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Why share buybacks benefit bosses far more than shareholders

US semiconductor group Texas Instruments is a poster child for financialisation, but what happened there isn’t unique

A Texas Instruments manufacturing facility in South Portland, Maine
A Texas Instruments manufacturing facility in South Portland, Maine Photo: Getty Images

Financialisation is profit margin growth without labour productivity growth.

Financialisation is the zero-sum game aspect of capitalism, where profit margin growth is both pulled forward from future real growth and pulled away from current economic risk-taking.

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