Institutional Shareholder Services Announces New Executive Compensation Database
Leading Corporate Governance Advisory Firm Sets New Standard For Executive Compensation Benchmarking and Analysis
Rockville, MD (June 20, 2011) – Institutional Shareholder Services Inc. (ISS), a leading provider of corporate governance solutions to the global financial community, announced today the completion of a major data initiative resulting in the release of a new, comprehensive executive compensation database that will serve as the basis for ISS’ U.S. corporate governance research and proxy analysis going forward.
ISS’ executive compensation database includes historical CEO and NEO (named executive officer) compensation data for over 4000 U.S. companies, together with MSOP data for the most recent reported period. Salary, bonus, stock-based incentive awards, option grants, non-equity incentive plan payouts, deferred compensation payouts and other components of total compensation are included in ISS’ database.
"In today’s highly scrutinized world of performance-based executive pay, shareholders need greater visibility into executive compensation and the various components driving CEO and/or NEO pay," said Dr. Martha Carter, head of global research for ISS. "As the industry leader, quality is the cornerstone of our research. By having our own data collection capability, we are in a better position to ensure quality, reliability and consistency in the data driving our recommendations, particularly around executive pay," Carter added.
Executive compensation, specifically CEO pay and the alignment of pay and performance, has long been a lightning rod for investors. With the passage of the Dodd-Frank Act last year and the resulting "Say on Pay" advisory vote afforded to shareholders, the scrutiny on executive compensation has intensified even more. In fact, more than 30 U.S. companies failed to obtain shareholder approval of their pay plans in 2011.
"With our global scope and robust data collection capabilities, we firmly believe that ISS can play an increasingly important role as a data supplier to financial institutions, market intermediaries and corporate issuers, ” said Stephen Harvey, Head of ISS. “For example, there are distinct use cases for our executive compensation data in the areas of investment research, portfolio risk management and as investment teams engage with management of portfolio companies."
ISS‘ executive compensation database is accessible through direct data feeds or through an on-demand, web-based interface.
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