What, 'We' Worry?

We often teach that the core principle of corporate governance is that the Managers of a company manage it for the collective good of the shareholders; not for the benefit of some to the disadvantage of others.


So, during the run up to the IPO of “We”, previously known as “WeWork”, the Founder charging $ 5.9 million for the ‘transfer’ of the brand from himself to the company, raised more than just an eyebrow.


That, and the IPO filing opened a can of worms about the different ways in which CEO Adam Neumann profits from We which you can read about here. ( ‘We’ leases some properties – from him!)



"Common good" sounds obvious when taught in class. But it is the foundation principle in selecting a stock for investment. A business may be profitable, but those profits do not flow fully to investors if the Corporate Governance is shaky or flawed. And ‘We’ may have revealed a fatal flaw in its genetic code which will cost it valuation at the IPO.


#we #IPO #CorporateGovernance #markettechpro #stratadigm

17 views0 comments

Recent Posts

See All

Charles Schwab's Slices

Custodians work with fractional shares, all the time! Did you hear about Charles Schwab's slices? #Custodians #asset_servicing #charles_schwab #charles_schwab_slices #fractional_shares #mutual_funds #

Oil Winners & Losers: Top 10 Consumers

The next step in understanding who will be impacted favorably and unfavorably by Cheap Oil! We now look at Top 10 Consumers. After this we shall look at how things stack up after comparing Producers t