Time to educate investors on risks of short-termism: BOQ chief
Superannuation funds and other investors need to adopt a longer-term view of company performance, according to the managing director of the Bank of Queensland, David Liddy.
Speaking at the Conference of Major Superannuation Funds on the Gold Coast, Liddy said investors too often viewed companies through the prism of short-term performance.
As well, Liddy said impressions of companies were too often driven by analysts who were more focused on a company's short-term data than its long-term outlook.
"We need to educate the market to change the way we measure companies," he said. "Right now there is too much short-termism."
The former Queensland Treasurer and chairman of Macarthur Coal, Keith Delacy, said superannuation funds could exert more influence on companies by exercising their voting rights.
He said such influence could be imposed by not just opposing some issues but by declining to vote at all.
AUTHOR
Mike Taylor
Recommended for you
Despite the year almost at an end, advisers have been considerably active in licensee switching this week while the profession has reported a slight uptick in numbers.
AMP has agreed in principle to settle an advice and insurance class action that commenced in 2020 related to historic commission payment activity.
BT has kicked off its second annual Career Pathways Program in partnership with Striver, almost doubling its intake from the inaugural program last year.
Kaplan has launched a six-week intensive program to start in January, targeting advisers who are unlikely to meet the education deadline but intend to return to the profession once they do.
