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San Francisco Entrepreneur and Author of 'The Lean Startup' is Developing a New Stock Exchange

Eric Ries, an entrepreneur and author of 'The Lean Startup,' is building a "long term stock exchange" (LTSE) designed to reward long-term business strategy and shareholding.  Ries believes that such an exchange will help minimize the pressure of quarterly results, while providing the liquidity of trading on a public exchange.  The company has raised money from venture capitalist Marc Andreessen, tech publisher Tim O’Reilly, and Aneesh Chopra, who served as the United States’ first chief technology officer.

Ries said the LTSE would have a number of differences from a traditional stock exchange. Key ones include: - Tenured shareholder voting power, meaning that a shareholder’s votes would be proportionately weighted by the length of time the shares have been held - Mandated ties at listed companies between executive pay and long-term business performance - Additional disclosure requirements that allow companies to know who their long-term shareholders are and investors to know what investments the company is making

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capital markets