Trump call for end for Quarterly Earnings Report

Someone just told him the economy is about to crash and he’s trying to keep it from getting out. Y’all might want to consider selling your stocks.

hahahahahaha

less info. that’s just perfect.

I disagree.

This is actually a good idea.

I don’t know how much it will boost jobs, but we do have to get businesses more long-term focused.

There might be some key metrics that need to be reported on a quarterly basis or maybe even real time…but few businesses’ plan cycles match up well with quarterly reporting.

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Nobody told him the economy was going to crash.

Well…maybe they did…but that’s not where this came from.

It’s been evolving for years.

Only 20% of publicly traded companies even offer quarterly guidance anymore.

What’s the over/under that the first the SEC has heard about this policy is from this tweet?

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I have no problem with long term investing I think it is a good idea and if a stock drops and I believe that the company has a sound long term plan with a good dividend I buy more during the low.

But like this report on this idea states there should then be a better system for shareholders to have a say in things.
https://www.bloomberg.com/view/articles/2018-06-07/buffett-and-dimon-are-shortsighted-about-investors

Armageddon-a-vous…all over again

Moar time to cook teh bookz

But the solution is governance reform, not hyper-focusing on the wrong metrics.

The big shareholders need to push for that.

I had an article on how the big find holders could push CEOs on this but it was on the old board and probably 5-6 years ago so I doubt I can find it. But I will look for it.

Problem is that the big shareholders are often the ones who are stocking the board with their friends and paying them huge amounts of money.

I have a problem with governments and big shareholders creating a problem by using their positions to reward friends. Then adopting a system of short term reporting essentially training people to expect results quickly when best results are from good long term strategies

There is a part of me that wonders though if this is due to the fact that Trump’s actions on trade has resulted in escalating costs to companies and is going to hurt earnings reports.

As I said let me see if I can find the article I talked about- it addressed many of your concerns.

And actually, the biggest investors are not usually single investors who stockmthe board with cronies. The CEO is usually doing that.

The biggest investors in any company are very often retirement fund accounts.

Maybe, but as I said, this discussion has been happening for a long time.

I agree. For the longest time, American companies have been primarily concerned with short term profitablity and opposed to long term viability. Meanwhile the metric Japanese companies report is market share, which is a better metric for the long term viability of a company.

I know that it usually people who head up large fund groups like pension funds hold alot oa stock and get more say. I would get rid of the idea of projected earnings being used.

Well how about that…

Then why don’t you suggest that it be mandatory to turn in weekly earning reports? Surely you think more is better.

That’s like saying why dont you eat 5 gallons of carrots every day because carrots are good for you

Well why dont you suggest reports every 10 years cuz like less be betterz

The SEC in 2016 considered the idea of cutting the quarterly requirement, and signaled that it might do so.

Obama had the SEC looking into the last year of his presidency.

Hillary Clinton talked about looking into doing away with quarterly reports during the campaign in 2016.

Any change of mind since the idea was actually started by Dems?