Protecting American Investors From Foreign-Owned and Politically-Motivated Proxy Advisors

Executive Order 14366 is an executive action signed by President (name not specified in the text) that directs federal regulators to review and, where appropriate, change rules governing proxy advisory firms like Institutional Shareholder Services Inc. and Glass, Lewis & Co., LLC (Sec. 1; Sec. 2). The order tells the Securities and Exchange Commission (SEC) to reassess rules and enforcement related to proxy advice and shareholder proposals (Sec. 2(a)–(c)). It directs the Federal Trade Commission (FTC) to investigate anticompetitive or deceptive practices and the Secretary of Labor to revisit ERISA (Employee Retirement Income Security Act of 1974) fiduciary rules affecting retirement plans (Sec. 3; Sec. 4). This matters because the order targets firms that the text says influence 401(k)s, IRAs, pensions, and the value of everyday Americans' investments (Sec. 1; Sec. 4).