This chapter focuses on corporate governance reform in Australia. In this context, it briefly describes the origins and functional application of Australia���s best practice corporate governance standards, and the methods used by investment fiduciaries to incorporate corporate governance standards into the portfolio management. It also discusses theoretical origins of the corporate governance problem and best practice measures, and the matrix of fiduciary obligations owed by different actors. Finally, the chapter examines the investment thesis of common good corporate governance measures on the basis of one prime question; does poor-governance firms, those not fully adopting promulgated corporate governance best practices and subject to substantial insider influence outperform their counterparts? The study concludes that such firms provide superior investment returns for portfolio investors and financial performance.