At what point would you say enough is enough or for you there...

  1. 16,402 Posts.
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    At what point would you say enough is enough or for you there isnt one...let the free market decide ya reckon?"

    Sure. The market clears where it clears.
    This isn't public money we are talking about here, Comrade.
    It's the capital of the owners of the business.
    If they want to pay executive salaries to a level where they aren't getting value for money, who cares?

    Put another way, let's assume you inherit money, and you want that money to be invested by an investment manager on your behalf.

    You have choice of two fund managers: one charges 1% management fee and 10% performance fee (so 1% and 10%) and the other charges 2% and 20%.

    But the second one has a track record of outperformance compared to the first one such that even after fees toy would still be better off going with the manager that has the higher fee structure, which one do you choose?

    .
 
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