Resources
We conduct original research on the causes of short-term business decisions and work to find practical solutions.
Video
4 March 2021 - Forthcoming research examines societal income distribution in the statistical sense – such as its volatility, skewness, and kurtosis – and relates it to the macro risk distribution faced by investors. This analysis tests the hypothesis that investors’ efforts to reduce volatility reallocates it to individuals in the form of income volatility, and raises the question - Are investors’ risk management practices contributing to inequality?
Strategy | Article
4 March 2021 - By Ariel Babcock There is ample evidence that taking a long-term approach delivers superior value for companies over time. From 2001 to 2014, the revenue of long-term firms cumulatively grew, on average, 47 percent more than the revenue of other firms, with less volatility, and added nearly 12,000 more jobs on average than other firms over that same timeframe. Long-term-oriented companies bounce back quicker from a downturn and create 9 percent more return on their invested capital, too. Despite the many benefits of taking a longer-term approach...
Climate, Strategy | Article
2 March 2021 - Focusing capital on long-term climate solutions via investment portfolio construction
Climate, Strategy | Article
25 February 2021 - Evaluating whether market reactions reflect the value of a corporate net-zero commitment in the short, medium, and long term
Article
24 February 2021 - Retirement is one of the key long-term financial compacts we make as a society. It requires coordination among three major groups of stakeholders – governments, businesses, and individual savers – and a dedication to a true long-horizon perspective, saving for a future that is often decades away.
Podcast
22 February 2021 - Nitin Nohria joins the podcast to discuss why the HBS approach is becoming the norm in the form of stakeholder capitalism (18:00) and greater awareness of ESG issues. We also explore the lasting impact of the work of Adam Smith on the heels of the announcement of the new Panmure House Prize.
Press Release
22 February 2021 - Applications are now open for the Panmure House Prize, named in honour of the former home of the eighteenth century Scottish economist, Adam Smith Heriot-Watt University announces internationally-renowned panellists to judge submissions, including James Anderson, partner at Baillie Gifford; Adrian Orr, governor of the Reserve Bank of New Zealand, and patron of the prize, Nobel prizewinner and economist Sir Angus Deaton. The $75,000 prize will be one of the UK’s largest academic awards and will commend research into the long-term funding of innovation Edinburgh. Monday 22 February 2021....
Video
10 February 2021 - Forthcoming research examines societal income distribution in the statistical sense – such as its volatility, skewness, and kurtosis – and relates it to the macro risk distribution faced by investors. This analysis tests the hypothesis that investors’ efforts to reduce volatility reallocates it to individuals in the form of income volatility, and raises the question - Are investors’ risk management practices contributing to inequality?
In the News
4 February 2021 - The recommendation that public corporations disclose their plans for achieving carbon neutrality by 2050 should be embraced by companies and investors as well as pragmatically implemented by regulators globally, write Jay Clayton and Mark Wiseman.
Strategy | Article
1 February 2021 - Through the second phase of our risk research, FCLTGlobal hopes to learn from members why implementation is not happening, what is needed to increase it, as well as to draft a list of hypothetical tools to change behavior.
