Summary

The "Code of Good Practice: Institutional Investors and Corporate Governance, 2001" in the UK establishes guidelines for institutional investors to promote effective corporate governance in the companies they invest in. This code encourages investors to actively engage with companies to ensure high standards of governance, transparency, and accountability. Key principles include monitoring and evaluating company performance, maintaining an active dialogue with company boards, and exercising voting rights responsibly. The code aims to foster long-term sustainable growth and protect the interests of beneficiaries and stakeholders by promoting responsible investment practices and robust corporate governance standards.