What is Long-Term Incentive Plan ?

2124 reads · Last updated: December 5, 2024

A long-term incentive plan (LTIP) is a company policy that rewards employees for reaching specific goals that lead to increased shareholder value. In a typical LTIP, the employee, usually an executive, must fulfill various conditions or requirements. In some forms of LTIPs, recipients receive special capped options in addition to stock awards.

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