Research Analyst Views of Corporate Governance

Is corporate governance a non-factor for analysts? Or is it, in fact, an issue that analysts take into consideration, specifically when dealing with long term investors? This session led to a lively debate as to the role and importance that corporate governance plays in a research analyst’s mind and covered such topics as the importance or non-importance of ISS scores, the role that Sarbanes-Oxley plays in corporate governance, corporate governance distinctions between small- and large-cap companies, short term investors vs. long term investors, and the role that hedge funds play in the world of corporate governance.