Tomorrow's Business Today
PR industry wins the CEO pay battle
Is Legal and General Investment Management a powerless organisation?
By its own telling, sometimes yes.
The £1.3 trillion asset manager has decided to stop complaining about executive pay, since companies just ignore it anyway.
Angeli Benham at LGIM, discarding her weapons and waving a white flag, says: “Most companies don’t act on the remuneration feedback we give them.”
At the most basic, most cynical level, the job of the PR firm is to make sure the CEO who signs its cheques keeps getting his probably absurd salary.
Hacks, and the City, somewhat, are supposed to be the brakes on that, to point out that this particular emperor has very few clothes.
News just in from the frontline on this battle: it’s over.
The fat lady has sung. The President has spoken. The PRs and the CEOs have won.
If even Legal & General thinks this fight is no longer real, newspapers should stop pretending it is.
Reports of an “investor rebellion” on executive pay shall have to be regarded as either disingenuous or just plain thick. Which is worse?
Press release of the day
One third of people aged 45-54 have no plan for retirement, says this from Hargreaves Lansdown.
Too much of the stuff from brokers and fund managers is about well-to-do people getting richer; nice to see an acknowledgement that this doesn’t apply to most people.
Anecdotally, fund managers say they fear that market volatility during Covid has put many people off the stock market for ever.