Options are a CEO's best friend : executive compensation in Swedish listed corporations

• Ownership influences both the level and composition of executive compensation. The present study examines this by adding identity of the owner and the owner's capacity to create a governance strategy to the traditional ownership concentration measure. Through a test on Swedish corporations listed as on 2008, it is found that the identity of the owner influences the level of compensation, and the concentration of ownership negatively influences the propensity to use options. This is interpreted as a sign that options are not so much an incentive instrument, aligning the CEO's interest with the absent owners' interest, but more of a recruitment instrument and an indication of CEO strength

Ämnesord

SAMHÄLLSVETENSKAP  -- Ekonomi och näringsliv -- Företagsekonomi (hsv//swe)

SOCIAL SCIENCES  -- Economics and Business -- Business Administration (hsv//eng)

Nyckelord

Chief executive officers

Executive compensation

Ownership

Stock options

Sweden

Företagsekonomi

Business administration

Publikations- och innehållstyp

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