Proxy Voting Conclusion Summary Outlook • Streamlined distribution: Smart contract technology reduces • Applications of DLT within proxy voting are currently being manual processes associated with proxy statement distribution, explored at the proof-of-concept level by incumbent reducing the time and manpower required to perform the exchanges: process - NASDAQ • Automated reconciliation: Smart contract technology prevents • Opportunities exist for FIs to improve participation and investors from casting more votes than the shares they own accessibility to: and provides real-time updates for error correction, potentially - Proxy statements increasing the total number of counted votes - Vote casting mechanisms Key takeaways Unanswered questions • Ensure voting transparency:The potential exists for DLT to • Cost vs benefits: When voting operations are executed faster provide a transparent view of voting data during annual and at lower cost, will voting frequency increase? Additionally, shareholder meetings will this change the relationship between companies and • Provide central authority disintermediation: Investment activist investors? records stored on the distributed ledger and proxy statements disseminated via smart contract technology eliminate the need for third-party intermediaries and associated fees WORLD ECONOMIC FORUM | 2016 109