The Code clarifies the obligation of the Management Board and the Supervisory Board (dual board system required by law) to ensure the continued existence of the enterprise and its sustainable creation of value in conformity with the principles of the social market economy. Any deviations from the recommendations should be explained. It requires the annual report to include a Management Report and Corporate Governance Report with, among others, information on compensation, remuneration, as well as stock option programmes and similar securities-based incentive systems of the company (section 7.1.3).
Industry sectors covered by the instrument
Organizations covered by the instrument
All listed companies
Type of instrument
Code of conduct or guideline
Mandatory or voluntary
The geographical scope