Kari Firestone wrote the following article for Harvard Business Review published 11/20/19
When the U.S. Business Roundtable announced that it was redefining the purpose of a corporation to accommodate a broader group of stakeholders – extending beyond shareholders to include employees, customers, suppliers and communities – the stock market didn’t seem to react. I saw no thick reports from market strategists detailing how these new principles would affect company earnings or stock prices, whereas reports on trade, interest rates, and consumer spending continuously streamed across my screen.
It made me wonder: What are shareholders thinking about this new direction? What about the professional investors who manage their assets?