LABOUR LEADER BACKS KAY REVIEW ON CITY SHORT-TERMISM

摘要

Labour leader Ed Miliband (pictured) has backed some of the key proposals of the Kay review on City short-termism and called for the reform of company takeover rules, the strengthening of corporate governance and empowering of long-term shareholders.rnAmong Miliband's main proposals are abolishing rules forcing companies to produce quarterly company reports, as they encourage short-term profit-making.rnAnother suggestion is to give long-term shareholders a louder voice on a takeover bid by restricting votes to those already holding shares. This would reduce the influence of hedge funds that buy up shares speculatively, in the hope of later takeover profits.