Protecting Americans’ Savings Act

This legislation aims to amend the Securities Exchange Act of 1934 by introducing new requirements for proxy voting. Its primary goal is to enhance independent decision-making in corporate governance by addressing certain voting practices.

Specifically, the bill mandates the Securities and Exchange Commission (SEC) to issue rules prohibiting "robovoting," defined as the automatic casting of votes based on proxy advisory firm recommendations or platforms without independent review and analysis. Additionally, it restricts institutional investors from outsourcing their voting decisions to any person other than a registered investment adviser or broker/dealer who owes a fiduciary or best interest duty to the investor. The bill also clarifies that no person is required to cast votes related to proxy or consent solicitation materials, unless specifically obligated by a fiduciary duty or existing SEC Rule 206(4)-6.