06 Aug CORPORATE TRUST – THE POST-PANDEMIC CHALLENGE FOR BUSINESS; UBS WARNS OF A DIVIDEND RECESSION
Welcome to a new month of Cannings’ business and media intelligence, with insights collected over the past week as Victoria implements stage four restrictions and NSW remains on high alert.
CORPORATE TRUST – THE POST-PANDEMIC CHALLENGE FOR BUSINESS
- A resurgence of COVID-19 and a disastrous reporting season are not the only challenges that lay ahead for big businesses. According to a KPMG white paper, the real challenge is maintaining the high level of trust that has been earned during the crisis. Professor Nicole Gillespie from the University of Queensland says the way forward is for business to deliver on ability, integrity and humanity. Read more in The Australian.
ANOTHER SECOND WAVE, THIS TIME IT’S EQUITY RAISES
- IFM Investors is getting ready for a second wave of equity raises, gaining the consent from its 27 super fund owners to inject another $600 million into the market. In a letter sent to all major listed groups this week, IFM Investors has flagged that its “Growing Australia Plan” fund is available to all companies that need to raise money after being hit by the economic downturn. Read the letter in The AFR here.
IT’S COMING: A DIVIDEND RECESSION
- UBS Australia quantitative analyst Pieter Stoltz warns of a “dividend recession”, with over 35 per cent of reporting companies unlikely to pay a dividend, compared to less than 10 per cent of companies that reported this time a year ago. Read more on the challenging reporting season in The Australian.
THE SUBTLE ART OF VIRTUAL NEGOTIATIONS
- As if negotiating wasn’t already hard enough, now you need to engage virtually. Leigh Thompson, an academic at Kellogg School of Management at Northwestern University, shares how to overcome the common traps of virtual negotiations, with trust-enhancing hacks such as e-charisma and language style matching. Listen to the conversation with Harvard Business Review here.
WHEN NAVY BECOMES THE NEW OFFICE BLACK
- When it comes to face masks for corporates, navy is definitely the new black, according to Sharon Hamilton, chief executive at fashion manufacturer Fella Hamilton. The company has mailed out roughly 30,000 face masks in the past few weeks – and the colour everyone wants is, well, yes, navy. Read all about it in The AFR.
WHY ARE YOUNG PEOPLE MORE LIKELY TO IGNORE VIRUS RESTRICTIONS?
- With COVID-19 cases among the 18-to-29-year-old age group rising globally, young adults are getting tagged as irresponsible. But many scientists argue that the impulse among adolescents and emerging adults to break away from family and interact more with peers is part of normal development. Read more in The Wall Street Journal.
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