Legg Mason's structure is misunderstood by the market. Legg Mason has an affiliate model. They own 100% of their affiliates, which are investment managers such as Permal, Western Asset Management, and Royce.
Sentiment: NEGATIVE
People invest in businesses that they believe have the leadership, mission and team to grow and operate profitably.
One of the biggest mistakes entrepreneurs make is not understanding the relationship they have with their investors. At times, they confuse VCs with their friends.
It's the company itself, but most of these mutual fund companies, the guy who runs the company is just a fact totem and the guy who runs the money is the power. But we really don't know who they are.
I don't believe in traditional company structures because the best ideas do not always come from the top.
When I was in the private sector, one characteristic that differentiated the best entrepreneurs from the others was that they were not in it for the stock options, but for a mission - to deliver something that was helpful... Every entrepreneurial journey, it turns out, is like this.
Affiliate marketing has made businesses millions and ordinary people millionaires.
The ultimate arbiters of the models of banking and the management of banking are the investors. It's the shareholders.
Brand marketers don't believe that ad-tech companies view brands as true partners. Ad-tech companies think brand marketers are paying attention to the wrong things. And publishers, with a few important exceptions, feel taken advantage of by everyone.
Good shareholder activists have incredible interest in the company because they own a lot of it.
If a company is profitable, the founder is in control. If it's not, investors are in control.