  The use of the Canonical Regression Quantiles Index proved that
non-controlled companies that engage in long-term operational and financial
goals post superior future performance. The Index indicates that current CEO
compensation influences future performance. The Index provides a method for
determining CEO pay for the next 1-2 year and is a useful method to distinguish
over/underpaid CEOs as an unbiased alternative to the peer groups comparison
used by most compensation consultants. This determination is statistically
weak, but future research using the Canonical Regression Quantiles with a
larger data set may lead to increased sensitivity and a powerful unbiased
method for replacing compensation consultants who are responsible for the
decoupling of CEO compensation and corporate performance.
