Management & Leadership

DWS CEO exit is helpful deterrent for greenwashing

1 Jun 2022

Asoka Woehrmann resigned from the $7 bln asset manager as regulators probe allegations it exaggerated its sustainable investing skills. Fund groups have benefitted from booming demand for ESG investments. The fallout at DWS gives other bosses an incentive to tone down the hype.

Pete Stavros and his equity-for-all quest

31 May 2022

The KKR partner started the non-profit Ownership Works to help companies grant stock to entire workforces. He discusses the resistance, the success stories, and an ambitious plan to create $100 bln of wealth for employees on this episode of The Exchange podcast.

Capital Calls: Peltz bolsters Unilever’s M&A cred

31 May 2022

Concise views on global finance: The U.S. investor’s seat on the board should help CEO Alan Jope sell deals to investors.

Big Four split would have few winners, many losers

31 May 2022

EY may separate its accounting arm from the unit that advises on strategy and IT. The consulting spinoff, worth some $60 bln, might win more business due to fewer conflicts and scandals. Yet the rump auditing business may struggle to attract staff, and push up prices for audits.

Subdued Alibaba strikes fitting new tone

27 May 2022

New finance chief Toby Xu's focus on cost cuts and better-than-expected sales growth powered a 15% stock rally. The regulatory-thwacked e-commerce group is taking control where it can but exercising discipline on the bottom line in a slowing Chinese economy invites trouble too.

New Toshiba board’s work extends beyond Toshiba

27 May 2022

The embattled $19 bln conglomerate nominated a Houlihan Lokey banker to be chair and directors from pushy investors Elliott and Farallon. The main job now is to end a tortuous saga with a sale. Success would help show Japan’s supine shareholders how dogged engagement pays off.

Shopify’s governance revamp is so 2021

26 May 2022

Shareholders are being asked to give Tobi Lütke the ability to keep his voting power even if his ownership stake falls. That might have been palatable at the end of last year, when Shopify’s shares were worth five times as much as they are now. Now it just adds insult to injury.

Renault split requires very careful driving

26 May 2022

The $7.7 bln French carmaker may separate its electric and fossil fuel units. That could boost a lagging valuation and open the door to fresh capital, but would also increase costs and complexity. It’s a risky manoeuvre, but CEO Luca de Meo has few other options.

HSBC’s jarring ESG message, Davos in spring

26 May 2022

The bank’s head of responsible investing believes policymakers are exaggerating the financial risks of climate change. In this Viewsroom podcast, Breakingviews columnists discuss the ramifications of those remarks. Plus: The World Economic Forum is back, but the mood is dour.

Icahn squanders golden chance to shape McDonald’s

25 May 2022

The activist’s campaign to shake up the chain’s board with two directors over claims of the mistreatment of pregnant pigs is likely to fail. ESG issues can usher in change as Exxon can attest. But Icahn’s focus is too narrow, and McDonald’s board – and business – could use help.

Capital Calls: Airbnb, Prudential, Glencore

25 May 2022

Concise views on global finance: The $68 bln vacation-booking platform will shut its Chinese business; the insurer appoints a new CEO – finally; the commodities giant has a $10 bln reason to keep its nose clean, after a $1.5 bln settlement for corruption allegations.

JPMorgan and its customers deserve more credit

23 May 2022

The U.S. lender may hit a profit target it thought it might miss, partly because households remain flush. That matters, because souping up the consumer bank is one reason for the lender’s big investment plans. The idea that Americans are holding up should help rivals too.

HSBC’s green loose cannon misfires at a bad time

23 May 2022

The $123 bln bank has distanced itself from a senior executive who said investors needn’t fear climate risk. His message jars. The energy crisis gives lenders cover to go slow on restrictive net-zero goals, but stakeholders may demur if they fear this is what they really think.

Australian election augurs serious climate upgrade

23 May 2022

Labor’s more ambitious green goals helped unseat the conservative coalition. Wins by climate-focused independents warn further against complacency. New Prime Minister Anthony Albanese also will rely on Greens for support. Bolder 2035 emissions targets would set the right tone.

Boeing’s chief pilot has risky path out of dive

20 May 2022

A blizzard of bad news has pushed the $75 bln U.S. plane-maker’s market value below rival Airbus for the first time. Customers are fuming about delayed orders. Assuming it can actually deliver jets, the risk is CEO Dave Calhoun keeping buyers sweet with ever bigger discounts.

Drought of economic ambition blots Aussie election

20 May 2022

Despite a 48-year low in joblessness and navigating the pandemic, Prime Minister Scott Morrison’s party is in a dogfight. Homebuyer and dam-building policies smell fishy, and a lack of climate leadership hurts too. As times get tougher, whoever wins will have to be bolder.

Crypto’s day of reckoning, Goldman holiday perks

19 May 2022

Terra unravelled while $75 bln Tether wobbled. In this Viewsroom podcast, Breakingviews columnists discuss why reforming stablecoins which are supposedly linked to the dollar could dent their allure. Also, the Wall Street firm’s vacation offering is unlikely to benefit staff.

Wanted: Chillaxed CEO for $21 bln French laggard

18 May 2022

Frédéric Oudéa will depart from SocGen after 15 years at the helm. He leaves a bloated bank with one of the lowest valuations in Europe and an unclear appetite for change. Breakingviews imagines a letter from a headhunter specialising in cushy job placements.

Capital Calls: Twitter, Peloton

18 May 2022

Concise views on global finance: The social media company’s directors have too much at stake to renegotiate a deal with Musk; and Apollo and Blackstone’s interest in the $5 bln virtual workout company could benefit more if it fails rather than succeeds.

Fortescue energy transition loses sight of another

18 May 2022

The $42 bln miner and wannabe green hydrogen champ is hiring older white men as part of a management shakeup that repositions two women. Chair Twiggy Forrest and former GE, AGL and RBA bosses may bring useful experience, but it’s important to keep making progress in all phases.