Stockholders don't even have that much influence. Because of all the index investing, board votes are often decided by say Vanguard/Blackrock, not mom and pop investors
It is only after stocks suffer severe shocks, does private equity spring into action, and discipline executives via the threat of acquisition & firings.
So its is actually executives that can be shortsighted, not an ultra-long-termist passive investment dominated US investor base.
It is only after stocks suffer severe shocks, does private equity spring into action, and discipline executives via the threat of acquisition & firings.
So its is actually executives that can be shortsighted, not an ultra-long-termist passive investment dominated US investor base.