On today’s episode, we’re joined by Jeff Keckley and Ron Rosenthal, both Partners at Meridian Compensation Partners, LLC.
Jeff and Ron break down the purpose of stock ownership guidelines, how they support alignment with shareholders and why companies should revisit these policies as their compensation programs evolve. They outline how guidelines are typically structured, what counts as ownership, how external stakeholders evaluate them and the growing use of holding requirements as a complement or alternative to traditional ownership timelines.
Key Takeaways:
00:00 Introduction.
02:02 Ownership guidelines encourage executives to think and act like owners.
04:17 Tiered ownership levels help clarify expectations across the leadership team.
07:11 Pay mix influences how quickly executives can reach ownership requirements.
11:16 Ownership guidelines focus on vested value while holding power focuses on unvested awards.
13:07 Participation decisions reflect the company’s culture and overall pay philosophy.
15:58 Companies make judgment calls on which share types to count toward ownership.
24:30 Holding requirements help executives build and maintain ownership over time.
28:01 Periodic reviews keep guidelines aligned with market practice and business needs.
Resources Mentioned:
https://www.linkedin.com/in/jeffkeckley/
https://www.linkedin.com/in/ron-rosenthal-a48ab5ab/
Meridian Compensation Partners, LLC
https://www.linkedin.com/company/meridian-compensation-partners-llc/
This episode is brought to you by Meridian Compensation Partners, LLC. Learn more by visitingMeridianCP.com.
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