CFA Level 1 Exam - Corporate Issuers Test || With Questions & 100% Correct Solutions

CFA Level 1 Exam - Corporate Issuers Test || With Questions & 100% Correct Solutions CFA Level 1 Exam - Corporate Issuers Test || With Questions & 100% Correct Solutions stakeholder management - ANSWER - management of company relations with stakeholders and is based on having a good understanding of stakeholder interests and maintaining effective communication with stakeholders legal infrastructure - ANSWER - identifies the laws relevant to and the legal recourse of stakeholders when their rights are violated contractual infrastructure - ANSWER - refers to the contracts between the company and its stakeholders that spell out the rights and responsibilities of the company and the stakeholders organisational infrastructure - ANSWER - refers to a company's corporate governance procedures, including its internal systems and practices that address how it manages its stakeholder relationships governmental infrastructure - ANSWER - comprises the regulations to which companies are subject annual general meeting - ANSWER - corporations holding AGM after the end of the firm's fiscal year proxy - ANSWER - shareholder can assign their right to vote to another who will attend the meeting, often a director, member of management, or the shareholder's investment advisor. a proxy may specify the shareholder's vote on specific issues or leave the vote to the discretion of the person to whom the proxy is assigned special resolutions - ANSWER - require a supermajority vote for passage, typically two thirds or three-fourths of the votes cast extraordinary general meetings - ANSWER - can be called anytime there is a resolution about a matter that requires a vote of the shareholders majority voting - ANSWER - candidate with the most votes for each single board position is elected cumulative voting - ANSWER - shareholders can cast all their votes (shares times number of board position elections) for a single board candidate or divide them among board candidates two-tier board structure - ANSWER - supervisory board that typically excludes executive directors. the two boards operate independently. management board is typically led by the company's CEO lead independent director - ANSWER - has the ability to call meetings of the independent directors, separate from meetings of the full board staggered board - ANSWER - elections for board positions are held each year. structure limits the ability of shareholders to replace board members in any one year and is used less now than it has been historically board responsibilities