Marco Rubio has been catching headlines this week following a report he issued about the failures of the current economic and regulatory system to promote long-term investing by US corporations and ways to start fixing it. Financial experts say this report is more unique than others that have come out.
Q1 hedge fund letters, conference, scoops etc
Troy Keller notes:
Gates Capital Management's ECF Value Funds have a fantastic track record. The funds (full-name Excess Cash Flow Value Funds), which invest in an event-driven equity and credit strategy Read More
"There have been a number of corporate reform proposals over the last 12 months, ranging from calls to break-up monopolies to requiring that large corporations be federally chartered. Senator Rubio's differs from these in many ways but in particular because he is not actually proposing specific changes. Rather his position paper lays out a general policy goal for promoting long-term investing by corporations. It is essentially a lengthy critique of a trend sometimes referred to as short-termism. While Rubio doesn’t (yet) offer specific policies, his positions are sophisticated in that he acknowledges how US public companies operate within an ecosystem of financial intermediaries and face strong, structural pressures to return money in the short term even if that means sacrificing attractive longer term investments. Any policy changes would need to take into account these external pressures," Keller says.
Troy Keller is an attorney at the international law firm Dorsey & Whitney with a deep experience in M&A, corporate governance and government relations along with invaluable insights derived from extensive service in-house at a premier public corporation and deep knowledge of the chemical industry. Prior to joining Dorsey, Keller worked for Huntsman Corporation (NYSE: HUN), a global manufacturer and marketer of differentiated and specialty chemicals, where he served as Vice President, Government Affairs and Associate General Counsel since 2015. From 2008 to 2015, he served at Huntsman as Vice President, Associate General Counsel & Assistant Secretary and from 2005 to 2008 as Senior Corporate Counsel & Assistant Secretary. Before Huntsman, Keller was an attorney at Qwest Communications International, with responsibility for all aspects of SEC reporting obligations and corporate governance. He says Senator Rubio's proposal is different from most.