The Australian Shareholders Association has warned that the annual meeting season will highlight corporate governance issues which are plaguing investors, including executive remuneration, external and internal management of real estate investment trusts, and management fees.

 

In an investment climate where security prices remain at significant discounts to net tangible assets, investors are preparing to argue against high executive salaries, which is set to spark debates between real estate investment trust managers and investors.

 

''The REIT sector has offered up the worst of the worst when it comes to the disconnect between shareholders' experiences and executive payouts,'' said Les Goldmann, policy and research manager of the Australian Shareholders Association.

 

These debates are particularly fuelled by recent legal changes to shareholder votes on executive and director remuneration.