Corporate Governance
The SEC Proposal on Proxy Advisory Firms Will Provide Greater Transparency and Accountability
Proxy advisory firms lack transparency and their recommendations are not always in shareholders' interests. However, despite their poor performance, the two biggest firms' market...
Why CEOs and Regulators Clash With the Duopoly of Proxy Advisory Firms
Institutional investors that own between 70 and 80 percent of the market value of US public companies often rely on investment advisers voting on behalf of...
Fake Letters Poisoned the Debate on SEC's New Rules on Shareholder Votes and Proxy Advisory Firms
SEC Chairman Jay Clayton claimed that the draft regulation on shareholders' votes and proxy advisory firms received approval by hundreds of "Main Street" Americans....
Political Economy, Blind Spots, and a Challenge to Academics
Anat Admati calls on economists and academics to engage with governance and political economy issues, scrutinize models before applying them to the real world,...
The New SEC Proxy Rules Will Redefine American Capitalism: Let’s Debate Them
A new SEC proposal regarding proxy advisors will make it harder for shareholders to vote against CEOs' preferences. However, there is a 60-day period...
The SEC's Proposal on Proxy Advisor Regulation Shields CEOs From Accountability to Investors
SEC Commissioner Robert Jackson dissented from his SEC colleagues' proposal on how to reform proxy advisors regulation. New rules, he argues, would introduce a...
A Complicated Villain: Is Elizabeth Warren Right About Private Equity?
In a new episode of their podcast Capitalisn't, Kate Waldock and Luigi Zingales discuss one of the most hated industries of America: private equity. Democratic...
The Counterfeit Capitalism of WeWork: Predatory Pricing as a Business Model
The company failed to go public and its founder, Adam Neumann, had to step down. This is good news: ordinary investors refused to put...
The Problem With Unicorns: Why Investors Stopped WeWork From Going Public
More and more startups are valued at over $1 billion, even if they have dysfunctional corporate structures and hazardous business models. For tech companies,...
The Business Roundtable CEOs’ Statement: Same Old, Same Old
Despite the media hype about corporate CEOs having abandoned their shareholder value maximization credo, the recent statement from the Business Roundtable contains nothing new...
