Explain in brief: (iv) The principle of 'Investor Activism' based on Adi Godrej Committee report.

In March 2012, the Ministry of Corporate Affairs constituted a Committee to formulate a Policy Document on Corporate Governance under the chairmanship of Mr. Adi Godrej with the President ICSI as Member Secretary/Convenor. The Adi Godrej Committee submitted its repot which was articulated in the form of 17 Guiding Principles of Corporate Governance. Investor Activism is one of these principles, which depicts that India Inc. can no longer expect shareholders to remain passive. Not just big institutional investors, but even minority shareholders are now turning increasingly assertive to influence corporate decision-making. Recent developments in the financial markets and in business practices suggest a growing trend in shareholder activism, wherein investors attempt to influence management and corporate practices by raising pertinent questions.