Company: MGRE
Filing Date: 2025-04-11
Form Type: DEF 14A
Source: 0001004434-25-000021
Chunk: 11

Company: AFFILIATED MANAGERS GROUP, INC.
Filing Date: 2025-04-11
Form: DEF 14A
Chunk 11
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•Relative Performance Drives Relative Compensation:The approach is designed to yield incentivecompensation payouts relative to a peer benchmark (in each of the past three years, the benchmark for CEOcompensation was set at the median of Peer Group CEO compensation) and relative to median peerperformance•Strong Shareholder Support:The redesigned incentive program was supported by 97%, 98%, and 97% ofshares voted by shareholders at the 2024, 2023, and 2022 Annual Meetings of Stockholders, respectively,indicating strong affirmation of the appropriate and rigorous nature of the Committee’s approach.Shareholders also commented that the formulaic approach utilizes metrics that are consistent withmanagement’s ability to drive value creation. Following the redesign of the incentive determination process in2021, the Committee has implemented modest refinements to the program over time in response toshareholder and proxy advisor feedback. In 2024, the Committee implemented further refinements to thePerformance Assessment framework to (i) increase focus on long-term returns and objectives and (ii) refinethe Peer Group |
| What is the philosophybehind the compensationtargets?  How were the CEOand other NEO targets set?                                                                                                               | •Target Total Payout amounts are confirmed annually based on peer benchmarking, where available, andreflect input from our independent compensation consultant•Since performance year 2021, the CEO compensation target has been set at the median of the most recentlyavailable peer CEO compensation (prior fiscal year). By targeting the median of peer CEOs, theCompensation Committee determined that the formulaic Performance Assessment would effectively rewardabove-median financial, stockholder return, and operating performance with above-median incentivecompensation (and indicate below-median incentive compensation for below-median financial, stockholderreturn, and operating performance)•For other named executive officers, the Target Total Payouts were informed by peer benchmarking whereavailable, but were not set directly at peer medians, because of the distinctive nature of the given role atAMG, wherein the executive’s role is broader than would be suggested by the role title, or because theindividual was new to the role in 2024, or because the role is unique to AMG                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| Why were these metricschosen? How were targetsset?                                                                                                                                                              | •The metrics were chosen following an extensive review of key drivers of shareholder return and theCompany’s strategic goals, along with management’s ability to create value, and reflect shareholder inputand feedback; each metric is reviewed annually to