October 19, 2020
Financial technology company nCino recently enjoyed a well-received IPO. In this first virtually recorded episode of Looking Ahead, Al Dominick talks to nCino’s CEO, Pierre Naudé, about investor interest, board transition and maintaining company culture after going public.
Activist investors have a large war chest that could see them going on a spending spree, as certain stocks remain highly deflated. How boards manage the Covid-19 response could determine whether they set their sights on the company.
As companies try to return to normal business, they will also have another concern to protect themselves from: Lawsuits. From healthcare, to cruise lines to insurance, most industries will have to deal with an onslaught of litigation from customers, partners and investors.
For many years, director compensation was overshadowed by executive pay. But due to recent litigation, more shareholders and oversight organizations keep a close eye on the decisions made by your compensation committee. Without a clear pay growth strategy, then the company risks financial and public backlash.
The CBOE sought to prevent high frequency traders from profiting off of stale prices by adding a 4-milisecond delay in certain trades within an exchange. The SEC denied the request, potentially slowing the push for similar initiatives.
The healthcare industry has been a fountain of dealmaking lately. Companies wanting to make acquisitions or sell businesses this year should learn from the experts.
Investors are asking more about a company’s workforce, and companies may be forced to tell them. Last fall, the U.S. Securities and Exchange Commission proposed several changes to disclosure requirements for public companies, among them a provision to enhance disclosure about “human capital.” The rule has not been finalized.
Governance always comes into sharp focus when there’s a systemwide breakdown. But a review by Stanford University law professor David Larcker and researcher Brian Tayan suggests that many of the assumptions people make about what constitutes good governance are rarely evidence-based.
BlackRock, the largest asset manager in the world, threw its weight around recently. Chairman and CEO Larry Fink wrote a letter to CEOs in January explaining BlackRock’s further divestment from the fossil fuel industry. He said BlackRock would hold companies and directors accountable when they don’t address sustainability and climate change.