Resources
We conduct original research on the causes of short-term business decisions and work to find practical solutions.
Governance | Toolkit
29 March 2019 - A well-functioning corporate board of directors wields the power to meaningfully influence the purpose, culture, and direction of an organization. Is your board taking the steps necessary to help companies maximize their long-term potential?
Governance | Toolkit
29 March 2019 - Developed in conjunction with Behavioral Economics in Action at Rotman at the University of Toronto, this digital dashboard will assess how your Board of Directors spends its time during full board meetings.
In the News
27 March 2019 -
Governance | Article
19 March 2019 - A chapter in the upcoming new edition of The Handbook on Board Governance focuses on the strategic benefits of long-term oriented boards, co-authored by FCLTGlobal’s Ariel Babcock and Sarah K. Williamson, and Dr. Robert Eccles (Said Business School). A well-functioning corporate board of directors wields the power to meaningfully influence the purpose, culture, and direction of an organization. This is often among a company’s greatest untapped strategic assets. While many boards of directors may display sound corporate governance principles, the most effective boards at leading companies for long-term value creation...
In the News
15 March 2019 - Now more than ever, investors need to decide whether they want to lock up their money in bets that could pay off richly–or fail disastrously–down the road.
In the News
7 March 2019 - The numbers speak for themselves. Fewer than 15% of S&P 1500 companies refer to longer-term metrics—anything beyond 2 years—in their proxy statements. Globally, only 8.7% of companies in the MSCI All Country World Index issue guidance beyond one year. But these kinds of long-term plans are exactly what investors are clamoring for. Our own survey of institutional investment decision-makers found that 86% want companies to share targets at least three years out. And a survey from Rivel Research found 93% of global buy-side investors prefer targets...
Strategy | Press Release
25 February 2019 - Boston, MA, 26 February 2019 – FCLTGlobal, a not-for-profit organization that advocates for a longer-term focus in business and investment decision-making, published today its latest report on corporate investor communications practices. Driving the Conversation: Long-term roadmaps for long-term success makes the case for companies to share more robust long-term plans, or “roadmaps”, with their investor base rather than issue the quarterly guidance statements that perpetuate a short-term ideology. The new report outlines key elements that companies can include in a roadmap to their shareholders in order to build consensus. This...
Investor-Corporate Engagement | Report
21 February 2019 - Roadmaps have a proven record at leading companies, and evidence suggests that the majority of investors (especially long-term investors) prefer this approach. By focusing on key elements of performance such as competitive advantages, long-term objectives, and a strategic plan matched with clear capital allocation priorities, companies can build buy-in among long-term investors who support a focus on long-term value creation. Survey after survey indicates that investors prefer forward-looking, long-term guidance around a company’s strategy and expected performance. This paper, which represents the collective effort and experience...
Investor-Corporate Engagement | Toolkit
21 February 2019 - Benefits of a long-term roadmap: Gives existing shareholders what they want Attracts long-term investors by using long-term language Acts as a deterrent or buffer against activist attacks More accurately shapes a company’s valuation Provides strategic clarity to internal audiences
In the News
15 February 2019 - A new paper by Focusing Capital on the Long Term (FCLT) acknowledges that investors typically have competing time frames while most of the tools for risk and performance management are for only one investment period. The paper, Balancing Act: Managing risk across multiple time horizons, gives investors, from boards to investment personnel, much-needed practical tools and processes to address this issue successfully.
Video
6 February 2019 - Sarah Williamson discusses focusing capital on the long term with Amanda Lang of Bloomberg Markets.
In the News
6 February 2019 - Sarah Williamson discusses focusing capital on the long term (16:00) with Amanda Lang of Bloomberg Markets. Co-anchored by Amanda Lang in Toronto and Shery Ahn in New York, Bloomberg Markets delivers the most important global business and breaking market news as it happens.