performance is positive and strong prior to distress, but declines and becomes insignificant when firms are in distress. However …, the relationship of pay to cash flow performance remains positive for distressed firms. Directly examining the ex … providing incentives oriented toward improving cash flows. Specifically, distressed firms increase their use of performance …

We offer evidence that the use of Relative Performance Evaluation (RPE) in CEOs' incentive contracts influences the … RPE filters out the systematic component of firm performance. We also document that the use of RPE reinforces the …

the collection and use of information for the purpose of subjective performance evaluation. I find that managers with self …-evaluations afterwards. My findings increase our knowledge about the role of subjective performance evaluations in modern organizational …

remedy to the problem, proposed a firm's commitment to incomplete use of past performance in setting future targets. In this … achievement level, the type of a performance measure, and the importance weight. Using a confidential dataset that consists of 1 …,208 performance-measure-year observations with the complete set of information including targets, actual performance, and importance …

This study examines the effect of relative performance evaluation (RPE) on firm performance and risk-taking behavior … when firm performance is exposed to common shocks. I find that among firms with high common risk exposure, RPE firms are … associated with higher firm performance than non-RPE firms. However, among firms with low common risk exposure, I find no …

can use compensation awards that increase managerial performance incentives (delta) and risk-taking incentives (vega) in …

This paper examines whether the risk-taking incentives induced by performance-based vesting (p-v) compensation … increases loan spreads and encourages more no price protection such as performance pricing and secured by collateral. We also … subcategorize p-v based compensation by its performance type, instrument use, and performance metric. Consistent with previous …

Using data that includes specific contractual details of Relative Performance Evaluation (RPE) contracts granted to … accounting performance and RPE awards of cash contingent on accounting performance convey the incentive to increase firm risk …

payments for performance) is proposed. …

adjusting for any risk). In the cross-section of funds, there is a substantial disconnect between lifetime performance and … incentive fees earned. These poor outcomes stem from the asymmetry of the performance contract, investors' return …