While browsing through the WSJ, I came across this article.
The basic premise is to create a whole new stock exchange with an emphasis on getting rid of short term earnings guidance and foster an environment of management focusing more on long term value creation. From what I've gathered, voting rights per share increases with the length of time a shareholder holds onto the firm's shares and firm are not allowed to mention short term earnings guidance in their quarterly and annual reports. Also, there will be longer vesting periods for employee stock options. The LTSE already has some major backers in Andreesen Horowitz and the Founders Fund.
However, the obvious drawback is it will make it harder to dislodge an incompetent management team and gives founders of firms (like Silicon Valley start ups) more protection. I don't think this exchange will really take off, but it does speak to some serious issues about our public equity markets (declining number of public companies) and U.S. corporate governance (executive compensation and stock options).
I'm curious to think what everyone else thinks about this new stock exchange.