THEY may be among the most derided people in the country at the moment, as shareholders' investments plunge amid plummeting share prices.
But spare a thought for those poor company chief execs, who are losing out on a substantial nest egg of their
own, according to new research from Heartwood Wealth Management.
In the first half of 2008, the company claims, chief executives of FTSE 100 companies saw the amount of their personal stake in their firm's equity drop by an average of over £2 million each compared to the same period in 2007 – to £8.96m.
Plus, Heartwood estimates, since the end of June, company bosses have lost an average of a further £2.2m in the value of their stakes, assuming that there has been no change in the number of options or incentive plan shares held.
But before you start weeping into your hankies, do bear in mind that the sharp drop reverses a five-year growth trend which saw their holdings increase nearly fourfold from an average of £2.96m in 2002 to £11.1m in 2007.
Simon Lough of Heartwood Wealth Management – himself a chief executive – said: "Sometimes the impression may be given that senior executives have remained untouched by the credit crisis. These figures belie that impression."
However, Lough gave nothing away on how much of his own investment he has seen slip away.
FACT OF THE DAY
183,549AUTOMOTIVE sales in Japan, excluding 660cc-engined mini vehicles, plunged 22 per cent in December from a year earlier to the worst level on record for the month, capping a dismal 2008 when demand fell to a 34-year low.
December sales of new cars, trucks and buses totalled 183,549 vehicles, the Japan Automobile Dealers Association said yesterday, with all brands recording a drop.
KILLER QUOTE"AS WE have said before, if there ever comes a day when Steve wants to retire or for other reasons cannot continue to fulfil his duties as Apple's CEO, you will know it."
Computer and iPod maker Apple giving its full support to chief executive Steve Jobs after it emerged that he was to undergo treatment for a hormonal imbalance.
GOOD DAY
Jones Lang LaSalleA PROPERTY firm with something to cheer. New figures show that in 2008 Jones Lang LaSalle's project and development services team project managed some £10 million of business for the oil and energy industry in Scotland. Projects included the refurbishment of ExxonMobil's Aberdeen North Sea headquarters.
BAD DAY
Insurers HEFTY insurance claims from 2008 disasters such as hurricanes Ike and Gustav and crimped market capacity as a result of financial markets' losses have raised reinsurance prices. Guy Carpenter & Company said that property catastrophe rates during the January 2009 renewals season were up by an average 8 per cent on the year.
