Schroders Investor Day Presentation Deck
Social impacts are becoming financial costs
As their role has expanded, large businesses face growing pressures
Large companies have become 20-30% more important to
economies and societies over last 20y
%
45
40
35
30
25
20
1950
68
1960 1970 1980 1990 2000 2010
Fortune Global 500 revenues as share of global GDP (LHS)
Large companies' share of total US employment (LHS)
OECD corporate profits as share of GDP (RHS)
%
12
11
10
9
8
7
6
5
4
3
Growing pressures to contribute to societies;
irresponsible behaviour is becoming a liability
%
0.6
0.5
0.4
0.3
0.2
0.1
0.0
1975
1985
1995
Regulatory costs % US GDP (LHS)
OECD avg corporate tax rate (RHS)
Public mistrust of major US companies (RHS)
2005
2015
%
60
50
40
30
20
10
0
Source: Fortune, IMF, OECD, BEA, Gulling et al., OECD tax database, General Social Survey, American Action Forum, Heritage Foundation, Schroders calculations and estimates. Note: data
from Fortune is not available prior to the 1990s; we have estimated the equivalent values, using data from Thomson Reuters.
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