Previ, Brazil's largest pension fund and a significant shareholder in Vale SA with a 7% stake, has declared a shift in its approach to selecting the iron ore miner's chairperson. The fund announced on June 22, 2026, that it would cease making nominations for the board chairman position, instead advocating for an independent leader to oversee the company. This decision marks a significant change in governance strategy for Previ.
Adriana Chagastelles, head of investments at the 122-year-old pension fund, stated, "We will no longer make any nominations for the chairman of the board position." This move aims to ensure Vale is overseen by an independent board leader, enhancing corporate governance. The announcement comes amidst previous reports of a governance battle where Previ had pushed to remove the current chairman, Daniel André Stieler, whose mandate is set to expire in April 2027.
Prior to this announcement, the Vale board had resisted Previ's bid to oust Stieler, though the proposal was still expected to go to a shareholder vote. Previ's earlier actions, including the nomination of José Maurício Pereira Coelho as its preferred candidate to replace Stieler, indicate a recent history of active involvement in governance. However, the new stance signals a move towards a more hands-off, oversight-focused role, supporting independent candidates that best serve the company's governance. The pension fund is expected to issue a formal market communication reinforcing this new strategy.
