Comments on: Does Feinberg want to control bankers’ pay or not? http://blogs.reuters.com/felix-salmon/2010/01/07/does-feinberg-want-to-control-bankers-pay-or-not/ A slice of lime in the soda Mon, 20 May 2013 10:52:08 +0000 hourly 1 http://wordpress.org/?v=3.4.2 By: jian1312 http://blogs.reuters.com/felix-salmon/2010/01/07/does-feinberg-want-to-control-bankers-pay-or-not/comment-page-1/#comment-10952 jian1312 Fri, 08 Jan 2010 00:46:53 +0000 http://blogs.reuters.com/felix-salmon/2010/01/07/does-feinberg-want-to-control-bankers-pay-or-not/#comment-10952 The whole thing about executive pay deserves its own place in a series of reforms that are badly needed in corporate America, not just in finance or banking industry. Here's a refreshing ranking of best-performing CEOs worldwide from Harvard Business Review (I heard it on NPR): http://hbr.org/2010/01/the-best-performing-ceos-in-the-world/ar/1 If I could have my may, I'd measure companies (public ones) not just by quarterly or annual financial result, but by a whole new sets of measures including: - R&D investment - annual return on equity (not just P/E ratio) but going back 5, 10, 15 years - number of jobs created/lost at local/state/national level - executive pay packages and how they stack up against median pay at the company - environmental impact on communities it operates in ... The way Wall Street has been evaluating companies based on narrow, short-term quarterly results is monstrous and disastrous, for companies, their employees, and Wall Street itself. It's high time we think out of the box. The whole thing about executive pay deserves its own place in a series of reforms that are badly needed in corporate America, not just in finance or banking industry. Here’s a refreshing ranking of best-performing CEOs worldwide from Harvard Business Review (I heard it on NPR): http://hbr.org/2010/01/the-best-performi ng-ceos-in-the-world/ar/1

If I could have my may, I’d measure companies (public ones) not just by quarterly or annual financial result, but by a whole new sets of measures including:
- R&D investment
- annual return on equity (not just P/E ratio) but going back 5, 10, 15 years
- number of jobs created/lost at local/state/national level
- executive pay packages and how they stack up against median pay at the company
- environmental impact on communities it operates in …

The way Wall Street has been evaluating companies based on narrow, short-term quarterly results is monstrous and disastrous, for companies, their employees, and Wall Street itself. It’s high time we think out of the box.

]]> By: KidDynamite http://blogs.reuters.com/felix-salmon/2010/01/07/does-feinberg-want-to-control-bankers-pay-or-not/comment-page-1/#comment-10944 KidDynamite Thu, 07 Jan 2010 21:40:43 +0000 http://blogs.reuters.com/felix-salmon/2010/01/07/does-feinberg-want-to-control-bankers-pay-or-not/#comment-10944 talk about the law of unintended consequences.. wasn't the whole mission of the pay czar to align the interests of the management with those the shareholders and the taxpayer (and limit systematic risk, like you said)? In classic Ponzi style, the TARP is now paid back, but the banks are free to resume the risk taking that put them in that spot in the first place. rinse, repeat. talk about the law of unintended consequences.. wasn’t the whole mission of the pay czar to align the interests of the management with those the shareholders and the taxpayer (and limit systematic risk, like you said)? In classic Ponzi style, the TARP is now paid back, but the banks are free to resume the risk taking that put them in that spot in the first place. rinse, repeat.

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