Discussion on independent directors...

Here is a great discussion on independent directors...

...even the most conscientious and dutiful directors, who spend at most a few dozen hours every three months attending to their duties, simply will not know as much about the business as the CEO who is on the job full-time day in and day out. In short, Hank Greenberg had a point even if he made it with a blunt instrument.

Increasing the power of directors, as many proposals for reform would do, in and of itself does nothing to address the underlying issue of the asymmetry of information, knowledge and understanding of the business that exists between CEOs and their boards. For that reason, shifting power from the CEO to the board may do more harm than good.

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Plus read all the Q&A.. superb

From the Sequoia Fund Shareholders' Meeting May 2005