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Factors Of Listed Bank Of Executive Compensation

Posted on:2012-03-29Degree:MasterType:Thesis
Country:ChinaCandidate:S H LiFull Text:PDF
GTID:2189330335974623Subject:Finance
Abstract/Summary:PDF Full Text Request
After the financial crisis of 2007,Executive compensation of listed banks triggered a public discussion and the Government's concerns. As there are significant differences between the banking industry and general business in corporate governance,, capital structure and so on, Listed banks in the design of executive compensation has its own characteristics.For competitive reasons, China's commercial banks had to accelerate the pace of restructuring and listing since 2005. Improve bank corporate governance of Chinese listed banks have not only been an urgent problem, but also the heart of further reform. How to effectively motivate executives to make them consistent with shareholder on interests has become an important part of banks corporate governance.In this paper, we use a sample of 14 listed banks, analyzing the income structure executives deeply and making an empirical test of the main factors affecting executive compensation in China's commercial banks, In particular, operating performance and the proportion of state-controlled. Comparing with U.S. banking executive compensation factors,we pay our suggestions for bank executives of China. As can be seen from the results, on the one hand, considering the management capacity of bank executives, industry characteristics and economic conditions and other factors, highly paid executives have their reasonable,on the other hand, the establishment of a sound banking performance system is a priority market-oriented remuneration, We should really establish a pay for performance-based pay incentives, supplement the basic wage and welfare benefits, Development of executive pay must take into account market competition and characteristics of industry. Adjust the salary structure and increase salary information transparency and strengthen the supervision of investors and the public.
Keywords/Search Tags:Listed banks, Executive pay, Motivation mechanism, Performance
PDF Full Text Request
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