6 questions lodged at 2024 WAM Research hybrid AGM

Q1. It is pretty silly holding the AGMs of all 6 LICs in our stable on the same day. What if shareholders are still debating at this meeting when the 9.15am AGM of WAM Strategic Value is due to start? The AFIC stable spreads its AGMs out of over 2 days and they've only got 4. Will you undertake that this will be the last time you run 6 AGMs on the one day?

Answer: The chair Geoff Wilson said they haven't overlapped in the past so will be interesting to see if they change next year.

Q2. How much are we paying the ASX in listings fees from the inefficient approach of running 6 different LICs in a very crowded market with many now trading at a discount to NTA. If we were to rationalise this down to 3 or 4 through mergers, which would be the logical portfolio to combine?

Answer: The chair said rolling WAM Research and WAM Active into WAM Capital would make sense but then he came up with a technical fairness argument as to why this would be difficult. Just do it, Geoff! Watch video of exchange via Twitter.

Q3. Best practice now is to disclose the proxy position to the ASX along with the formal addresses to allow for a more fully informed AGM debate if there have been any material protest votes. Why haven't you done this in the past and will you do it for the 5 next 5 Wilson stable AGMs today. Even the new chair of the ASX, David Clarke, did this at Charter Hall yesterday and the world's largest share registry provider Computershare did it for the first time at its recent AGM.

Answer: The chair Geoff Wilson agreed to get with the program on this one and he did later in the day with these WAM Capital results. Great job! Watch video of exchange via Twitter.

Q4. There was an 18% protest vote against the remuneration report at last year's AGM. What was that all about and have we seen a similar protest vote today. Also, when disclosing the outcome of voting on all resolutions today, could you please advise the ASX how many shareholders voted for and against each item, similar to what happens with a scheme of arrangement? This will provide a better gauge of retail shareholder sentiment on all resolutions and insight into the chronically low retail shareholder participation rate. Others have already blazed the trail as this was a voluntary disclosure initiative adopted by the likes of Qantas, ASX, Bluescope Steel, Suncorp, Tabcorp and Computershare during the current AGM season. You've got the data, so why not let the sun shine in?

Answer: The chair Geoff Wilson says fellow non-independent director Kate Thorley rings shareholders who vote against and Kate then explained what they tell her. Watch video of exchange via Twitter, plus these additional comments by Geoff Wilson.

Q5. How long has Pitcher Partners been the WAX external auditor. When we did we last run a full tender for the job and when are we next intending to tender our audit work? Do we run audit tenders as a job lot for the full stable or do the directors of the different LICs all make their own decisions.

Answer: The CFO undertook to discuss the timing of the next full tender at the next board meeting. Watch video of exchange via Twitter.

Q6. Resolution 3: There have been many substantial protest votes against resolutions seeking an extra 10% placement capacity this AGM season and we copped a big protest vote when we sort that power at last year's AGM. Why are we doing it again? It is not good practice to allow a board to selectively place up to 25% of the company's shares to anyone they like over a 12 month period, diluting the existing shareholders without compensation for their lost property rights. What is our group's history of seeking this authority and what is the approach going forward. From my point of view, you should never request it again and I have voted against.

Answer: Suspect this will be the last time as Geoff Wilson admitted he'd opposed the move at the time and have only used it once at WAM Active. Watch video of exchange via Twitter.

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