Corporate governance: a measure of greater company performance and ethical standards

UK corporate governance code seems to be ignored by almost half of FTSE 350 companies, according to a recent report issued by Grant Thornton plc. The report commented that Chairmen should address governance issues more thoroughly in their annual report statements, to reassure investors and other stakeholders that they are trustworthy. Corporate Governance has long been a key area that ethical funds consider when making investments - and naturally it makes sense that companies who address this area thoroughly have the potential to show greater financial performance, as they are more likely to be have a strong and prudent management team, who are working to avoid potential governance failures. For more information download the "Grant Thornton Corporate Governance Review 2012: the chemistry of governance" report here. Posted by Olivia Bowen SOBlog/17122012