Investors face 'moment of truth' on inequality amid cost of living crisis

Pay debate

clock • 5 min read
Simon Rawson is director of corporate engagement at ShareAction

Simon Rawson is director of corporate engagement at ShareAction

The recent advisory vote against JP Morgan’s $202m executive pay package has drawn much attention. Investors and commentators seem to recognise that such excess is barely justifiable at the best of times, far less as inflation spirals out of control and the cost of living crises deepens.

Addressing the largess of executive pay is only a partial solution to the fact that increasing income inequality is destabilising society and undermining our economy. As Richard Wilkinson and Kate Pickett show compelling in their well-known treatise, The Spirit Level: when we reduce inequality, we all do better. Better health, better security, better prosperity - for all. Inflation data continues to show that it is the poorest families who are being hardest hit by the rocketing cost of living. The UK's Institute for Fiscal Studies has reported that the poorest households faced inflati...

To continue reading this article...

Join Investment Week

  • 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


More on ESG

The worst contender dropped 166%, with its flows going from net positive to net negative

Morningstar figures reveal drop in recently ESG rebranded funds flows

Worst fund saw 166% drop

Kathleen Gallagher
clock 24 June 2022 • 5 min read
The fall in sales volumes over the month was because of food stores, which fell by 1.6%.

UK retail sales slip in May as consumer confidence falls to lowest on record

Shoppers cut back on food spending

clock 24 June 2022 • 2 min read
"UK is at a crossroads"

Average global funds hold a third less in the UK than before Brexit

Brexit risks still an issue for managers

clock 23 June 2022 • 4 min read