Oh Here She Is

SEC Chief Mary Schapiro made her first high profile comments on the new and improved role of her agency Friday.

"Ms. Schapiro said she wants to restore investor confidence in the markets, and she announced the formation of an advisory group of investors. She signaled interest in giving shareholders more say on how much executives are paid and who serves on corporate boards, long a divisive issue among commissioners."

A call to arms for smart watchdoggery as expected. I am a little perplexed about the comment on executive compensation. Disclosure to investors is not a problem. The proxy materials and annual filings provide all the info they need.

Board composition isn't the problem either. The problem is that boards are rarely held accountable for the actions of companies or their top execs. If the boards consistently put the shareholders' interest first, all will be fine.