- 18 Feb 2020
- Working Paper Summaries
A Preliminary Framework for Product Impact-Weighted Accounts
Although there is growing interest in environmental, social, and governance measurement, the impact of company operations is emphasized over product use. A framework like this one that captures a product’s reach, accessibility, quality, optionality, environmental use emissions, and end of life recyclability allows for a systematic methodology that can be applied to companies across many industries.
- 03 Dec 2019
- Cold Call Podcast
Why CalSTRS Chooses to Engage with the Gun Industry
Should large institutional investors divest or engage if they have an issue with a company? In a recent case study, Vikram Gandhi discusses how CalSTRS, the $200 billion pension plan for California public school teachers, chose to engage with gun makers and retailers. Open for comment; Comment(s) posted.
- 13 Nov 2019
- Working Paper Summaries
Shareholder Activism and Firms’ Voluntary Disclosure of Climate Change Risks
Shareholder resolutions typically fail, and often by a wide margin. So why do active investors bother? It turns out that resolutions nonetheless can influence corporate transparency. Specifically, after being targeted with shareholder resolutions on environmental topics, this research shows that companies are more likely to publicly disclose their climate change risks—and that such disclosure increases these companies’ valuation.
- 20 May 2019
- Research & Ideas
Activist CEOs Are Rising Up—and Their Customers Are Listening
Are product sales affected by the CEO's stance on political and social issues? Michael Toffel and Aaron Chatterji study how consumers react to vocal chief executives. Open for comment; Comment(s) posted.
- 28 Aug 2017
- Research & Ideas
Should Industry Competitors Cooperate More to Solve World Problems?
George Serafeim has a theory that if industry competitors collaborated more, big world problems could start to be addressed. Is that even possible in a market economy? Open for comment; Comment(s) posted.
- 30 Jan 2017
- Research & Ideas
Vanguard, Trian And The Problem With 'Passive' Index Funds
Index funds are the major shareholders in many large- and medium-sized public companies, but their passive investment nature offers few checks on those companies’ executives, says Luis Viceira. Open for comment; Comment(s) posted.
- 09 Aug 2016
- Working Paper Summaries
Shareholder Activism on Sustainability Issues
Shareholder proposals on environmental, social, and governance (ESG) topics have more than doubled in the last two decades. Testing the effect that ESG proposals have on firms’ subsequent ESG performance and market valuation, the authors find a considerable portion (42 percent) of ESG proposals to be financially beneficial and associated with subsequent increases in environmental and social performance, too. Managers need to identify significant sustainability issues, based on their industry, wisely because errors could be value-destroying as the authors show declines in financial value for the rest of the sample (58 percent).
- 17 Nov 2015
- Lessons from the Classroom
How Activist Investors Became Respectable
Once reviled as villains operating on the fringes of the market, activist investors like Carl Icahn are now powerful forces at work in the mainstream of business, says Professor Joseph Fuller. And their influence is only growing. Open for comment; Comment(s) posted.
- 24 Sep 2001
- Research & Ideas
How To Be an Angel Investor
Is angel investing right for you? HBS professor Howard Stevenson and David Amis, previous Managing Director of the Venture Capital Report, provide tools and advice to potential angels, and a resource manual for early stage investors. Closed for comment; 0 Comment(s) posted.
Market Investors Pay More for Resilient Companies
During a market collapse, investors will pay up for companies considered resilient in their response, according to George Serafeim. Open for comment; Comment(s) posted.