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How Reporting on Segments of Diversified Companies Impacts Equity-Based Pay

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Manage episode 497383345 series 2680968
Content provided by ResearchPod. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by ResearchPod or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.

How does financial transparency affect how CEO’s themselves are paid?

Young Jun Cho and Hojun Seo investigate how the introduction of SFAS 131, requiring companies to report performance by business segments, impacts equity-based compensation. Their research reveals that more granular disclosure reduces the need for stock-based incentives, especially in firms with weak internal oversight, but strong external scrutiny. The findings show how reporting rules can act as powerful tools of corporate governance, reshaping executive behaviour and investor influence.

Read the original research: doi.org/10.1111/1911-3846.12928

  continue reading

484 episodes

Artwork
iconShare
 
Manage episode 497383345 series 2680968
Content provided by ResearchPod. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by ResearchPod or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.

How does financial transparency affect how CEO’s themselves are paid?

Young Jun Cho and Hojun Seo investigate how the introduction of SFAS 131, requiring companies to report performance by business segments, impacts equity-based compensation. Their research reveals that more granular disclosure reduces the need for stock-based incentives, especially in firms with weak internal oversight, but strong external scrutiny. The findings show how reporting rules can act as powerful tools of corporate governance, reshaping executive behaviour and investor influence.

Read the original research: doi.org/10.1111/1911-3846.12928

  continue reading

484 episodes

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