Negative impactSector
37 of top 100 companies still combine chairperson, CEO roles
BusinessLine 2 hrs ago·2 Nov 2026, 3:39 pm
A recent survey reveals that 37 of India's top 100 companies still combine the roles of Chairperson and Chief Executive Officer. This practice, which SEBI made voluntary in 2020, remains common despite calls for change. Former SEBI chairman Uday Kotak has argued that separating these roles is crucial for better corporate governance and checks and balances.
For investors, this trend matters because a combined role can blur the lines between oversight and management. It may lead to conflicts of interest, where the person in charge has too much power without sufficient independent supervision. This can impact how companies are run and how risks are managed.
Going forward, investors should watch for any new regulatory moves or industry-wide shifts. If SEBI or other regulators decide to make the separation mandatory, it could force a significant restructuring for these companies. This would be a key development to monitor for long-term corporate governance standards.
Excerpt from BusinessLine
Four years after SEBI made separation voluntary, survey finds little change; Damodaran urges SEBI to restore separation of the two posts Thirty seven of India’s top 100 listed companies continued to have the same individual as chairperson and managing director or chief executive officer in FY26, while board meetings…Read the original at BusinessLine
Key takeaways
- Category: Sector.
- AI reads the tone as negative (potentially bearish) for the stock.
Why it matters
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