Criticism
Alan Greenspan was critical of the structure of present day options structure so John Olagues created a new form of Employee Stock Options called Dynamic Employee Stock Options that can be found at or at, which restructures the ESOs and SARs to make them far better for the employee, the employer and the wealth managers.
Charlie Munger, vice-chairman of Berkshire Hathaway and chairman of Wesco Financial and the Daily Journal Corporation, has criticized conventional stock options for company management as:
- "... capricious, as employees awarded options in a particular year would ultimately receive too much or too little compensation for reasons unrelated to employee performance. Such variations could cause undesirable effects, as employees receive different results for options awarded in different years."
- and for failing "to properly weigh the disadvantage to shareholders through dilution" of stock value
Munger believes profit-sharing plans are preferable to stock option plans.
According to investor Chairman & CEO of Berkshire Hathaway Warren Buffett, `There is no question in my mind that mediocre CEOs are getting incredibly overpaid. And the way it's being done is through stock options.`
Read more about this topic: Employee Stock Option
Famous quotes containing the word criticism:
“I, with other Americans, have perhaps unduly resented the stream of criticism of American life ... more particularly have I resented the sneers at Main Street. For I have known that in the cottages that lay behind the street rested the strength of our national character.”
—Herbert Hoover (1874–1964)
“The greater the decrease in the social significance of an art form, the sharper the distinction between criticism and enjoyment by the public. The conventional is uncritically enjoyed, and the truly new is criticized with aversion.”
—Walter Benjamin (1892–1940)
“Unless criticism refuses to take itself quite so seriously or at least to permit its readers not to, it will inevitably continue to reflect the finicky canons of the genteel tradition and the depressing pieties of the Culture Religion of Modernism.”
—Leslie Fiedler (b. 1917)