Quality shareholders : how the best managers attract and keep them / Lawrence A. Cunningham.

Format:

Book

Author/Creator:

Cunningham, Lawrence A., 1962- author.

Language:

English

Subjects (All):

Stockholders.

Physical Description:

1 online resource (ix, 252 pages) : illustrations

Place of Publication:

New York : Columbia University Press, [2020]

Summary:

Anyone can buy stock in a public company, but not all shareholders are equally committed to a company’s long-term success. In an increasingly fragmented financial world, shareholders’ attitudes toward the companies in which they invest vary widely, from time horizon to conviction. Faced with indexers, short-term traders, and activists, it is more important than ever for businesses to ensure that their shareholders are dedicated to their missions. Today’s companies need “quality shareholders,” as Warren Buffett called those who “load up and stick around,” or buy large stakes and hold for long periods.Lawrence A. Cunningham offers an expert guide to the benefits of attracting and keeping quality shareholders. He demonstrates that a high density of dedicated long-term shareholders results in numerous comparative and competitive advantages for companies and their managers, including a longer runway to execute business strategy and a loyal cohort against adversity. Cunningham explores dozens of corporate practices and policies—such as rational capital allocation, long-term performance metrics, and a shareholder orientation—that can help shape the shareholder base and bring in committed owners. Focusing on the benefits for corporations and their investors, he reveals what draws quality shareholders to certain companies and what it means to have them in an investor base. This book is vital reading for investors, executives, and directors seeking to understand and attract the kind of shareholders that their companies need.

Contents:

Frontmatter

Contents

Prologue: The Shareholders Managers Deserve

PART I: Why Quality?

1 Meet the Quality Shareholders

2 Comparative Advantages

3 Competitive Advantages

PART II: Quality Engagement

4 The Corporate Message

5 Annual Letters

6 Annual Meetings

7 Quality Quarterly Contact

8 Useful Metrics

9 Capital Allocation

10 Trackers and Spins

PART III Pivot Points

11 Director Selection: Stewards, Advocates, or Walkovers?

12 Managerial Performance: The Overpaid and Underpaid

13 Shareholder Voting: One Each, Dual Class, or Quality?

Epilogue: Getting Indexers and Activists Going Quality

APPENDIX A Research, Method, and Names

APPENDIX B. Selected Quality Shareholder Statements

Acknowledgments

Notes

Index

Notes:

Includes index.

Description based on print version record.

ISBN:

9780231552776

0231552777

OCLC:

1229161756