December 09, 2004

Salon Article

Ellie Winninghoff, who is writing a book on SRI, has put up an excellent article on SRI at Salon.com (sorry, have to watch an ad to read it, but it's worth it). It's particularly great that she tracked down Jim Hawley, who co-authoredThe Rise of Fiduciary Capitalism. The book explains that the balance of power has shifted among the owners of American corporations. In the old days (the 1970's), most stock was owned by individuals in brokerage accounts. Today, most stock is owned by large pension funds. These intermediaries now hold de facto control over most of America's publicly traded companies. The only problem is they don't know it, or act like they don't know it. Robert Monks, who is also mentioned in the article, is the leading voice for corporate governance reform in the U.S.