Market: United States
Agency/Exchange
The U.S. Securities and Exchange Commission: approved board diversity rule for companies listed on the Nasdaq exchange.
Date
Approved: August 6, 2021
Description
Nasdaq-listed companies must (subject to some exceptions):
- annually report on board-level diversity statistics using a standard matrix template beginning in 2022:1
- total number of board members
- how those board members self-identify regarding gender, race and ethnicity categories and LGBTQ+ status
- appoint at least one diverse director by August 7, 2023, and at least two by August 6, 2025, of whom one should self-identify as female and one as either an underrepresented minority or LGBTQ+. If the company has not met these standards by those dates, explain why not.
See our September 28, 2021, client alert “SEC Approves Nasdaq Board Diversity Listing Standards.”
Market: Hong Kong
Agency/Exchange
The Stock Exchange of Hong Kong Limited (HKEX): has adopted measures to improve board diversity at HKEX-listed companies
Date
Took effect: January 1, 2022
Intended to be implemented for: financial reporting periods commencing on or after January 1, 2022
Description
HKEX-listed companies must:
- appoint at least one director of the absent gender by December 31, 2024, if they have single-gender boards;
- not have single-gender boards from July 1, 2022, if they are IPO applicants;
- set and disclose numerical targets and timelines for achieving gender diversity both on their boards and within their wider workforces for financial years commencing on or after January 1, 2022; and
- must have their boards review the progress of their diversity policy annually for financial years commencing on or after January 1, 2022.
Market: Japan
Agency/Exchange
The Tokyo Stock Exchange: revisions to Japan’s Corporate Governance Code
Date
Took effect: June 11, 2021
Description
Japan-listed companies must:
- disclose their policies and “voluntary and measurable” goals for ensuring diversity in senior management, such as the promotion of women, foreign nationals and midcareer hires to middle management roles; and
- disclose their human resource development policies to ensure diversity and report on the implementation of those policies.
Market: Australia
Agency/Exchange
The Australian Securities Exchange (ASX): Corporate Governance Principles
Date
Published: February 2019
Description
ASX-listed companies must:
- set and disclose measurable objectives for achieving gender diversity in the composition of their boards, senior management and workforces generally; and
- report annually on the achievement of those objectives.
For members of the S&P/ASX 300 Index, the objective should be to have at least 30% of its directors be of each gender.
Market: Singapore
Agency/Exchange
The Singapore government: Council for Board Diversity (CBD)
Date
Established: 2019
Description
The board has a mandate to “promote a sustained increase of women on boards of listed companies.” The CBD set a target for the top 100 listed companies of:
- 20% women on boards by the end of 2020
- 25% by the end of 2025
- 30% by the end of 2030
As of June 30, 2021, the CBD reported a level of 18% — below the target but an improvement from 16.2% in December 2019.
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1 Disclosure is required by the later of (a) August 8, 2022, or (b) the date on which the company files its proxy or information statement for its 2022 annual shareholder meeting.