Showing posts with label Short-termism. Show all posts
Showing posts with label Short-termism. Show all posts

Level of Executive Pay is not addressed!

All very well when some 'Big Names' from the Corporate Governance Crowd point out that pay structures should encourage longer-term thinking in the C-Suite (how long is long enough though). But I still think that the question of absolute pay levels also need to be addressed. Otherwise ANY amount of compensation could be justified if the company has performed well enough. (15-Nov-2017)
Financial News (Pay Wall)

More votes for long-term shareowners?

Something can be said in favor of limiting voting rights for short-term shareholders. It feels intuitively right to exclude those who see shares just as gambling chips. But as always, the devil is in the detail! In particular, what is the right cut-off period?  (17-Oct-2017)
The Long-Term Stock Exchange Is Worth a Shot

Exec Pay: another dead end

Scrapping performance targets and making CEO's and senior executives long-term shareholders sound like a neat solution to the problem of excessive pay and short-termism. It may help to reduce the latter but still leaves open the all-important question: How high should executive compensation be in the first place. And the corporate governance crowd is silent (or complacent? or both?)
(6-July-2017)

Short-Termism Hasn't Hurt Companies Long Term

Just a reminder that one does not exclude the other, and a final question: Where does Short Term end and Lond Term start?
(14-June-2017)
Short-Termism Hasn't Hurt Companies Long Term

Millstein on Corporate Boards

Given that Corporate Boards are the immediate authority tasked with supervising and guiding a company's management one could argue that dysfunctional boards are the root of all evil in the corporate world.
So I have some sympathy with the general drift of this article (Fortune, What's behind Corporate Scandals?) but one is also left with the feeling that while we can easily point to problems it is much more difficult to come up with solutions.
General exhortations for boards to become 'better', more 'hard-working' etc are very well, like Sunday prayers, but they are of no practical use.
Any suggestions?
As always your Comments are welcome, but please no direct messages - use this blog instead so that others can see your contribution! 
(9-Dec-2016)