1st Edition

Corporate Share Buybacks Impact on Equity Incentive Pay and Shareholder Value

228 Pages 10 B/W Illustrations
by Routledge

228 Pages 10 B/W Illustrations
by Routledge

228 Pages 10 B/W Illustrations
by Routledge

This book integrates elements from agency theory and signalling theory and draws upon recent changes in the Australian payout policy and incentives pay for risk-averse employees to provide theoretical and empirical analyses that explain the paradox of the popularity of on-market stock buyback activities in a market environment characterised by reasonably high share prices. The authors utilise a... Read more

1. Introduction 2. Equity compensation and stock buybacks background 3. Theoretical framework on incentives-induced buybacks 4. Literature review 5. Research design 6. Explaining the net effects of stock buyback programmes on the equity incentive plans for risk-averse employees 7. Explaining the effects of incentive-induced buybacks on stock performance 8. Explaining the effects of incentive-induced buybacks on the subsequent firm performance 9. Conclusion

Biography

Gilbert Amahoro Ndayisaba is a Lecturer in finance and accounting at the School of Accounting, Information Systems and Supply Chain, RMIT University, Melbourne, Australia.

Abdullahi Dahir Ahmed is a Professor in Wealth Management and Head of the Department of Financial Planning and Tax at the School of Accounting, Information Systems and Supply Chain, College of Business and Law, RMIT University, Melbourne, Australia.