Preparing for Post-Pandemic Corporate Activism

Pre-pandemic, activists found new acceptance among institutional investors as they focused on unlocking value, creating efficiencies, and operating in a global environment with a focus on corporate and social responsibility governance issues. In what might be seen as a direct response to this trend, in August 2019, a group of 181 chief executives signed a…

Investors Call on Corporate Managers to Adopt COVID-19 Policies

From the Interfaith Center on Corporate Responsibility: We are 195 long-term institutional investors representing over $4.7 trillion USD in assets under management with global exposure across capital markets. We recognize the long-term viability of the companies in which we invest is inextricably tied to the welfare of their stakeholders, including their employees, suppliers, customers and…

In Stakeholder Capitalism, Shareholders Are Still King – WSJ

[B]ig business in the U.S. is talking up stakeholder capitalism as it fends off growing criticism of its place in society. Most prominently, in August, the Business Roundtable released a statement signed by 181 CEOs in which they pledged “a fundamental commitment” to “deliver value to all” stakeholders. For some people, this renewed interest in…

Prudential’s multi-stakeholder framework reinforces board commitment to investors, employees, customers and society

The Board of Directors for Prudential Financial, Inc. (NYSE: PRU) has introduced a multi-stakeholder framework that extends the board’s accountability to shareholders, employees, customers and society. “As board members, we believe our duty includes enabling positive change for a much broader set of individuals, groups and interests, in addition to creating strong value for shareholders,”…

Performance Metrics: Accelerating the Stakeholder Model

When the Business Roundtable announced their “new” commitment to “stakeholders,” we said it was not meaningful unless we saw incentive compensation aligned to specific stakeholder goals. At the Harvard Law School Forum on Corporate Governance and Financial Regulation, Equilar research analyst Connor Doyle looks at current incentive plans tied to goals other than the traditional…

Interview With Ira Millstein — WSJ

One of the founding fathers and true visionaries of modern corporate governance is Ira Millstein. The WSJ asked him for his thoughts on the BRT’s stakeholder statement (he says it is not specific enough) and on the state of corporate governance today. An excerpt: In 1979, the Business Roundtable conducted a series of hearings and…