"The pressure on the sell side has, in my view, made analysts very focused on the near-term, and in some instances their understanding of our business fundamentals is less than it used to be (...) Research tends to be more sensational, and on roadshows there is increasing pressure to put us in fron of hedge funds rather than traditional long funds.
"It may be old fashioned but I view the shareholder as a shareholder - someone whose interests in the success and prospects of the company lasts more than three weeks (...) I have real concerns about promoting the use of my company´s stock as hedge-fund plays - just as I would if they were chips in a casino."
John Sunderland, president of the CBI (Confederation of British Industry) and Cadbury-Schweppes Chairman on a speach to the Investor Relations Society, 2005.
No comments:
Post a Comment