DETERMINANTS OF EXECUTIVE STOCK OPTIONS: PORTUGUESE EVIDENCE

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Sandra Alves ORCID logo, Júlio Martins, Carlos Ferreira

https://doi.org/10.22495/cocv7i2c2p2

Abstract

The main purpose of this study is to investigate the determinants of stock options attribution. We hypothesize that the equity held by managers, the ownership concentration, the liquidity constraints, the firm risk and the firm size are related to the firm’s attribution of stock options. Using a sample of 44 companies listed in Euronext Lisbon, we find that only equity held by managers and firm size are related to the firm’s attribution of stock options, documenting a positive relationship for both.

Keywords: Agency Theory, Incentives, Stock Options

How to cite this paper: Alves, S., Martins, J. & Ferreira, C. (2009). Determinants of executive stock options: Portuguese evidence. Corporate Ownership & Control, 7(2-2), 260-268. https://doi.org/10.22495/cocv7i2c2p1