Bernanke: Exec compensation must be monitored

Discussion in 'Wall St. News' started by WaveStrider, Mar 20, 2009.


    "Banking regulators have observed that "poorly designed compensation policies can create perverse incentives that can ultimately jeopardize the health of the banking organization," Bernanke said in prepared remarks to a meeting of smaller "community" banks in Phoenix, Ariz."

    It's good that he says this. But...

    "Monitored" doesn't really mean "do something about".

    And why say it at a meeting of community bankers - who for the most part didn't screw up like the big banks?

    Shouldn't he be saying this at a meeting of the CEO's of the big financial institutions instead?