Triple Crown Leadership

Triple Crown Leadership

Category Archives: Impact Investing

The Scourge of Short-Termism

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 “The future whispers while the present shouts.” Al Gore, former U.S. Vice President One of the great scourges of our age is “short-termism.” A staggering 78 percent of the managers surveyed in a large-scale study of CFOs and CEOs admit to sacrificing long-term value to achieve smoother earnings. In July 2011, former Federal Deposit Insurance Corporation (FDIC) chair Sheila Bair wrote: “The common thread running through all the causes of our economic tumult is a pervasive and persistent insistence on favoring the short term over the long term, impulse over patience.”  Our 2012 blog, “Suicide By Quarter—Leading for the Short-Term,” indicated the investor base in corporations is not homogeneous. We have day traders who live by daily stock fluctuations, but there is a growing body of investors—notably including “impact investors”—who want excellent,   …Continue Reading