Activism Around the World: The Evolving Global Landscape

Key takeaways from the 13D Monitor Active-Passive Investor Summit

Shareholder activism has become a global phenomenon, with Asia Pacific representing about a third of global campaigns in 2026 so far. In Canada, activism is being reshaped by competing forces: U.S. activist campaigns have declined in Canada since the outbreak of trade tensions between Canada and the United States, board defence tactics have grown more aggressive, regulators are re-examining the rules on stake building and a new standard may be emerging to police conduct in proxy contests.

Patricia Olasker recently spoke on this topic at the 13D Monitor Active-Passive Investors Summit in New York. These are some of her takeaways, which highlight what is changing and how to prepare.

• Canada’s attitude toward activism is in flux. In the decade after the landmark Pershing Square/Canadian Pacific proxy contest, activism in Canada evolved from reviled to tolerated to valued, and its positive impact on companies and capital markets was openly acknowledged by regulators and even directors. In recent years, however, attitudes have shifted, influenced by the growing anti-investor sentiment evidenced by U.S. legal and regulatory developments.
• Board defence tactics are pushing the envelope. Boards have mounted increasingly aggressive defence campaigns, including placing stock in friendly hands ahead of record dates, attempting to sell the company out from under shareholders and spending heavily to defend board seats. Many boards appear to be betting that investors will not litigate, or that adjudicators will defer to directors’ business judgment.
• Proposed derivatives disclosure rules could reshape stake building. Canadian securities regulators have proposed changes to how equity-equivalent derivatives, such as cash-settled swaps, are reported. Among other things, the proposal would
  • accelerate reporting of economic exposure under swaps in the context of a proxy solicitation;
  • require shareholders to disclose actual ownership separately from derivative positions;
  • require continuous reporting of changes in position for the duration of a proxy solicitation; and
  • in certain instances, require disclosure of the identity of swap counterparties.

The implications for activist stake building in Canada are significant.

• Regulators have formally recognized the value of activism. Despite these headwinds, the Canadian Securities Administrators has acknowledged that shareholder activism is an important accountability mechanism and that an appropriate balance between issuers and investors must be maintained. This appears to be the first time securities regulators have officially recognized the importance of activism to Canadian capital markets.
• A referee may finally be entering the proxy contest arena. Last month, the British Columbia Securities Commission ruled on a defensive private placement made on the eve of the record date for a contested meeting. Its significance lies in the Commission’s willingness to apply its public interest jurisdiction, traditionally reserved for take-over bids, to proxy contests. The ruling comes from only one province and addresses one tactic, but boards should assume that defensive measures in a proxy contest may be viewed through a new lens.
• The ingredients of a successful Canadian campaign. A successful activist campaign in Canada typically requires the following:
  • a credible thesis;
  • support from a major Canadian institutional investor;
  • a charismatic and persuasive activist representative; and
  • a willingness to litigate in the face of aggressive defence tactics.

For companies, this list doubles as a preparedness checklist: understand your vulnerabilities to a credible thesis, maintain strong relationships with your major shareholders and ensure any defensive strategy can withstand legal and regulatory scrutiny.