In Good Company with Nicolai Tangen Mike Gitlin: Inside Capital Group’s Philosophy, Ownership Model and Long-Term Edge
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Feb 11, 2026 
Mike Gitlin, President and CEO of Capital Group and leader of a $3T, employee-owned investment manager. He discusses Capital Group’s long-term, collaborative investment model and its rented ownership structure. They talk about incentives that reward eight-year performance, how AI and a vast research archive are used across the firm, and why staying private supports long-termism and culture.
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The Capital System Advantage
- The Capital System gives analysts real client-money responsibility and multiple managers per portfolio.
- This reduces key-person risk and brings stronger convictions from several managers into one strategy.
Make Incentives Long-Term
- Design incentives to reward long-term performance rather than short-term gains.
- At Capital Group, eight-year metrics dominate compensation to encourage long-term investing.
Passive's Concentration Creates Active Opportunity
- Passive investing's growth concentrated benchmarks and pushed some investors back to active managers.
- As markets broaden beyond a few large stocks, active managers regain opportunities to outperform.