Executive compensation needs to be reformed. But, most of the calls for reform focus on the wrong dimensions. They focus on the level of pay, or the
Why the MSCI Study Does NOT Show That Equity Incentives Backfire
MSCI have released an impactful study entitled "Are CEOs Paid for Performance? Evaluating the Effectiveness of Equity Incentives", purporting to show
Translating the New USS Pension Rules Into Plain English
Andy Haldane, the Chief Economist of the Bank of England, said that pensions are so complex that even someone "moderately financially literate" like
How Virtually Every Pay Regulation Has Backfired
Few topics make the public as angry as CEO pay. In the UK, the average FTSE 100 CEO earned £5.4m in 2015, 148 times the median worker. For US S&P
Eight Common Myths About CEO Pay
Few business topics capture the public’s interest – and ire – as CEO pay. Indeed, a major reason why executives carried little weight in the Brexit
The Rational Response to Brexit
The Brexit vote was disappointing, for the reasons I wrote about in my earlier post. But, what's done can't be changed. What's the best way to respond
The Case for Remain
Today is perhaps the biggest decision the UK will ever face. Under 18s will be most affected by this decision but can't vote. Brits can. More
Size Matters, If You Control Your Junk
The first stock market trading strategy ever discovered was the size anomaly. Banz (1981) found that small stocks outperform large stocks, even after
The Case for Brexit
I'm strongly in favour of the UK remaining part of the EU. However, I recently went to a talk given by a Brexit supporter, to hear the other side. I
Higher Stock Returns When CEOs Own More Shares
Executive compensation is a controversial topic. US CEOs earn 373 times the average worker, and so it takes them less than a day to earn the same as
Top Five TEDx talks
I previously posted my top ten TED talks. TEDx is similar to TED but is an independently organised event under the TED banner, similar to a franchise.
Using Behavioral Economics to Keep Resolutions
In 2010, David Cameron set up the "Behavioural Insights Team" (nicknamed the "Nudge Unit") to use behavioral economics to "nudge" individuals to take