Long-Term Incentive Plans: The Universe of Design Possibilities

Today’s long-term incentive program requires a careful balance of shareholder, executive, and accounting interests, all against the back drop of increased compensation committee scrutiny. Small design details can have a large impact on reported proxy values and executive wealth, so it is critical to have a good understanding of the variety of award designs and features that are available.

This Issue Brief surveys the universe of award structures and performance metrics, and explores how they interact with governance, executive, and accounting considerations.