Corporate governance - Vigil

Networks are widespread in many financial markets, and play a crucial role in the transmission of information and mitigation of agency conflicts. In the context of entrepreneurial finance, Hochberg, Ljungqvist, and Lu (2007) show that venture capital (VC) funds with higher network centrality (i.e., better-networked VC funds) deliver better future performance, in terms of the proportion of their portfolio investments that successfully exit through an IPO or sale to another company.

This post summarizes significant developments relating to the 2016 U.S. annual meeting proxy season, including:

There’s long been a debate whether corporate governance law should require some duty to the public. The accepted wisdom is not to require such a duty—that corporate profit maximization provides jobs and other public benefits that exceed any harm. This is especially true, the argument goes, because imposing specific regulatory requirements and making certain actions illegal or tortious—what I’ll call “regulating substance,” in contrast to “regulating governance”—can mitigate the harm without unduly impairing corporate wealth production.

The Delaware Court of Chancery recently issued an important opinion addressing the ability of managers of a limited liability company to delegate to non-managers. Obeid v. Hogan. CA. No. 11900-VCL (Del. Ch. Jun. 10, 2016). In Obeid, the plaintiff was a member and director of a board-managed LLC (the “Corporate LLC”) and a member and manager of a manager-managed LLC (the “Manager LLC” and, together with the Corporate LLC, the “LLCs”).

CHARLOTTE, N.C., July 25, 2016 /PRNewswire/ -- Driven Brands' Jose R. Costa Becomes NACD Board Leadership Fellow.

In the wake of its release on May 17, 2016 of updated Compliance and Disclosure Interpretations (“CDIs”) relating to the disclosure of non-GAAP financial measures, the SEC’s Division of Corporation Finance has indicated in no uncertain terms that now is the time for companies to review thei

A closer look at how the cost of and return on capital can increase value

Based on two samples of high quality personality data for chief executive officers (CEOs), we use linguistic features extracted from conferences calls and stati

As we have previously observed, private fund advisers face a difficult challenge when SEC guidance (in the form of a speech or a public enforcement order) indicates that certain long-standing practices may be contrary to the securities laws.

Academics who profess expertise in corporate governance sometimes find themselves on very strange turf.  That has been my status for the last two years, serving as an adviser to the U.S.

Our paper, Chairman and CEO: The Controversy over Board Leadership, examines the circumstances under which companies decide to combine or separate the chairman and CEO roles and shareholder response to this decision.

A growing number of investors are now engaging companies on environmental, social and governance (ESG) issues, in addition to traditional executive compensation, shareholder rights, and board of directors’ topics. In 2013, nearly 40 percent of all shareholder proposals submitted to Russell 3000 companies related to ESG issues, representing a 60 percent increase since 2003 (Proxy Voting Analytics, 2014).

WASHINGTON, July 25, 2016 (GLOBE NEWSWIRE) -- The National Association of Corporate Director

A new type of warfare is upon us. In this new mode of war, finance is the most powerful weapon, bullets are not fired, financial institutions are the targets, and almost everyone is at risk.

Reinsurance can be understood as simply insurer’s insurance. Under an insurance contract, a policyholder is protected from loss by transferring risk to an insurer; analogously, under a reinsurance contract, an insurer (the cedent or ceding company) is protected from exposure by transferring ris

A limp stock market and slack corporate performance in 2015 resulted in a 19-percent drop in average CEO pay at Minnesota’s 84 largest public companies.