Tana Malinga
15 October 2025 – A quiet revolution is reshaping how big decisions are made in South African boardrooms. Thanks to digital tools, stronger investor voices, and rising pressure for ethical governance, proxy voting is becoming a powerful force in corporate accountability.
Proxy voting – where shareholders vote without being physically present – is no longer just a formality. It’s now a key way for investors to push for board diversity, climate action, fair executive pay, and greater transparency.
“Proxy voting allows shareholders – especially large institutional investors – to take part in important decisions, even if they’re not in the room,” says Sam Dahya, Head of Investor Services at Standard Bank Corporate and Investment Banking (CIB).
The Digital Shift: Voting Made Easy
With the help of advanced digital platforms, proxy voting is now faster, more secure, and more transparent than ever.
Standard Bank has developed its own high-tech proxy voting platform, which is fully integrated with local systems like STRATE’s e-voting portal (Proximity) and international providers like Broadridge. This allows institutional investors to vote easily across different mandates and markets.
“Our clients expect to see exactly how their votes are handled,” says Dahya. “We’ve invested in technology that automates the process, cuts down on errors, and provides full reports and audit trails.”
ESG, Activism and Accountability
Today’s investors are more focused on values, not just profits. There’s growing demand for companies to meet environmental, social and governance (ESG) standards. Many shareholders are now using their votes to demand climate responsibility, ethical business practices, and stronger corporate leadership.
Public engagement and media attention are also giving more weight to shareholder activism, increasing pressure on companies to listen and act.
Regulation Needs to Catch Up
While technology is moving forward, regulation still lags behind.
“Right now, companies can only communicate with shareholders through registered mail or email. That’s outdated,” says Palesa Banda, Head of Custody at Standard Bank CIB.
To improve shareholder participation and efficiency, many are calling for regulatory changes that reflect the digital age.
Strong Foundations, but More to Do
South Africa already has a solid base. The country has operated in a fully digital shareholding system for more than 20 years. It also allowed for virtual and hybrid AGMs well before the pandemic forced other markets to adopt them.
Still, experts say more is needed. New updates under the King V Code on Corporate Governance, introduced earlier this year, are expected to raise the bar for transparency and shareholder engagement.
Currently, companies only have to publish the results of shareholder votes. But there’s growing demand for full AGM minutes to be made available, so shareholders can understand the full context behind board decisions.
What’s Next? Three Big Priorities
Dahya outlines three major goals for the future of proxy voting:
- Greater digital integration across platforms and systems
- Real-time vote tracking and transparent reporting
- Updated laws and regulations that enable modern shareholder participation
Both Dahya and Banda also highlight the future role of artificial intelligence in predicting voting trends, improving shareholder engagement, and driving better governance decisions.
“It’s not just about improving operations,” says Banda. “It’s about giving shareholders the tools, insights and confidence to influence the companies they invest in – in a transparent, timely and effective way.”
A Global Example in the Making
With more collaboration across the industry, South Africa has the opportunity to become a global leader in modern proxy voting – setting the standard for how digital tools and empowered investors can shape better corporate governance.
