Five Reasons to Like Performance Shares (And One Reason to Think Twice)

May 17, 2010 - PRLog -- From Goldman Sachs to American Airlines, equity compensation continues to be a hot topic.

In response to growing interest in the role performance shares can play in a company’s executive compensation strategy, author and executive financial coach Chuck Steege just completed and released his definitive report: Five Reasons to Like Performance Shares (and One Reason to Think Twice).

“Many of today’s discussions are focusing on how to link long-term incentive awards with performance,” Mr. Steege said recently. “This is particularly important since shareholders are interested in how companies are positioning themselves for recovery as the economy stabilizes.”

“One of every two organizations has now introduced or plans to introduce new financial performance measures to their 2010 annual incentive program,” Mr. Steege continued. “Companies want to set credible goals that will motivate employees and satisfy stakeholders,” he added, “But goal-setting remains a challenge with the economic outlook still so uncertain.”

For highly compensated executives and increasing numbers of mid-level managers, the outlook for this long-term trend of “pay for performance” has been unclear, he noted.

It was this lack of clarity that spurred Mr. Steege to craft his latest report.

“I wanted to write something that would provide insight into the benefits and disadvantages of performance shares,” Mr. Steege concluded.

Designed for C-suite Executives as well as senior managers, the report can be downloaded at no charge from www.sfgadvisors.com.

As founder of SFG Wealth Planning Services, Inc., Charles “Chuck” Steege CFP® is an Investment Advisor Representative with SFG Investment Advisors, Inc. (an SEC Registered Investment Advisor).

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