AAP

Retail shareholders should be allowed to vote on resolutions at annual general meetings (AGMs) several weeks after the meeting has concluded, a discussion paper has recommended.

The paper released by Chartered Secretaries Australia and law firm Blake Dawson, was based on submissions from company directors and secretaries, regulators, academics and the media.

It suggested that the deliberative function of the AGM, that is reporting, discussion and questioning of resolutions, be separated from the voting function.

This would give retail shareholders time to reflect on the events of the AGM, even if they were unable to attended the meeting, the paper said.

CSA chief executive Tim Sheehy said about 10 per cent of companies last year attracted 300 or more shareholders to their AGM.

"Research shows that shareholders are deserting AGMs in droves", he said.

Giving shareholders up to two weeks to vote on important issues, such as choosing directors or approving their pay, would reinvigorate AGMs and help restore shareholder confidence, Mr Sheehy said.

"It turns the AGM from the examination into the preparation for the examination."

The paper also recommended that the statutory period for holding AGMs be extended to three months after the release of annual results from two months.

This could ameliorate the current difficulty of almost 1,500 AGMs being held in November and December.

The paper's recommendations come six months after respected Australian businessman and philanthropist David Gonski said AGMs in their current form were totally inadequate as a means of developing relationships with shareholders.

Mr Gonski said removing the voting process from AGMs would allow for a much less confrontational atmosphere.