6 ms·
Two additional datapoints - shares are used as part of the incentive structure for senior management, and can dwarf salary. Share gains are also taxed less. It
by neffy 7y ago
Two additional datapoints - shares are used as part of the incentive structure for senior management, and can dwarf salary. Share gains are also taxed less.
It's a simple feedback loop. It gets pretty silly when you look at the share buyback plans many companies operate, huge sums are "invested" in the company's shares for a relatively small - a few million - return to individual management.