Managers are increasingly evaluated based on relative performance metrics, particularly relative total shareholder returns (rTSR). A significant portion of firms make relatively poor choices in the design and selection of rTSR, a result of weak governance and an overreliance on compensation consultants.
from HBS Working Knowledge https://hbs.me/2we6L7O
Wednesday, May 22, 2019
rTSR: When Do Relative Performance Metrics Capture Relative Performance?
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