IR Magazine has a new survey showing strong investor interest in executive compensation as an indicator of investment risk and return and in ESG metrics in incentive pay.
- Just under seven in 10 investors consider executive compensation as part of their investment thesis.
- Alignment of interests between management and shareholders is the key benefit investors see in linking executive compensation to company performance.
- The most common challenge cited by investors in linking executive compensation to company performance is [purchase report to reveal data].
- Approaching half of IROs have seen an increased investor interest in executive compensation over the past five years, while [purchase report to reveal data] percent of investors say they have spoken more about the issue with companies in this time.
- A slight majority of companies have at least one board member speak to investors about executive compensation.
- Nearly three quarters of investors expect executive compensation to be linked to ESG metrics.