In many but by no means all countries, the primary corporate objective is to maximize the long term return to shareholders (shareholder value).

Direct injury to shareholders

They cite the need to deliver high returns for shareholders, implying that tighter regulations undermine shareholders interests.

Major shareholders such as institutional investors should not have privileged access to information that is unavailable to minority shareholders.

Protection of shareholders

No Shareholders Spring

In the past, bank executives bonuses were often based on accounting measures that are of interest primarily to common shareholders, such as return on equity or earnings per common share.

Draft article 12 Direct injury to shareholders

In such countries, rules are supposed to limit the controlling shareholders power to advance their interests at the expense of minority shareholders.

In a financial restructuring, shareholders typically get wiped out, and bondholders become the new shareholders.

Should Shareholders Be Kings?

The common shareholders in financial firms do not have an incentive to induce executives to take into account the losses that risks can impose on preferred shareholders, bondholders, depositors, and taxpayers. Consequently, governance improvements that make directors more focused on shareholder interests cannot be relied on to tie executive payoffs to the interests of shareholders and non shareholders alike.

Growth is demanded by shareholders.

Shareholders seem to take little interests in pay policy.

This information is of particular interest to minority shareholders.

Our age is defined by this complementarity. Unless the public sector invests, and invests wisely, the private sector will continue to hoard its funds or return them to shareholders in the forms of dividends or buybacks.

The Fund s shareholders would have to agree to incur those costs.

Draft article 11 Protection of shareholders

Such managers can be expected to use their influence to obtain and maintain rules that weaken the rights of dispersed shareholders and make it difficult for shareholders to replace them.

Shareholders used to put up with relatively meager dividends compared to today.

Corporate Political Speech is Bad for Shareholders

At the same time, there is a double agency problem, as the ultimate shareholders individual shareholders don t directly control boards and CEOs.

Having access to insured credit, banks shareholders find it irresistible to borrow excessively.

Diamond apparently forgot that the continued existence of any bank with a balance sheet that is large relative to its home economy and its ability to earn a return for shareholders depends entirely on maintaining a good relationship with regulators.

Restricting managers incentive pay without changing shareholders incentives will only force shareholders to be more actively involved in the company and choose other ways to increase the level of risk taking.

The fundamental purpose of drug companies is to produce profits for shareholders.

Instead, most IMF shareholders seem to favor making the organization s financing easier.

In the interest of protecting minority shareholders, the principle of equality of disclosure should be practiced, such that all shareholders receive information equally.

A State of nationality of shareholders in a corporation shall not be entitled to exercise diplomatic protection in respect of such shareholders in the case of an injury to the corporation unless

The police, for example, claimed that the company declared that their major shareholders accounted only for 64 percent of the company's shareholders, but that, in reality, the major shareholders at Seibu actually owned 88 percent of the company's shares.

Insulating executives from losses to stakeholders other than shareholders can be expected to encourage them to make investments and take on obligations that increase the likelihood and severity of losses that exceed the shareholders capital.

Don t confuse saving bankers and shareholders with saving banks.

Their speculative frenzies ruined shareholders, customers, and the economy.

But the shareholders of Arcelor have made their choice.

At the moment, the current shareholders revolt is failing to achieve any significant result.

Don t confuse saving bankers and shareholders with saving banks. America could have saved its banks, but let the shareholders go, for far less than it has spent.

Thirty years on, shareholders have broken definitively with this system.

Debt equity swaps rescue the banks without rescuing their shareholders.

One set of concerns arises from the perspective of shareholders.

To sustain its vital role, it is working with its shareholders to strengthen its capital base.

Any information disclosed to one shareholder should also be equally available to all shareholders (FEE, 2003a).

That is the only way to impose real discipline on shareholders, bondholders, and corporate leaders.

This makes it more worthwhile for businesses to invest in expanding their capacity, thus trading away cash they could distribute to their shareholders today for a better market position that will allow them to reward their shareholders in the future.

Shareholders organized themselves into pension funds, investment funds, and hedge funds.

The alternative may be too expensive for shareholders and citizens alike.