Story perspectives

Trump Targets Foreign Proxy Firms with New Executive Order

12/16/2025

Summary

Trump Targets Proxy Firms

On December 11, 2025, President Donald Trump signed an executive order targeting foreign-owned proxy advisory firms Institutional Shareholder Services (ISS) and Glass Lewis.
The order notes these firms control 90% of proxy advisory market and promote agendas over investor returns, especially on environmental, social, and governance issues.
It directs Securities and Exchange Commission, the Federal Trade Commission, and the Department of Labor to review regulations and investigate potential antitrust violations.

Summary

Trump Revises Fiduciary Rules

On December 12, 2025, after U.S. President Donald Trump's executive order, the U.S. Labor Department will revise fiduciary rules for retirement plans.
The order requires proxy advisers to prioritize plan participants' interests and remove political motivations.
It aims to replace Biden-era ESG rules that facilitated environmental, social, and governance options in retirement plans and signals a shift toward accountability and reduced foreign influence.

History

Historical Context

The Securities Exchange Act of 1975 established regulations for proxy advisory firms, which have since gained significant influence, controlling 90% of the market by 2025. President Trump's 2025 executive order aimed to reduce foreign influence and prioritize investor returns, reflecting ongoing scrutiny of these firms and a shift towards greater domestic control over investment strategies amid concerns about their accountability and conflicts of interest.

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Trump Targets Proxy Firms

On December 11, 2025, President Donald Trump signed an executive order targeting foreign-owned proxy advisory firms Institutional Shareholder Services (ISS) and Glass Lewis.
The order notes these firms control 90% of proxy advisory market and promote agendas over investor returns, especially on environmental, social, and governance issues.
It directs Securities and Exchange Commission, the Federal Trade Commission, and the Department of Labor to review regulations and investigate potential antitrust violations.

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