Research Spotlight: Foreign Experience and CEO Compensation

Welcome to the first installment of Research Spotlight, a series of posts highlighting research emerging from Wharton that have made use of data available through library resources. The inaugural feature will look at an article by Martin Conyon et al., “Foreign experience and CEO compensation,” published in the Journal of Corporate Finance 57. 

In this article, the authors examine the correlation between a CEO’s foreign experience and CEO compensation. This examination included peripheral analyses of whether CEOs with foreign experience have a positive impact on a firm’s performance, as well as if foreign experience affects acquisition performance. Discovering these secondary correlations required the use of stock returns and accounting data derived from Datastream and data on foreign acquisitions from SDC Platinum. Both Thomson products, Datastream is a historical financial database that covers equities, bonds, commodities, exchange rates, company fundamentals and more, while SDC Platinum provides transaction- or deal-level details on IPOs, mergers and acquisitions, and VentureXpert private equity/venture capital investments.

For more information on these resources, please see a Lippincott librarian

Lippincott Library Resources: Social Impact Investing

Image of Doomsday clock from the Bulletin of Atomic Scientists showing that the clock is now at 100 seconds to midnight

I came across some startling statistics recently.

The World Economic Forum’s most recent Global Gender Gap report claims that, at the current rate of progress, it will take about 108 years to reach gender parity. Here are some surprising related statistics.

Research from the FAO shows that the number of undernourished people in the world has risen since 2015.

Image from the FAO showing that the number of undernourished people in the world has risen since 2015

These problems and more have prompted many investors to consider how their investments affect people and the global environment. Investors want to do good while doing well. It seems that impact investing is having an impact and may be worth pursuing. For example, the World Bank notes that the world attained the first Millennium Development Goal target – to cut the 1990 poverty rate in half by 2015 – five years ahead of schedule.

World Bank image showing that the 1990 poverty rate was cut in half by 2015, 5 years ahead of the deadline set in the first Minllenium Development Goal
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