The Battle for the Soul of Capitalism

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Author John C. Bogle
Overview or Summary The author speaks out against corporate excess such as that characteristic of the mutual fund industry that Bogle, former CEO of low-cost Vanguard, knows well. The problems include inflated executive compensation and creative accounting that allows companies to claim false profits. Mutual fund companies care more about short-term results than long-term value. Many gain profits for larger parent corporations by charging investors unnecessary fees. Bogle demands mutual fund owners and their fiduciaries to exercise the corporate responsibility. Fund boards must be reshaped to serve the interests of shareholders. He favors short-term trading gains and calls for a federal commission to examine the way pension funds are managed. He is also concerned about the state of our retirement systems in general.
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Jon Burnham

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