Conclusion
The debate over the direction of the capital markets has reached a fever pitch. Legislatures across the country are embroiled in debates over what it means to be a fiduciary, how pension money should be invested, and how proxy votes should be cast. The same issues are currently being considered on Capitol Hill and in numerous regulatory agencies. At Strive, we are proud to be part of those discussions because our position stands on a solid foundation. Our approach and application of corporate governance represents an unwavering mandate that companies focus on excellence.
Over the last few decades, with a rapid escalation in the last five years, much of the asset management world has been pushing American businesses closer to their European counterparts which embrace stakeholder capitalism. However, American capitalism and American exceptionalism are the drivers that have enabled this nation to be the world’s sole superpower and the most prosperous nation on the planet. Why would we turn our backs on that system in the name of some new global order? A collective embrace of stakeholder capitalism under the guise of ESG and DEI will bind us into an international suicide pact: Autocratic regimes such as China and Russia will never agree to align with international ESG commitments, so hampering our economy in the name of such arbitrary goals will only elevate dictatorial regimes.
As a fiduciary for our clients, we are proud that we continue to pull companies back towards shareholder primacy. It is our hope that 2023 marked the beginning of the tides turning back to that uniquely American model, and that we can build on our success in 2024.
