>there is no incentive for it either, shareholders want returns NOW, and so they want CEOs to act in their interest NOW.
Many of the biggest shareholders are major pension funds with 30 to 50 year time horizons. They absolutely do NOT want "returns NOW" with the implicit assumption that future quarters don't matter.
They absolutely do NOT want "returns NOW" with the implicit assumption that future quarters don't matter.
That is true but it is also true that they can’t risk waiting 30 years only to find their investment is worthless. Hence the insistence on quarterly reporting.
Many of the biggest shareholders are major pension funds with 30 to 50 year time horizons. They absolutely do NOT want "returns NOW" with the implicit assumption that future quarters don't matter.