Resources
We conduct original research on the causes of short-term business decisions and work to find practical solutions.
Article
4 February 2019 - The debate no longer concerns why organizations should be longer-term, but rather how they can accomplish it.
Strategy | Report
1 February 2019 - By some accounts, public markets are out of fashion. Detractors point to the decline of IPOs in developed economies and the growth of private capital pools over the last few years. But these trends tell only one side of the story. Private markets are doing well, but their success does not suggest the decline of public markets.
Press Release
1 February 2019 - Boston, MA, 31 January 2019 – FCLTGlobal, a not-for-profit organization that advocates for a longer-term focus in business and investment decision-making, has released a new report highlighting the benefits of public markets on long-term value creation. The report, Public Markets for the Long Term: How Successful Listed Companies Thrive, explores the rise of private capital and the presence of these markets alongside traditional public markets. Today, private capital stands at record levels and the success of venture capital-funded unicorns suggests to some that public markets are outdated. A closer...
In the News
1 February 2019 - How about better multiple time-horizon investing? A recent paper* by Focusing Capital on the Long Term (FCLT) injects a dose of self help into the long-horizon investing discussion. It recognises that few investors can focus solely on the long term, and shorter time horizons exist in parallel. Even large institutional investors can have collective behavioural biases around long-term investing. They may be subject to short-term pressures that make sticking to long-term decisions difficult.
In the News
30 January 2019 - From my backseat driver vantage point, Fink long ago saw the light regarding what ails society and the leaders who are at the helm of for-profit organizations. There is a blinding fixation on putting profits ahead of purpose. Indeed purpose seems to have been forgotten or worse ignored. Senior leaders—and arguably a for-profit organization’s board of directors—continue to operate with their head in the sand. Fink’s annual letter to CEOs points this out admirably.
In the News
25 January 2019 - Asset owners with a long-term time horizon are not immune to short-term pressures, according to a new publication from FCLT Global. The 30-page publication – ‘Balancing act: managing risk across multiple time horizons’ – addresses the challenge of managing multiple-horizon portfolios such as pension plans, sovereign wealth funds and endowments, by outlining why such management is important.
Strategy | Press Release
9 January 2019 - Boston, MA, 9 Jan 2018 – FCLTGlobal, a not-for-profit organization that encourages a longer-term focus in business and investment decision-making, has released its newest publication, Balancing Act: Managing Risk across Multiple Time Horizons, which proposes new approaches for asset owners to manage investment risk across multiple time frames. Long-term funds, such as pension plans, sovereign wealth funds, and endowments manage their portfolios decades or more into the future. They are also required to meet expectations in the near term in order to continue with their investment strategy and...
Press Release
2 January 2019 - Boston, MA, 2 January 2019 – FCLTGlobal, a not-for-profit organization that works to encourage a longer-term focus in business and investment decision-making, is pleased to announce the addition of six new members to our Board of Directors. The following executives joined the board effective January 1, 2019: Vijay Advani, CEO, Nuveen Investments Inc Leni Boeren, CEO, Kempen Capital Management Peter Harrison, Group Chief Executive, Schroders Geraldine Matchett, CFO, DSM Kevin Sneader, Global Managing Partner, McKinsey & Company Howard Ungerleider, President and Chief Financial Officer of Dow, and Chief Financial Officer of DowDuPont All six of the...
Strategy | Report
21 December 2018 - Boards and executives of long-term funds, such as pension plans, sovereign wealth funds, and endowments, have a challenging problem. They need to manage those portfolios to meet their long-term purpose, which may be decades or more into the future. Yet no fund has the luxury of looking only to that long-term time horizon. Each must also meet expectations in the near term in order to continue in its role and with its investment strategy.
Strategy | Toolkit
21 December 2018 - To facilitate discussions about managing portfolios to both meet long-term objectives and weather short-term risks, FCLTGlobal, with input from its members, has developed this Risk Conversation Guide for boards and staff. We have provided illustrative answers to these questions, but these are not intended to be exhaustive or comprehensive.
Article
21 December 2018 - In the run-up to the much anticipated G20 Summit in Buenos Aires, amidst chatter of tariffs and tête-à-têtes among world leaders, the World Bank Group and the Argentine government hosted the Investor Forum. The conference is a first-of-its-kind event uniquely positioned to bring together global investors and policy makers to identify steps for increasing long-term, sustainable investments that promote economic growth. The forum leaned heavily toward action, with people in the room capable of it on a global scale – in attendance were political leaders including...
