External CEO directorships affect shareholder returns, says research

Research finds that while chief executives in the US with external directorships earn more, returns for shareholders fare less well.

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US chief executives with no external board directorships earn better returns for their shareholders than those with seats on external boards, according to new research.
Research firm Equilar studied the S&P500 and found that, of the 37 companies where CEOs held outside directorships, the one-year total return on stocks was 8.2%. For CEOs who held a single or no additional board position, that figure was a little more than 15%.
The research also found that CEOs with two or more external directorships made $13.6m from their main employer, while those with a single additional board position, or none at all, took home 5.6% and 12.9% les
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