Hillary Clinton is rolling out a tax package to address the hit and run activist issue. She’s siding with the big passive funds like Blackrock in voicing her concern over the evilness of activist investors.
From the WSJ on Clinton’s plan:
Hillary Clinton will propose a revamp of capital-gains taxes that would hit some short-term investors with higher rates, part of a package of measures designed to prod companies to put more emphasis on long-term growth, a campaign official said.
The proposal, to be laid out in a speech later this week, is one of a number of ideas designed to tackle what Clinton, some economists and some on Wall Street consider the overly short-term focus of corporate strategy. Other topics will include the risks and benefits of shareholder activism and the role of executive compensation.
At the center is Clinton’s proposal to change capital-gains tax rates, the details of which are being finalized. The Democratic presidential candidate’s plan would create a sliding scale with at least three new rates that change depending on how long an investment is held, the official said.
