Plus500’s shareholders are preparing to vote on a compensation increase for the broker’s senior executive team. The firm is holding a vote on January 21 on a proposed salaries increase for several senior members of the management of the company.
After a vibrant period of growth throughout the past several years, Plus500’s executives are due for a significant raise. During a year of significant turbulence for retail brokers, the company’s shares are still trading up by 47 percent when compared to January 1, 2018.
The seller performance of the company during the first several months of the year was boosted by the cryptocurrency boom which peaked out in the fourth quarter of 2017. But the company managed to diversify its geographical footprint rather well, especially when compared to many of its peers.
The firm’s Remuneration Committee is considering that some increases in pay arrangements for a number of its staff are now overdue.
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The vote of shareholders is necessary to comply with Israeli companies laws, where changes need to be pre-approved. After consulting with PwC’s UK-based remuneration practice, the company is proposing a new structure which will transition executive compensation to a UK governance.
Board of Directors
In its official announcement via the London Stock Exchange’s RNS, the company explains that the changes are not intended to increase the overall remuneration opportunity for the Israeli management team.
The proposed changes include a total of seven executives. From members of the board to the CEO and the CFO of the company, the increases are discussed on a case by case basis.
The Chairman of the Board of Directors of Plus500, Penelope Judd is set for an increase from £90,000 to £150,000. The senior Non-Executive Director of the firm, Charles Fairburn’s compensation is proposed for an increase from £75,000 to £120,000, while the other Non-Executive directors Steven Baldwin and Daniel King are set to get a 19% increase to £65,000.
Gal Haber & Wavesoft
The co-founder of Plus500, Gal Haber, who is Managing Director and Director of Wavesoft, a company which is providing services to Plus500 is also set to receive a boost to compensation for his work. The rates Plus500 is paying for his Managing Director and Executive Director services are proposed to increase by 15 percent to NIS 1.44 million ($383,000).
CEO and CFO Compensation
The salary of the CEO of Plus500 Asaf Elimelech and the company’s CFO Elad Even-Chen is set to increase by NIS 600,000 to NIS 1.7 million ($460,000) starting from January 1, 2019. In addition, they are set to receive a bonus for the calendar year 2019 which amounts to up to $2.7 million from a share appreciation right. He has also been granted an award of $270,000.