingDirector of GOVERN, displayed the impact of opening GCC markets toinstitutional investments and to corporate governance. She also highlighted themeasures which the regulators in the region can adopt to encourageinstitutional investors to be more active in promoting good governance.

The Managing Directorsaid that in the MENA region, sovereign investors and family offices are thelargest source of institutional capital in addition to non-financialcorporation, banks, insurance companies, pension funds, investment funds andhedge funds.

In her lecture, Amicopointed to standard deviations from “conventional” governance, saying thatfamily companies still “ruled” by dominant chairman; institutional shareholdersare not active; women on Boards form 2% in the GCC; concepts of lead directorand minority shareholders are still underdeveloped; and no duties forinstitutional investors in most markets.