Summary of How Conscious Investors Can Turn Up the Heat and Make Companies Change

Looking for the video?
We have the summary! Get the key insights in just 5 minutes.

How Conscious Investors Can Turn Up the Heat and Make Companies Change summary
Start getting smarter:
or see our plans

Rating

8 Overall

8 Applicability

7 Innovation

8 Style


Recommendation

“Investment agitator” Vinay Shandal explains the lengths to which activist investors are willing to go to effect change for greater profits. He urges conscious investors to borrow these tactics and engage with companies to drive positive change. With humor that sometimes deviates from the issue, Shandal delivers an invigorating presentation that will resonate with investors hoping to do good while earning a profit.

In this summary, you will learn

  • How activist investors force reforms within corporations,
  • Why “conscious investors” often fail to elicit similar change, and
  • Why conscious investors ought to borrow activist investors’ tactics to beget corporate reforms on environmental, social and governance issues.
 

About the Speaker

Vinay Shandal is a partner and managing director at Boston Consulting Group.

 

Summary

Activist investors wield influence by buying up corporate stocks then calling for those companies to change. With profit as their motive, activist investors will deploy all manner of tactics – including smear campaigns and protracted lawsuits – to get what they want. But a few activist investors have precipitated change by collaborating with – rather than attacking – companies. What if all investors worked with corporate management in pursuit of financial gains and environmental, social and governance (ESG) reforms? Studies have found a positive correlation between ESG engagement and financial performance. For example, Adidas makes shoes from plastic salvaged from the ocean, an idea that resonates with the lucrative hipster market.


More on this topic

By the same author

How Big Investors Can Have a Bigger Societal Impact
How Big Investors Can Have a Bigger Societal Impact
8

Customers who read this summary also read

Go Long
Go Long
8
Can America’s Companies Survive America’s Most Aggressive Investors?
Can America’s Companies Survive America’s Most Aggressive Investors?
8
The Sustainability Edge
The Sustainability Edge
8
Shapeholders
Shapeholders
8
Unleashing Innovation and Entrepreneurial Potential in Organizations
Unleashing Innovation and Entrepreneurial Potential in Organizations
7
Security Analysis
Security Analysis
8

Related Channels

Comment on this summary