181–190 of 561 posts
when investors will buy anything that whiffs of growth and executives can raise debt for cheap and raise secondaries easily no one on either side is exactly clamoring for a "long term" focused exchange right now.
It's pretty awesome. Which was harder - building a stock exchange, or getting someone to read a whole book? With the benefit of hindsight, which of the following would you say is the biggest predictor of growth in equities prices: everything else, greater buying, less selling, brand, liquidity, or previous prices?
In all seriousness, there’s no comparison. A regulated national securities exchange is one of the harder kinds of startups you can attempt.
I’m pretty sure that over the long run equity prices are a mirror of the fundamental value creation that companies do by serving customers. The problem is that this can become distorted “longer than you can stay liquid” as the old saying goes
Earlier quoted context omitted.
We require companies that list with us to adopt corporate governance that aligns their behavior and incentives to the long term. I know that doesn’t sound super sexy but we believe this is a high-leverage point for reforms We will have more to say on reforms that relate to reading in the future, but we don’t limit the ability of “tourists” to trade in and out of stocks as normal.
>We require companies that list with us to adopt corporate governance that aligns their behavior and incentives to the long term. I've heard many a company say one thing and act another. How will this be different? Will delisting be the repercussion of short termism?
My insight from watching Eric give a talk about the exchange:
https://longnow.org/seminars/02020/feb/24/long-term-stock-ex...
what incentives do companies have to be "long term focused" in a market environment that has become highly frothy and speculative due to central bankers? when investors will buy anything that whiffs of growth and executives can raise debt for cheap and raise secondaries easily no one on either side is exactly clamoring for a "long term" focused exchange right now.
There are some investors and companies that tune out the noise and try to make lasting change, making a dent in the universe, that kind of thing. I think they could use financial infrastructure to support their ambitions. Seems pretty simple to me
Earlier quoted context omitted.
We require companies that list with us to adopt corporate governance that aligns their behavior and incentives to the long term. I know that doesn’t sound super sexy but we believe this is a high-leverage point for reforms We will have more to say on reforms that relate to reading in the future, but we don’t limit the ability of “tourists” to trade in and out of stocks as normal.
Given that companies like Uber, which are not only unprofitable but don't even have a clear path to profitability at any time horizon, trade at fairly high valuations, what's the basis for the belief that investors are irrationally focused on short-term results? Should Uber actually trade at higher valuations than it does today? Why isn't some rational subset of investors capitalizing on this opportunity?
I don't have any questions, I just wanted to mention that I think you're changing the world more than most people realize.
( Or plans for this)
Does the LTSE structure support companies oriented towards developing rapid climate solutions that will pay off in the longer term, but not at the rate of typical venture investments? If this isn't a focus, why not?