Friday, 10 March 2017

Marine Harvest - what a disappointment!

Sustainable seafood: sounds like a great responsible investment idea. Could it be Marine Harvest? (not!). Despite the positive image provided on Marine Harvest's website, further research into the company’s operations paints quite a different picture. Such as: infected farmed fish escaping into the ocean, contaminating other fish; untreated farm waters containing pollutants such as excrement, fish food, antibiotics and other medications leaking into the ocean; toxic sediments; infringement on aboriginal traditions. No, EIG will not be investing in this company until it cleans up its act.

Increasing CEO pay linked to decreasing company performance

For some years, EIG has followed the issue of excessive executive compensation, voting as shareholders against such pay packages as far as resources allow. In a new report, analysis shows a dramatic conclusion: the higher paid the CEO, the worse the company performance. Over 2 years of reporting, "not only does the group of 100 most overpaid CEO companies of the S&P 500 underperform the S&P 500 by 2.9 % points, but the firms with the 10 most overpaid CEOs underperformed the S&P 500 index by an amazing 10.5 % points and actually had a negative return, reducing the actual value of the companies' shares by 5.7%." 
See:  The 100 Most Overpaid CEOs