3 ms·
Well, granting stock gives some pretty serious incentive to increase the value of said stock, as an employee. Stock options aren’t quite as compelling.
by evincarofautumn 13y ago
Well, granting stock gives some pretty serious incentive to increase the value of said stock, as an employee. Stock options aren’t quite as compelling.
- brazzy 13y agoThat "what" was, I believe, a response to the implication that they want to encourage risk-taking, something that is not generally seen as unconditionally desirable (especially in the light of recent developments).
- evincarofautumn 13y agoAh, that’s fair, I didn’t think to interpret it that way.
- bhickey 13y agoExecutive incentives are negatively correlated with company performance. There's a body of literature on this. For example: http://online.wsj.com/public/resources/documents/CEOperformance122509.pdf http://online.wsj.com/public/resources/documents/CEOperforma...
- evincarofautumn 13y agoHah, that’s actually the reason I edited to hedge with “as an employee”.