The folks who run Glass Lewis have noticed that Goldman Sachs shares aren’t exactly lighting things up these days. They also suspect that, his recent success in the field notwithstanding, David Solomon isn’t likely to be quitting his day job as CEO any time soon, whether or not Goldman chooses to feather his already ample next with an extra $50 million or not. As such, it’s got to say it doesn’t quite understand why Solomon should be getting that $50 million, or indeed why he should be the best-paid leader on Wall Street.
Glass Lewis, a major voice on annual shareholder votes, is recommending Goldman investors vote against a pay package that puts CEO David Solomon and John Waldron, the bank’s president, in line for about $50 million in one-time bonuses. The adviser questioned whether the board’s rationale for the grants -- guaranteeing leadership continuity and talent retention -- warranted such large payouts.
“We are critical of the awards given their excessive sizes,” Glass Lewis said in a report to clients seen by Bloomberg News. “Such awards have the potential to undermine the integrity of a company’s regular incentive plans, the link between pay and performance or both.”
Indeed, at least one person apparently doesn’t think much of Goldman’s regular incentive plans.
After three years at Goldman, he's now heading back to the buy-side. [George] Tsimperopoulos has joined hedge fund Balyasny Asset Management as head of execution services technology according to his LinkedIn profile.
Tsimperopoulos describes himself as a specialist in low latency equities electronic trading technology.
Goldman’s Special CEO Bonus Is Rebuked by Shareholder Adviser [Bloomberg]
Goldman Sachs' top trading technologist quit for a hedge fund [efinancialcareers]