Amid a surge in Initial Public Offerings being used as an exit route by promoters, the Institute of Company Secretaries of India has highlighted the need for strong stewardship standards to protect investor interests and promote sustainable corporate governance. The institute reiterated its commitment to advancing governance, ethics, and sustainability through initiatives that enhance trust and transparency in Indian corporates. A key initiative in this direction is the Governance Principles on Stewardship (IGPS), which offers a comprehensive framework to address risks of short-termism in capital markets by encouraging ethical, transparent, and responsible conduct by institutional investors. The framework aims to strengthen retail investor confidence and support long-term value creation. The leadership of the institute emphasised that IGPS aligns with global best practices, places accountability on institutional investors, and reinforces the role of Company Secretaries as governance professionals ensuring compliance and ethical decision-making. The institute also urged institutional investors, listed companies, and governance professionals to adopt the IGPS framework, particularly in an environment of rapidly increasing public shareholding post-IPO.
PRESS RELEASE
Chief of Bureau
29 December 2025
ICSI sets benchmark for Ethical Stewardship amidst rising IPOs
With Initial Public Offerings (IPOs) increasingly emerging as a preferred exit route for promoters, The Institute of Company Secretaries of India (ICSI) underscores the critical importance of robust stewardship standards to protect investor interests and promote sustainable governance practices.
As a premier governance body, the ICSI remains committed to promoting excellence in governance, ethics, and sustainability, and supporting initiatives that foster trust and transparency in India Inc. The ICSI’s Governance Principles on Stewardship (IGPS) is one such initiative, that provides a comprehensive framework aimed at addressing the growing risk of short-termism in capital markets. By encouraging ethical, transparent, and responsible conduct by institutional investors, IGPS seeks to strengthen confidence among retail investors and enhance long-term value creation.
Emphasising its significance, CS Dhananjay Shukla, President, the ICSI, said, “The IGPS framework aligns with global best practices and advocates strengthening the investment structure by safeguarding the interests of retail investors and laying the onus on the Institutional Investors. IGPS reinforces the Company Secretary’s role as Governance Professionals and ensures compliance, ethical decision-making, and accountability across organisations.”
Reflecting his opinion, CS Asish Mohan, Secretary, the ICSI, reiterated that, “Effective Stewardship is essential, particularly in an environment where public shareholding is rising rapidly post-IPO. The ICSI urges institutional investors, listed companies, and governance professionals to adopt the IGPS framework to strengthen India’s corporate governance landscape.
Preeti Kaushik Banerjee
Joint Secretary
The Institute of Company Secretaries of India
Tel: 011-4534 1022
Email: preeti.banerjee@icsi.edu
About ICSI
The Institute of Company Secretaries of India (ICSI) is a premier professional body set up under an Act of Parliament, i.e., the Company Secretaries Act, 1980, for the regulation and development of the profession of Company Secretaries in India. It functions under the jurisdiction of the Ministry of Corporate Affairs, Government of India. The Institute, being a pro-active body, focuses on top-quality education for students of the Company Secretaries Course and sets the best quality standards for CS members. The Institute has over 78,000 members and about 2.5 lakh students on its roll.
