Lord Razzall
Main Page: Lord Razzall (Liberal Democrat - Life peer)
Baroness Wilcox
On the Government’s view on shareholder/worker representation on company boards and committees, we decided not to include such proposals in the packet of measures for greater transparency. However, Professor Kay’s independent report will inform all the Government’s judgments from this point.
Lord Razzall
My Lords, although I totally respect the view of the noble Baroness on premature discussion of the Kay report, does she not agree—a point with which I am sure the previous noble Lord would agree—that if markets are to take a longer-term view of investments, the fund management industry needs to change its method of remuneration so that fund managers are not rewarded by the short-term performance of the companies in which they invest?
Baroness Wilcox
My noble friend is right. We are looking at how the long-term proposals can be best served. Short-termism can be very advantageous, but it can also be dangerous in the long term, and we are only too delighted to support him in his view.