Quote:
Originally Posted by John Mercier
You can't lose with a bond.
And as I stated... the CEO pay is not tied to rates.
The CEO pay is directly paid from the return that the investors would get.
The more they choose to pay the employees and management, the less they get on their return.
Same as a bond fund manager.
And the rules are different... John Deere does not need to ask permission to set the price of their product.
If they were the same... Eversource would charge so much more.
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You can absolutely lose (relatively speaking) with a bond strategy, and managers advise on strategy and quality and timing as well as simply selling the bond.
So you are saying that higher rates which pad the profitability of Eversource are not what makes the company more profitable, encouraging higher pay for their CEO? And lower rates, reducing profitability, would not suggest to the board a lower pay rate?
Respectfully, you need to not simply argue semantics at the cost of missing the concept.