Resources
We conduct original research on the causes of short-term business decisions and work to find practical solutions.
In the News
15 December 2018 - It was the G20 Investor Forum (the Forum), hosted by the World Bank and the Government of Argentina, held just before the start of the G20 Summit. For the first time ever, senior executives from the investment community in the private sector, holding over $20 trillion in assets under management, and senior officials from the public sector gathered to discuss how to better collaborate to ensure the capital markets earn the necessary long-term returns for their beneficiaries in a way that supports sustainable development. Comments...
In the News
10 December 2018 - The investor forum is a joint public-private sector initiative to foster sustainable development and try to right the wrongs of globalisation. At the G20 summit, some of the world’s most influential institutional investors, with collective assets under management of $20 trillion, travelled to Buenos Aires to discuss solutions with policymakers.
Report
6 December 2018 - Two years ago, FCLTGlobal was established with a fundamental belief that long-term investing makes the world better for us all. Companies and their investors benefit by focusing on the long term, to be sure, but more important is that this long-term focus benefits their communities: the people whose savings investors manage and the many stakeholders a company serves. We began as the Focusing Capital on the Long Term initiative, led by a small and passionate group of business and investment leaders who saw clearly the harm...
Press Release
13 November 2018 - Boston, MA, 13 November 2018 – On Monday in Dubai, FCLTGlobal CEO Sarah Williamson co-chaired the World Economic Forum’s Global Future Council on Long-term Investing at the group’s Annual Meeting of the Global Future Councils. The group met over the course of the two-day conference to discuss current global business trends and how to integrate practices that can rewire capital markets toward a longer-term investment philosophy. Also co-chairing the was Alison Tarditi, Chief Investment Officer of Australia’s Commonwealth Superannuation Corporation. The World Economic Forum’s Global Future Councils are an...
Toolkit
25 October 2018 - We are exploring the most effective ways for corporations to communicate their long-term plan and prospects to the investment community.
Strategy | Article
18 October 2018 - FCLTGlobal, with its Members, is developing practical tools to address the issue of balancing long- and short-term risks. Part of the process includes interviews with experts in the area of assessing, managing, and planning for investment risk. Below is the next in this series with Emily Haisley, Behavioural Finance Director at BlackRock. FCLTGlobal: We appreciate the chance to speak with you today. To begin, I’d like to know if you think that there are any commonly overlooked aspects of risk that long-term investment organizations need to measure...
In the News
12 October 2018 - “That would allow greater flexibility & save money. I have asked the SEC to study!” he tweeted. Quarterly reporting seems like a good thing — transparency ensures informed decision-making by investors. And critics of Trump’s idea have cited concerns over a lack of transparency leading to increased investor risk. Yet in practice, quarterly reporting has evolved into a system of managing primarily for the quarterly numbers, with a net result of distorting financial performance negatively, much in the way teaching students solely to perform well on a...
Investor-Corporate Engagement | Article
9 October 2018 - A version of this post was first published on Harvard Law School Forum for Corporate Governance and Financial Regulation. Thank you to our Member organizations who contributed to the writing of this article. By now, most business-watchers have seen the president’s tweet asking the Securities and Exchange Commission (SEC) to study the requirement that US public companies release earnings quarterly. With this message, President Trump has focused attention on the short-term mentality that too often characterizes American business. The tweet, which followed his discussion with Pepsi CEO Indra Nooyi about...
Strategy | Article
9 October 2018 - FCLTGlobal, with its Members, is developing practical tools to address the issue of balancing long- and short-term risks. Part of the process includes interviews with experts in the area of assessing, managing, and planning for investment risk. Below is the next in this series with Will Kinlaw and David Turkington, Senior Managing Director and Senior Vice President at State Street Associates, respectively. As State Street’s academic affiliate, State Street Associates is a unique partnership that bridges the worlds of financial theory and practice. SSA develops risk, investor behavior...
Article
5 October 2018 - The fifth annual Milken Institute Asia Summit, held from 12-14 September in Singapore, gathered global leaders to address the trends, innovations, and disruptions transforming the Asia-Pacific region, and provided actionable steps to effectively prepare for the inevitable transition. The Milken Institute hosts annual events that bring together the top minds from every industry and sector to find collaborative solutions to common problems. FCLTGlobal and many of our Member companies were fortunate enough to take part in the annual Asian gathering, including in an off-the-record roundtable on...
In the News
1 October 2018 - To attract these investors, companies need to develop, communicate, and execute a long-term value-creating strategy. CFOs, finance organizations, and management accountants can play a pivotal role in helping companies refocus their strategic performance measures and deployment of resources toward greater long-term value creation.