The Impact of Deferred Executive Compensation on Commercial Bank Risk-Taking

Chenhui Qu

doi:10.47297/wspdecWSP2515-797309.20250907

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The Impact of Deferred Executive Compensation on Commercial Bank Risk-Taking

Volume 9, Issue 7

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The Impact of Deferred Executive Compensation on Commercial Bank Risk-Taking
The Impact of Deferred Executive Compensation on Commercial Bank Risk-Taking
Southwestern University of Finance and Economics, Chengdu, Sichuan, 611130, China
Vol. 9, Issue 7, Pages: 46-52(2025)
Published：30 July 2025
DOI：10.47297/wspdecWSP2515-797309.20250907
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Qu Chenhui.The Impact of Deferred Executive Compensation on Commercial Bank Risk-Taking[J].Development Economics of China,2025,09(07):46-52.
DOI：

Qu Chenhui.The Impact of Deferred Executive Compensation on Commercial Bank Risk-Taking[J].Development Economics of China,2025,09(07):46-52. DOI： 10.47297/wspdecWSP2515-797309.20250907.

摘要

Abstract

The outbreak of the 2008 financial crisis brought a tremendous shock to the global economy. Deferring the compensation of bank executives became an important measure for regulatory authorities in China and around the world to reduce financial risks. The policy of deferring executive compensation aligns the compensation management system of bank executives with the banks' risk-taking

compelling executives to reduce high-risk decision-making behaviors under the awareness of potential risks. In recent years

with the increasing instability of the international situation

countries have placed greater emphasis on safeguarding against financial risks

prioritizing the risk prevention of banking financial institutions. This paper analyzes the theoretical basis of the relationship between executive compensation and commercial bank risks

and further investigates the impact mechanism of deferred executive compensation on the risk-taking of commercial banks. It proposes research hypotheses and selects relevant data from commercial banks for the period of 2009–2024 to conduct empirical analysis

thereby exploring the deeper logical relationship between executive compensation and bank risk-taking.

关键词

Keywords

references

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