Calculation of Compensation Incentives and Firm-Related Wealth Using Execucomp: Data, Program, and Explanation

In response to recent requests from academics and practitioners, this note addresses the data and program we use in our published articles on executive compensation and incentives. First, we detail our methodology for the calculation of delta (pay-performance sensitivity), vega (risk-taking incentives), and firm-specific wealth (inside equity) for executives on the Execucomp database. Second, we provide the data on these measures for the period 1992-2010 as well as the accompanying SAS program as downloadable files on our websites.

Keywords: Executive compensation, compensation incentives, pay-performance sensitivity, risk-taking incentives, inside equity, firm-specific wealth

JEL Classification: G3, J33, M52

Suggested Citation: Suggested Citation

Coles, Jeffrey L. and Daniel, Naveen D. and Naveen, Lalitha, Calculation of Compensation Incentives and Firm-Related Wealth Using Execucomp: Data, Program, and Explanation (July 19, 2013). Available at SSRN: https://ssrn.com/abstract=2296381 or http://dx.doi.org/10.2139/ssrn.2296381