CMC Markets PLC faced investor unrest after 21.97% of shareholders voted against the U.K.-based online trading company's remuneration policy during its annual general meeting.
Despite the opposition, the policy was approved with 78.03% of shareholders voting in favor of it. CMC noted the policy, which it said was devised following a consultation process with important shareholders and proxy advisers, was "fundamental in supporting the delivery of our strategy."
The vote was passed with the backing of CMC Markets' majority shareholder and CEO Peter Cruddas, the Financial Times reported. Additionally, 15.54% of shareholders voted against the company's remuneration report, which included a 105% rise in pay to £845,800 for Cruddas due to a substantial bonus payout, according to the FT.
Before the AGM took place, proxy advisory firm Institutional Shareholder Services advised CMC Markets' investors to vote against the policy and the nonbinding pay report resolution due to concerns over the firm's remuneration practices.
CMC added its remuneration committee has taken into account the concerns of its shareholders who voted against the policy and will reflect on the feedback received.