Retail stock traders on the eToro platform can now not only receive dividends but also participate in global shareholder meetings.

eToro Expands Proxy Voting Feature

eToro has partnered with Broadridge Financial Solutions Inc. to implement an expanded proxy voting feature, allowing users holding partial shares to participate in the annual general meetings (AGMs) of global stocks. Retail investors can currently vote on important matters such as mergers, executive compensation, and environmental, social, and governance objectives.

"eToro users showed support for proxy voting last year, and we are pleased to expand this feature to all stocks on our platform," commented Dan Moczulski, eToro's UK General Manager.

According to eToro's retail investor survey, which polled 10,000 retail investors across 13 countries, enthusiasm for proxy voting is on the rise. The survey indicates that 29% of retail investors have voted at AGMs, up from 26% in a previous survey conducted in June. Among those who voted, the most common topics include board elections or re-elections (47%), dividends (45%), stock buybacks (34%), and executive compensation (30%).

Another study by eToro shows that 27% of retail investors are moving away from large companies, seeking investment opportunities in smaller companies where they can have a more tangible impact on their value.

Empowering Retail Investors

The expansion of eToro's proxy voting feature aligns with the trend of retail investors seeking greater influence and engagement in the companies they invest in. Demi Derem, International Head of Corporate Governance, Digital Transformation, and Market Innovation at Broadridge, emphasized the significance of this development.

"We are witnessing the evolution of a new generation of retail investors who expect more choice, convenience, and simplicity, as their desire to influence the direction of companies grows," Derem said.

Since launching the service in the United States at the end of 2022, Broadridge has collaborated with eToro on proxy voting. Due to its significant popularity, platform clients can actively participate in the life of "their" global companies.

"Proxy voting will become an increasingly important feature for our users, enabling them to exercise shareholder rights and directly impact the companies they hold in their investment portfolios," said Gili Wolff, eToro's Senior Director of Product, Trading, and Execution.