New corporate governance rules issued by Irish Stock Exchange

The Irish Stock Exchange (ISE) has published a new set of corporate governance rules for listed companies.

Based on recommendations from a report commissioned by the ISE and the Irish Association of Investment Managers, the Irish Corporate Governance Annex will take effect immediately.

The ISE said the new rules will be applied on a comply or explain basis and are designed to supplement the provisions of the UK Corporate Governance Code, which listed firms in Ireland are already required to adhere to.

Mike Duignan, head of market supervision at the exchange, claimed companies will be able to "further demonstrate their commitment to high standards of corporate governance by meeting the requirements of the new rules".

According to the Wall Street Journal, the Irish Corporate Governance Annex will require firms to provide a clear description of their remuneration policy and explain the rationale for the size and structure of their boards.

They should also disclose details of anticipated changes to the board in their annual reports, as well as setting out the skills and experience of directors.