Executive Stock Ownership and Performance: Tracking Faint Traces

CFA Digest ◽  
1998 ◽  
Vol 28 (3) ◽  
pp. 56-58
Author(s):  
Stephen M. Horan
Keyword(s):  
Stock Ownership ◽  
Performance Tracking ◽  
And Performance

Employee Incentive ESOPs: An Equity Tool to Promote Engagement and Performance

2022 ◽  
pp. 088636872110708
Author(s):  
Trevor J. Gilmore
Keyword(s):  
Succession Planning ◽  
Baby Boomer ◽  
Stock Ownership ◽  
Baby Boomer Generation ◽  
Employee Stock Ownership ◽  
Stock Ownership Plans ◽  
Employee Stock Ownership Plans ◽  
And Performance

Employee stock ownership plans (ESOPs) are experiencing renewed interest in America. In recent years, new ESOP formation was largely driven by the aging of the Baby Boomer generation (widely defined as those born between 1946 and 1964), and their desire to liquify their ownership in closely held businesses while rewarding their employees. There are other new forces driving this trend—the quest for equitable solutions for the growing divide between have and have-nots, the need for employers to retain and reward employees in a competitive talent market, and succession planning. In this article, I will discuss how an Employee Incentive ESOP can be used to promote performance and engagement in a broad-based manner.

Stock-Based Incentives and Performance During the Credit Crisis

2011 ◽  
Vol 43 (6) ◽  
pp. 371-386
Author(s):  
Mariah Webinger
Keyword(s):  
Moral Hazard ◽  
Stock Ownership ◽  
Credit Crisis ◽  
Stock Performance ◽  
Bank Management ◽  
Contracting Theory ◽  
And Performance ◽  
Risky Projects

Stock incentives for bank management in the 1990s increased and may have allowed management too much freedom in making risk choices and ignited the credit crisis of 2008. Contracting theory suggests stock incentives will induce better stock performance; moral hazard theory suggests stock incentives will motivate managers to undertake risky projects. This study finds, in the period of 2005-2007, CEO options are associated with negative performance supporting moral hazard theory. However, stock ownership is associated positively with performance as measured by earnings, supporting contracting theory. Director options are associated positively with performance but are not significant in for stock ownership.

The contrasting moderating effect of exploration on the relationship between stock options/stock ownership and a firm’s long-term performance

2018 ◽  
Vol 56 (9) ◽  
pp. 1956-1968 ◽  
Author(s):  
Gun Jea Yu ◽  
Joonkyum Lee
Keyword(s):  
Stock Options ◽  
Chief Executive ◽  
Moderating Effect ◽  
Stock Ownership ◽  
Content Type ◽  
And Performance ◽  
Long Term Performance ◽  
Term Performance ◽  
The Relationship

Purpose The purpose of this paper is to investigate the contrasting moderating effect of a firm’s exploration on the relationship between the two types of long-term incentives (stock options/stock ownership) for the chief executive officers and a firm’s long-term performance. Even though the two types of incentives are designed to improve long-term performance, the degrees of impact on long-term performance differ. Based on behavioral agency theory, this study theoretically and empirically examines the role of a firm’s exploration on the above relationship. Design/methodology/approach This study used three archival sources to obtain data on stock options, stock ownership, patents and exploration, financial measures, and others. Based on a sample of 1,963 firms in various industries from 1995 to 2006, this study tested the moderating effect of a firm’s exploration on the relationship between stock options/ownership and a firm’s performance. Findings This study reveals the contrasting moderating effect of a firm’s exploration on the relationship between stock options/ownership and a firm’s long-term performance: a positive moderating effect on the relationship between stock options and performance and a negative moderating effect on the relationship between stock ownership and performance. In addition, empirical evidence was added on the inverted U-shaped relationship between stock ownership and a firm’s long-term performance. Originality/value There is little research on a firm’s internal characteristics that strengthen or weaken the effects of stock options and stock ownership on firm performance. This study demonstrates the differential moderating effects of exploration on the relationship between stock options/stock ownership and long-term performance. Such effects of exploration come from the different risk features of stock options and stock ownership. The key implication is that stock options could be more effective than stock ownership to enhance a firm’s long-term performance when a firm has a strong exploration orientation.

Knowledge and Performance: Tracking the Development of Expertise

1995 ◽  
Vol 39 (14) ◽  
pp. 940-940
Author(s):  
Anna L. Rowe ◽  
Todd M. Miller ◽  
Emily Dibble ◽  
Kurt Steuck
Keyword(s):  
Performance Tracking ◽  
Development Of Expertise ◽  
And Performance

Inspectable learner reports for web-based language learning

ReCALL ◽  
2005 ◽  
Vol 17 (1) ◽  
pp. 32-46 ◽  
Author(s):  
TRUDE HEIFT
Keyword(s):  
Error Analysis ◽  
Language Learning ◽  
Study Habits ◽  
User Profiles ◽  
Tutoring System ◽  
Web Based ◽  
Fall Semester ◽  
Performance Tracking ◽  
Learner Profile ◽  
And Performance

In this paper we present the Report Manager of our Web-based tutoring system for German – an interface to a persistent learner report that students can inspect and manipulate. The learner report collects and retains information on the learner’s progress and performance that is saved between visits. It also provides access to a journaling system that records prior inputs along with detailed error analysis, and a bookmarking system that tracks exercise completion. Finally, results can be printed or emailed to an instructor. In the Fall semester 2003, we conducted a study with 87 learners of German to investigate how their study habits are affected by an inspectable learner report. Our study indicates that students reviewed their learner profiles frequently – 33 times on average over the course of a semester – and that 70% of the students repeated exercises after having inspected their learner profile. So, while detailed user profiles and performance tracking are invaluable tools for CALL researchers, our study suggests that students also utilize and are influenced by the information.

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