Happy Monday, everyone. As we’ve mentioned before, popular wisdom says we’re getting closer every day to abandoning GAAP for IFRS. Tracy at the Fraud Files blog has several cautionary pieces on what this transformation could mean — both for accounting students and for countries considering adopting IFRS (Canada in this case).
Speaking of our neighbors to the North, a new paper out from the Bank of Canada says that requirements for independent boards of directors improve links between executive pay and performance. The paper concludes that so-called “pay for luck” decreases when SOX-like regulations are imposed, as pay is more tied to performance. Verrrry interesting.
Not that everybody alters compensation because of SOX. Some do it after other events, like the mortgage meltdown — at least according to Financial Week, which reports that Citi is re-evaluating its exec comp in the wake of the subprime mortgage meltdown.
See full Article.
Posts
