What's happening to ownership?

31 March 2009

Sarah Wilson

Tomorrow's Company has announced an investigation into the ownership of companies and how it is changing. Hermes Equity Ownership Services will be supporting the study which will be examining:

Future ownership trends;
Key trends and their meaning for companies; and
The impact of trends on companies ability to develop and grow.

Speaking at the launch of the study at a breakfast briefing at Cass Business School, Tomorrow's Company founder director Mark Goyder said: "The debate so far has often been superficial. It has stereotyped entire asset classes...... but there are deeper issues that cut across asset classes. Do we see ownership as stewardship? If so that means some obligation to the company in which one is invested. Or do we see ownership simply as a claim on a commodity with no strings attached - in which case the 'owner' may have no qualms about wrecking strategies which justify their shorting the stock."

The study intends to look at how different patters of ownership impact on behaviour and will examine how accountabilities can make a difference. It is also intended to look at the various elements of stewardship may have been diluted by market focus on the current share price, the rise of CFDs; stock-lending and shorting.