Only 6% believed that investors were better served in the new regulatory environment following Sarbanes-Oxley (2001). Only 1% believed that the new regulations made boards more effective and as many as half said that compliance costs had shot up by 100%.
Further, four in 10 claimed that the increased compliance costs delayed business growth. Three-quarters said that their management teams would have 'more' or 'much more' impact on top-line growth in the coming year. But following Sarbanes-Oxley, it had become harder to find directors with the required skills.
Only two-thirds agreed that they were able to attract the people they needed at the senior level. Mitchell H Caplan, CEO of banking firm E*Trade Financial tells senior recruits exactly what they will be facing in their new role: "However hard you think your job is going to be, multiply it by 10 and that will be an easy day."
NYSE CEO Report 2007
New York Stock Exchange Magazine, August/September 2006
Review by Morice Mendoza