In just seven years (2015-2022), we’ve seen a stunning rise in the proportion of controlled companies in the global economy. We dig into some of the details, including more concentrated ownership by large asset managers. And in Japan, more than a decade of reform was spearheaded by ex-prime minister, Shinzo Abe. Now, a country steeped in tradition is seeing the evolution of its governance practices.

Controlled companies accounted for nearly 46% of all constituents of the MSCI ACWI Index, as of Feb. 1, 2022, a 44% increase from 2015 levels. What does growing concentration mean for minority shareholders?

Concentration in equities ownership soared from 2015 to 2022. Meanwhile, the percentage of index constituents that were widely held declined from 41% to just 23%. This trend could result in a loss of influence for minority shareholders.

Carl Icahn, a billionaire investor and storied corporate raider, has mounted a proxy fight at McDonald’s Corp. to change how it sources it’s pork. At the moment, McDonald’s, and all other fast-food companies, source pork from farmers that use what are called gestation crates. These crates have caught the ire of Icahn and the US Humane Society for some time, and they decided to mount a public proxy fight to change the practice. We discuss what this means for McDonald’s and the future of pork producers. Then, we look at the first enforcement action ever made by the relatively new SEC Climate and ESG Task force against Vale over its misleading ESG disclosures on the safety of its tailings dams.