bankers pay needs reform
Last Updated : GMT 05:17:37
Emiratesvoice, emirates voice
Emiratesvoice, emirates voice
Last Updated : GMT 05:17:37
Emiratesvoice, emirates voice

Christine Lagarde:

Bankers' pay needs reform

Emiratesvoice, emirates voice

Emiratesvoice, emirates voice Bankers' pay needs reform

IMF's Lagarde Christine Lagarde
Washington - Arab Today

International Monetary Fund Managing Director Christine Lagarde called Wednesday for more reform to bankers' compensation, saying they are still encouraged by their pay packages to take too much risk.

"Incentives related to compensation practices need to change, so that rewards are no longer so much tied to myopic actions and excessive risk taking," she told a forum co-hosted by the Institute for New Economic Thinking in Washington.

"Compensation packages can be structured to favor the long-term performance and soundness of the firm," she said.

Lagarde pointed to the possibility of financial institutions cancelling or taking back pay to executives whose actions result in poor performance or force the institution to seek government support.

She added that IMF research shows that giving shareholders more "say on pay" for top company executives can help reduce stability risks.

But she said modifying pay deals and tightening regulation is not enough to reduce excessive risk taking by banks, of the type that caused the 2008 financial crisis.

"What is needed is a culture that induces bankers to do the right thing even if nobody is watching," she told the forum.

She mentioned both the need for stronger individual ethics but also the inclusion of more women in top management and board roles in major institutions.

"More women leaders would also help. Several studies have shown that female leadership is more inclusive," she told the group.

Referring to the investment bank whose failure deepened the crisis seven years ago, Lagarde asked: "What would have happened if Lehman Brothers had been Lehman Sisters?"
Source: AFP

 

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

bankers pay needs reform bankers pay needs reform

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

bankers pay needs reform bankers pay needs reform

 



GMT 12:50 2012 Monday ,20 February

Unsettled weather to continue in UAE

GMT 06:51 2017 Sunday ,18 June

Pliskova to miss Birmingham with elbow injury

GMT 13:16 2016 Saturday ,19 November

Shyamalan: I definitely feel like an outsider

GMT 02:12 2017 Thursday ,27 July

Information Ministry hailed

GMT 15:17 2017 Saturday ,04 March

OIC condemns Israeli court’s decision on Al-Quds

GMT 15:07 2012 Saturday ,17 March

Saudi school buildings cost SR6bn in 2011

GMT 16:16 2017 Wednesday ,16 August

Emirates Cricket Board announces teams

GMT 10:49 2017 Thursday ,07 September

ALECSO thanks Saudi king for hosting conference
 
 Emirates Voice Facebook,emirates voice facebook  Emirates Voice Twitter,emirates voice twitter Emirates Voice Rss,emirates voice rss  Emirates Voice Youtube,emirates voice youtube  Emirates Voice Youtube,emirates voice youtube

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2021 ©

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2021 ©

emiratesvoieen emiratesvoiceen emiratesvoiceen emiratesvoiceen
emiratesvoice emiratesvoice emiratesvoice
emiratesvoice
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
emiratesvoice, Emiratesvoice, Emiratesvoice