Discussion Paper Series in Economics, Department of Economics, Norwegian School of Economics (NHH)
Alexander W. Cappelen
Pension Funds, Sovereign-wealth Funds and Intergenerational Justice.
() and Runa Urheim
Abstract: Pension funds and sovereign-wealth funds own a large and
increasing fraction of the shares in publicly traded companies in the OECD
area. These funds typically have a very long time horizon on their
investments, as well as highly diversified portfolios. These features imply
that the interests of these funds on important issues are aligned with the
interest of future generations because the longterm return on a highly
diversified portfolio will depend on the degree to which the development of
the world economy is sustainable. It is, therefore, in the enlightened
self-interest of these investors to use their shareholder rights so as to
protect the interest of future generations. The paper explores the
arguments for a more active corporate governance policy among pension funds
and sovereign-wealth funds and discusses the obstacles to such policies.
Keywords: Pension funds; sovereign funds; future generations; corporate governance; shareholder. democracy.; (follow links to similar papers)
JEL-Codes: G20; G34; (follow links to similar papers)
7 pages, September 27, 2012
Before downloading any of the electronic versions below
you should read our statement on
for viewing Postscript files and the
Acrobat Reader for viewing and printing pdf files.
Full text versions of the paper:
DWSDownload.aspx?File=%2f ... on+papers%2f2012%2f19.pdf
Questions (including download problems) about the papers in this series should be directed to Dagny Hanne Kristiansen ()
Report other problems with accessing this service to Sune Karlsson ()
or Helena Lundin ().
Design by Joachim Ekebom