2 ms·
For CEOs their compensation is based on their company's stock performance and probably also most significant part of their holdings is also same company stock.
by Ekaros 2y ago
For CEOs their compensation is based on their company's stock performance and probably also most significant part of their holdings is also same company stock. So optimising for price of that stock either in short or long term is much more important than any other investment.
So most decisions are taken to increase that stock value, if RTO negatively affects it, but props up other investments it is probably sub-optimal for them.
- jaggederest 2y ago> if RTO negatively affects it, but props up other investments it is probably sub-optimal for them. What if it doesn't? What if they believe it's neutral, or the effects are unknown?