{"id":3996,"date":"2018-07-23T09:18:46","date_gmt":"2018-07-23T13:18:46","guid":{"rendered":"http:\/\/www.trustacrossamerica.com\/blog\/?p=3996"},"modified":"2018-07-23T09:18:46","modified_gmt":"2018-07-23T13:18:46","slug":"return-on-trust-the-state-of-trust-2018","status":"publish","type":"post","link":"https:\/\/www.trustacrossamerica.com\/blog\/?p=3996","title":{"rendered":"Return on Trust: The “State of Trust” 2018"},"content":{"rendered":"

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By Barbara Brooks Kimmel, CEO & Co-founder Trust Across America<\/a><\/strong><\/p>\n

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In the short-term \u201clow trust\u201d public companies can be very profitable. Corporate executives who \u201clegally\u201d cheat, steal, avoiding paying taxes, and stay just to the \u201cright\u201d of compliance may produce the profits that both their \u201cold school\u201d Board and short-term oriented shareholders crave, but these \u201cbusiness as usual\u201d trust violations are not conducive to long-term business success. A growing number of companies are replacing the \u201cstuck in the 80s leadership model\u201d with proactive business executives who acknowledge that long-term success is built by embracing trust as both a strategic advantage and intentional business strategy. This translates to practicing \u201ctrust\u201d on a daily basis by building a trustworthy and responsible corporate culture<\/a>,\u00a0 treating customers and suppliers \u201cright\u201d, by having superior products, great service, a well-configured Board, low employee turnover, and a high degree of innovation.<\/p>\n

Now in its 9th year, our proprietary FACTS\u00ae Framework measures the\u00a0trust “worthiness” of America’s largest public companies (over 2000). The following are some of the \u201cfast facts\u201d drawn from our larger study.<\/p>\n

Chart #1\u00a0<\/strong><\/p>\n

Since 2012 Trust Across America has selected and publicly published an annual list of \u201cTop Ten\u201d Most Trustworthy Public Companies. Had you invested in those 10 companies on the day of publication, your portfolio would have significantly outperformed the S&P 500.<\/p>\n

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\u00a0<\/strong>Chart #2<\/strong><\/p>\n

FACTS data can be sorted by sector and the following chart represents the sector rankings for the Russell 1000 for 2018. Please keep in mind that the Framework uses a broad 16-sector model provided by Zacks Investment Research. Others like S&P and Morningstar sometimes place companies in different sectors. For example, Zacks financial sector includes banks, insurance companies, REITS and brokerage firms, to name just a few. And it’s also important to remember that industry is NOT destiny.<\/p>\n

The data can also rank companies within sectors, by market cap and headquarter location, to name just a few. We can also perform company comparisons.<\/p>\n

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Sector Rankings<\/strong><\/p>\n

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Correlation Studies:<\/strong><\/p>\n

Trust Across America continues to run a series of ongoing correlation studies with other organizations and these are a few of our findings:<\/p>\n