CURRENT TOPICS
This site gives you an overview of current topics in the field of finance. To enlarge upon the topics please follow the added links.
Current Topic June 2011: Sustainable Compensation Systems for Executives
Executive Compensation
Sustainable Compensation Systems for Executives
Gunther Friedl and Verena Springer
The worldwide financial crisis during the years 2008 and 2009 revealed serious shortcomings in corporate governance and executive compensation. The lack of sustainability in executive compensation has been blamed for being an important reason for the crisis. During the following debate, the German Government launched the Act on the Appropriateness of Management Board Compensation (VorstAG). Moreover, the government commission of the German Corporate Governance Code (GCGC) included amendments to the code to make executive compensation more sustainable (June 2011).
>more (PDF)
Corporate Governance
Code Compliance and Corporate Performance
Christian R.G. Kohl, Marc Steffen Rapp, Christian Strenger, Michael Wolff
The German Corporate Governance Code follows the comply-or-explain principle. We revisit the academic discussion of code compliance and its impact on firm performance for German corporations. Code compliance is defined here as the extent of compliance with the German Corporate Governance Code. While initial analyses did not always show a significant correlation between code compliance and performance, recent studies provide convincing empirical evidence of a positive performance effect (March 2011).
>more (PDF)
>more (Center for Corporate Governance at HHL)
You are cordially invited to contribute a current topic. Please send us your information to: contact(at)finexpert.info.
