Resources
We conduct original research on the causes of short-term business decisions and work to find practical solutions.
Incentive Alignment, Mandates | Article
30 January 2020 - Ontario Teachers’ scales several long-term mandate provisions across the fund and pilots many others.
Stakeholder Capitalism, Metrics | Article
28 January 2020 - A focus on stakeholders takes top billing, with a shift toward real action on climate and metrics
Incentive Alignment, Mandates | Article
24 January 2020 - MFS takes action on the order of data, references to benchmarks, and inclusion of turnover.
Mandates | Article
7 January 2020 - Kempen has implemented key mandate provisions as laid out in "Institutional Investment Mandates: Anchors for Long-term Performance".
Metrics | Article
3 January 2020 - A new step towards integrating long-term metrics in investing.
Article
26 December 2019 - The conversation around the role of capital markets has changed. Around the world, companies and investors increasingly recognize the importance of long-term planning and the value of thinking beyond quarterly returns.
Innovation | Article
9 December 2019 - Returns to successful R&D can be transformational for an organization and for the broader society in which it operates.
Risk and Resilience | Article
11 November 2019 - FCLTGlobal's process for developing tools to address long-term investment risk includes interviewing risk management experts.
Governance | Article
31 October 2019 - Updates widen scope to span asset classes and geographies, and increase focus on activities and outcomes of stewardship
Metrics | Article
25 October 2019 - The U.S. Securities and Exchange Commission has proposed amendments to corporate disclosures to include tangible measures human capital objectives.
Investor-Corporate Engagement | Article
26 September 2019 - Representatives from FCLTGlobal were delighted to participate in the European Securities and Markets Authority’s (ESMA) workshop on short-termism, held in Paris on 16 September 2019. ESMA’s work on short-termism followed a Call for Advice issued by the European Commission to develop a report presenting the evidence and possible advice on potential undue short-term pressure on corporations. The workshop was a series of structured segments based on research and evidence gathered by ESMA staff: investment strategy and investment horizon; disclosure of environmental, social and governance (ESG) factors and the...
Incentive Alignment | Article
23 September 2019 - “You get what you pay for.” When it comes to executive pay, the old adage holds true. Companies’ compensation committees typically evaluate their CEOs, like any employee, based on performance benchmarks, and like every employee CEOs will work to hit the benchmarks they are measured against. Because incentives drive behavior, poorly designed incentives can precipitate poor choices. Recent studies have shown that such benchmarks, and corresponding compensation packages, are incentivizing short-term decision-making at many of today’s public companies. To dig deeper into the issue and workshop possible...