Columns

Hadas: Four principles for regulating the internet

14 February 2019

The web needs watchdogs, and they need guidelines. Make internet operations a privilege, not a right. Replace neutrality with a duty of care. Keep big data within strict limits. Provide ample honest information. These ideas will make the internet less profitable, but much better.

Holding: SEC stays classy on class-action lawsuits

13 February 2019

The U.S. watchdog allowed Johnson & Johnson to block a proposal to ban shareholders from suing en masse. The move preserves an essential check on corporate fraud – for now. Rising litigation and Supreme Court hostility to securities cases may soon force the regulator to yield.

Chancellor: A 300-year lesson in bubble inflation

13 February 2019

In December 1718, the newly nationalised Banque Royale became France’s first de facto central bank. Under Scotsman John Law, it proceeded to issue paper money in what was arguably the first instance of quantitative easing. Central bankers take note: it ended very badly.

Cox: Consider the merits of a Starbucks presidency

12 February 2019

Howard Schultz has taken lots of grief for considering an independent bid for the White House. If anything, both political parties should be wooing him. The conscious capitalism he pursued at the $87 bln coffee giant offers a healthy model for American business and society.

Hadas: GDP forecasters need to lower their sights

6 February 2019

Global growth predictions for 2019 are sinking. There are one-offs, like trade tensions, but larger trends are also at play. Demographics, undercounted new technological gains and China’s middle-income blues all drag down the numbers. The GDP errors carry big risks for debtors.

Holding: Boards miss message about personal email

5 February 2019

Until recently, directors and officers could chat on individual accounts with near impunity. Now courts are forcing bosses at Uber, Facebook, Papa John's and elsewhere to cough up private and often incriminating texts. Think twice before sending that smiley-face emoticon.

India Insight: If Modi loses, graft can return

4 February 2019

The prime minister won power by promising good governance and good days. He has largely delivered the former by shifting the consensus on corruption. The latter is elusive. If Modi is weakened in the upcoming election, some of the gains beloved by global investors will be lost.

Hadas: An ultra-tax on the ultra-rich makes sense

30 January 2019

Some U.S. politicians want to extract much more money from the topmost sliver of the population. This would amount to collecting an underpaid social debt and restoring a tarnished social contract, without much economic risk. And higher taxes now might prevent a revolution later.

Cox: Cannabis and impeachment on readers’ minds

28 January 2019

When asked which investment would outperform in 2019, participants at our Predictions events around the world chose Canadian weed stocks most over other assets. Most also put the chance of Congress impeaching Trump at 30 pct or higher. Consider some other surprising results.

Hadas: Larry Fink can’t reshape capitalism

24 January 2019

The BlackRock boss wants big firms to think long term and balance the interests of all stakeholders. That’s noble, but passive investors are poor strategic guides, while active fund managers have other priorities. Also, BlackRock's profit margins and Fink’s pay are bad examples.