Woodford hits out at industry for 'frustratingly rife short-termism'

Part of new report on executive pay

Tom Eckett
clock • 2 min read

Neil Woodford has criticised the fund management industry for "short-termism" and lack of appropriate corporate governance in a report from the High Pay Centre looking at excessive executive remuneration.

Woodford (pictured), who announced in August that he was scrapping staff bonuses at his firm, has supported the initiatives outlined in the paper, which are aimed at curbing excessive executive pay. Commenting in the paper, he said: "Many fund managers do not behave or think like owners, because they are borrowing stock rather than investing in it. "In many institutions, corporate governance duties have been separated from fund management responsibilities with the result that engagement is often not as effective as it should be. "Short-termism, which is frustratingly rife in fund m...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on UK

Trustpilot