Investors approved all resolutions at GAM's annual general meeting (AGM) yesterday (8 May) with 72.1% of shareholders backing the firm's compensation report despite opposition from proxy adviser Institutional Shareholder Services (ISS).
ISS had encouraged members to vote against the non-binding consultative vote in a report which raised a number of concerns, such as the variable compensation model applied to GAM's executives other than the CEO and CFO, which is not capped in absolute terms.
However, the vote passed with just 27.3% voting against and 0.7% abstaining.
It follows a tumultuous 2018 for the group, amid the fallout of Tim Haywood's suspension, in which the five main GAM shareholders were hit with losses of nearly $840m due to the depreciation of the share price. The absolute return ABRF fund range is still in the process of liquidation in the wake of the Haywood scandal.
As a result, the vote on discharging the members of the board of directors and group management board - releasing them from their liability for the policies pursued in the financial year - failed to pass with just 49.4% voting in favour.
Chairman of the board of directors Hugh Scott-Barrett said GAM "understand[s] this decision… in the context of the continued liquidation of the ARBF funds". He added that he expected the completion of the liquidation by mid-July.
Despite this, all other AGM resolutions passed, with Scott-Barrett re-elected, and Benjamin Meuli, Nancy Mistretta and David Jacob also re-elected to the board. Meanwhile, the board also has new members in Katia Coudray, Jacqui Irvine and Monika Machon.
Scott-Barrett said: "I am pleased to be able to welcome Katia Coudray, Jacqui Irvine and Monika Machon to the board. I am convinced that their extensive experience and expertise in their respective areas will be valuable to us."