Announcement on Adjusting the Appraisal Measures of SSE Corporate Governance Sector
In order to further promote the listed companies to improve their corporate governance, and to reflect the development and changes of the capital market, today Shanghai Stock Exchange (SSE) and China Securities Index Co., Ltd. (CSI) decide to adjust the Appraisal Measures of SSE Corporate Governance Sector. The details are as following:
(1) The appraisal method is adjusted to use objective and quantitative indicators for scoring. The governance status of listed companies will be evaluated through seven dimensions, including shareholder governance, board governance, board of supervisors governance, executive management, controlling shareholders and related-parties, disclosure and transparency, and management operations. The scope of selection will be the companies listed in Shanghai Stock Exchange.
(2) The appraisal frequency will be adjusted to be semi-annually, in May and November each year. The SSE Corporate Governance Sector will be composed of 300 listed companies with high governance scores, and the adjustment ratio shall not exceed 10% in principle.
The appraisal results after the adjustment will be implemented on 15 June 2021.
Shanghai Stock Exchange
China Securities Index Co., Ltd.
May 28, 2021