You are here

CFA SINGAPORE INSIGHTS

Shareholder value vs shareholder welfare

Firms, asset managers should look beyond the bottom line and pursue policies that matter to their investors

IN whose interest should companies be run? For a long time, the prevailing view held that firms should put their shareholders first by maximising profits and thus shareholder value.

But Luigi Zingales of the University of Chicago Booth School of Business believes firms and asset managers...

sentifi.com

Market voices on: