This study considers the controversy surrounding financial reporting and corporate short-termism as a puzzle. The question remains as to why corporate managers and investors persist in exhibiting behaviours that trade off long-term value creation for meeting short-term financial targets. Using inter-temporal choice theory, we suggest that the myopia characterising decision-making is entirely rational, given the set of incentives faced. We view the puzzle through the prism of universal owners (pension and superannuation funds), arguing that the investment policies or ‘mandates ’ implemented by these financial behemoths is the source of the myopic behaviour. The paper explores a range of policies that universal owners may consider implementin...
International audienceWe study the effect of investor horizons on corporate behavior. We argue that ...
From the Introduction: When pondering the question of the “sustainable corporation,” as we did in th...
Institutional investors play a central role in corporate finance and ownership. But their direct rol...
An emerging consensus in certain legal, business, and scholarly communities maintains that corporate...
The rise of massive asset owners like large pension funds and sovereign wealth funds has created int...
Short-termism and myopia on the part of corporate managers, analysts, and investors have created a b...
Despite the media attention lavished on short-termism, the UK perspective has not enjoyed any sustai...
The increased focus on short-termism was brought to the fore after the global financial crisis where...
Because of their governance, investors are not able to develop long-term investment policies. While ...
In the corporate governance debate, the short-term versus longterm contention has grown into perhaps...
This article is a comprehensive exploration of why financial and nonfinancial firms engage in short-...
The debate on short-termism has focused on the economic factors of capital markets and per-formance ...
Short-termism (i.e., the sub-optimal favouring of short-term performance over long-term performance)...
Amidst concerns about the negative effects on long-run value and competitiveness, one overlooked con...
The debate on short-termism has focused on the economic factors of capital markets and performance m...
International audienceWe study the effect of investor horizons on corporate behavior. We argue that ...
From the Introduction: When pondering the question of the “sustainable corporation,” as we did in th...
Institutional investors play a central role in corporate finance and ownership. But their direct rol...
An emerging consensus in certain legal, business, and scholarly communities maintains that corporate...
The rise of massive asset owners like large pension funds and sovereign wealth funds has created int...
Short-termism and myopia on the part of corporate managers, analysts, and investors have created a b...
Despite the media attention lavished on short-termism, the UK perspective has not enjoyed any sustai...
The increased focus on short-termism was brought to the fore after the global financial crisis where...
Because of their governance, investors are not able to develop long-term investment policies. While ...
In the corporate governance debate, the short-term versus longterm contention has grown into perhaps...
This article is a comprehensive exploration of why financial and nonfinancial firms engage in short-...
The debate on short-termism has focused on the economic factors of capital markets and per-formance ...
Short-termism (i.e., the sub-optimal favouring of short-term performance over long-term performance)...
Amidst concerns about the negative effects on long-run value and competitiveness, one overlooked con...
The debate on short-termism has focused on the economic factors of capital markets and performance m...
International audienceWe study the effect of investor horizons on corporate behavior. We argue that ...
From the Introduction: When pondering the question of the “sustainable corporation,” as we did in th...
Institutional investors play a central role in corporate finance and ownership. But their direct rol...