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Executive compensation under the spotlight

clock • 5 min read

There has been no end to headlines focused on CEO compensation, along with the scrutiny that goes hand-in-hand with the topic, writes Richard Tortoriello, senior lead at quantamental research at S&P Global Market Intelligence. 

Ever-increasing executive compensation over the past four decades - aided by consultants, compensation committees, the CEOs themselves and the backdrop of an extended bull market (1982-1999) - has meant widespread acceptance of the link between CEO pay and performance. Still, consider this - what if there was no link between jaw-dropping CEO pay and performance? Research suggests there isn't. The latest report from the Quantamental Research Team at S&P Global Market Intelligence has found that executive pay itself is not a firm indicator for future stock performance, and instead, mark...

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