Statement Also Calls for Consideration of a Financial Services Transaction Tax
Other notable signees include Warren Buffett, Pete Peterson and Jack Bogle   

AFL-CIO Secretary Treasurer Richard Trumka joins business, government, academic leaders and the Aspen Institute in a bold call to overcome short-termism in financial markets.  The statement also calls for the adoption of a financial services transaction tax, which the AFL-CIO and the labor movement globally have been urging for.  

The joint statement - "Overcoming Short-termism: A Call for a More Responsible Approach to Investment and Business Management" - calls for ending the focus on value-destroying short-termism in our financial markets and creating public policies that reward long-term value creation for investors and the public good.  The statement also calls for consideration of a financial services transaction tax.  

"Workers' pension funds need capital markets that work on behalf of a strong real economy, not against it, and that requires long-term time horizons," said AFL-CIO Secretary Treasurer Richard Trumka.

The statement identifies three leverage points for encouraging a renewed focus on long-term value creation and for addressing one part of market short-termism, shareholder short-termism:  

1.         Market incentives:  encourage more patient capital through tax policy;
2.         Alignment: better align the interests of financial intermediaries and their ultimate investors;
3.         Transparency: strengthen investor disclosures.  

In particular, the statement calls for policymakers to consider the value of adopting a financial transactions tax, which could curb speculative excesses and would also raise significant revenues for urgently needed public investment.  

In addition to Secretary Treasurer Trumka notable signees include Warren Buffett, Pete Peterson and Jack Bogle.  The full statement and list of signatories can be found at - www.aspeninstitute.org/bsp/cvsg/policy2009.

Contact:  Eddie Vale 202-637-5018