Risk Appetites and Management

A interesting item found lately.  Currently working on a project that deals with risk portfolio in compliance related strategies.  Knowledge@Wharton discusses related issues.   " .... The issue of CEO pay and how to compensate managers in a way that encourages the “right” amount — and type — of risk to grow a company and protect stakeholder interests has garnered a significant amount of debate. Many executive pay packages include incentives that tie compensation to a firm’s performance, often through the use of stock options. But a number of research studies have found that if a manager’s wealth is tied to share price, he or she may be more likely to misreport financial data. ... "