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Tenured voting is already legal on NYSE and NASDAQ (https://corpgov.law.harvard.edu/2016/03/07/tenure-voting-and-the-u-s-public-company/ https://corpgov.law.har
by roguecoder 7y ago
Tenured voting is already legal on NYSE and NASDAQ (https://corpgov.law.harvard.edu/2016/03/07/tenure-voting-and-the-u-s-public-company/ https://corpgov.law.harvard.edu/2016/03/07/tenure-voting-and...): it simply requires the company to choose to adopt it and figure out how they would administer it. Right now, tech companies are going with dual-class instead, which only entrenches the founders rather than all long-term investors and is trivial to implement.
- kolbe 7y agoThis is just not true, at least in the sense that the LTSE is trying to use the term 'tenure voting'. Right now, every share of a particular security is equally fungible. When Person A sells security X to Person B, the security does not change. Dual class shares are a way to hack around accomplishing something similar to tenure voting, but that hack is that they issue two different types of securities (which, of note, companies have been issuing many types of securities for a long time), but for that security to trade on a listed exchange, it cannot be selectively prejudicial about who owns it. It's the same security with the same rights.