Corporate Governance after the Financial Crisis Utrecht Summer School

Overview

Failing Corporate governance of financial institutions has often been mentioned as an important cause of the crisis. The Corporate Governance after the Financial Crisis course is offered by Utrecht Summer School.

Consequently, having a deeper understanding how Corporate boards are formed and how they act have become a topic of increasing importance. It also is already clear that the Covid-19 crisis will have a material effect on corporate governance. 

Hundreds of billions of dollars in valuation were lost by scandals caused by failing corporate governance. Notable examples of this include Lehman Brothers, Parmalat and Ahold. 

These scandals also contributed to a climate in which trust between consumers and companies, between investors and directors, is harmed. 

Together with the Financial Crisis, these scandals inspired (semi) self-regulating bodies, governments, the EU and organizations like the OECD to take initiatives to improve corporate governance routines and safeguards. Corporate Governance Codes were altered and Codes for Financial Institutions were drafted to stimulate boards and shareholders to pursue a long-term strategy. The question remains however whether these changes will successfully prevent short-termism and excessive risk-taking, and, if not, what else can be done?