View more on these topics

L&G to ditch quarterly reporting

Legal-and-General-LG-700.png

Legal & General is to shed quarterly reporting in 2016 as pressure grows on major corporations to focus on generating long-term value for investors.

The company will use “timely and frequent” updates next year, rather than three-monthly trading figures, to communicate with investors.

In June, LGIM wrote to all FTSE 350 companies to urge them not to continue publishing quarterly results.

In October, Schroders also joined LGIM in its calls for firms to drop quarterly reporting.

The rules from accounting watchdog the Financial Reporting Council changed a year ago, meaning companies no longer have to publish interim management statements, which fall between half yearly reporting.

L&G group chief executive Nigel Wilson says: “Legal & General believes in long termism. The future success of the UK economy is dependent on companies and shareholders making the correct long-term business decisions.

“Legal & General believes making this change will help management and the board make the right long-term decisions in the interests of all our stakeholders.”

The firm will publish its 2015 full year results on 15 March 2016.

Wilson adds: “Our business cycle is long-term, with many of our investment and business decisions playing out over years and sometimes decades, rather than quarters. As such, ending quarterly reporting will allow us to focus on communicating what is relevant to the value creation in Legal & General’s businesses.”

Recommended

Kay: Fund managers should scrap quarterly and interim reports

Professor John Kay says fund groups should not be forced to publish quarterly interim managed statements, claiming they add little value. Speaking at an Association of Private Client Investment Managers and Stockbrokers conference in London, Kay said investors would be better served by regular meetings with fund managers at intervals of three to five years. […]

Schroders-Building-700x450.jpg

Schroders urges FTSE 350 firms to ditch quarterly reporting

Schroders has joined LGIM in calling for FTSE 350 firms to shed quarterly reporting. Schroders wrote to all FTSE 350 companies at the end of last week to urge them not to continue publishing quarterly results as it encourages a short-term approach and is time consuming. The rules from accounting watchdog the Financial Reporting Council […]

Legal-and-General-LG-700.png

L&G delays Kingswood closure as staff vote on strike

Legal & General has delayed the closure of its flagship office in Kingswood until 2018 while a ballot opens on industrial action. The final vote, opening this Friday, will determine whether Unite members go on strike and follows September’s consultative ballot which saw 68 per cent of members vote in support of action. The ballot […]

Legal-and-General-LG-500x320.jpg

L&G chair Stewart to step down

Legal & General Group chairman John Stewart is to step down and retire next year after six years in the role. Stewart assumed the chairmanship in 2010, taking over from Sir Rob Margetts, and will retire during 2016 once a successor has been appointed. He was previously chief executive of Woolwich and National Australia Bank, […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com