ICSI sets benchmark for Ethical Stewardship amidst rising IPOs
Rongili Barta- With Initial Public Offerings (IPOs) increasingly emerging as a preferred exit route for promoters, The Institute of Company Secretaries of India (ICSI) underscores the critical importance of robust stewardship standards to protect investor interests and promote sustainable governance practices.
As a premier governance body, the ICSI remains committed to promoting excellence in governance, ethics, and sustainability, and supporting initiatives that foster trust and transparency in India Inc. The ICSI’s Governance Principles on Stewardship (IGPS) is one such initiative, that provides a comprehensive framework aimed at addressing the growing risk of short-termism in capital markets. By encouraging ethical, transparent, and responsible conduct by institutional investors, IGPS seeks to strengthen confidence among retail investors and enhance long-term value creation.
Emphasising its significance, CS Dhananjay Shukla, President, the ICSI, said, “The IGPS framework aligns with global best practices and advocates strengthening the investment structure by safeguarding the interests of retail investors and laying the onus on the Institutional Investors. IGPS reinforces the Company Secretary’s role as Governance Professionals and ensures compliance, ethical decision-making, and accountability across organisations.”
Reflecting his opinion, CS Asish Mohan, Secretary, the ICSI, reiterated that, “Effective Stewardship is essential, particularly in an environment where public shareholding is rising rapidly post-IPO. The ICSI urges institutional investors, listed companies, and governance professionals to adopt the IGPS framework to strengthen India’s corporate governance landscape.