This simplified guide on proxy disclosures educates senior-level HR professionals who are responsible for executive compensation but may not have technical expertise in this area.
The Securities and Exchange Commission (SEC) in 2006 significantly amended proxy disclosure rules to provide investors with a clearer and more complete picture of executive and director compensation than had existed under prior disclosure rules. “Handbook for Reading and Preparing Proxy Statements, 4th Edition” (formerly “Reading & Preparing Proxy Statements: A Guide to the SEC Disclosure Rules for Executive and Director Compensation”) covers:
- Compensation policies and practices as they relate to risk management
- SEC’s interpretive guidance on the executive and director compensation disclosure rules through the summer of 2011
- The disclosure enhancements adopted by the SEC in 2009 and again in 2010.
The 2010 amendments were in response to the sweeping Dodd-Frank financial reform legislation, and added new disclosures regarding shareholder advisory votes on executive compensation, compensation consultant independence, and golden parachute compensation. Order your handbook to be informed and ready for your next proxy season.
