Group Five Releases 2022 Results for Equity Compensation Plan Administration Services

Charles Schwab and Fidelity lead the industry – Charles Schwab receives highest rating for client loyalty and Fidelity receives the highest overall satisfaction rating.

NOVATO, Calif., Sept. 15, 2022 /PRNewswire/ -- Group Five's 2022 Equity Compensation Administration Benchmarking Study finds industry-wide client loyalty decreased two points from last year to a Net Promoter Score (NPS)* of 36. Industry-wide overall satisfaction for equity plan administration services increased one point over last year to 84% favorable.**

The relatively unchanged industry ratings are somewhat surprising given the recent restructuring that has occurred within the industry. Morgan Stanley has bought both E*TRADE's and Solium's administration business, JP Morgan has bought Global Shares, insightsoftware has bought Certent, and Siris has bought both AST's and EQ's administration businesses.

"Keeping up with plan sponsors' expectation for technology improvements is a challenge for all service providers. Most service providers are mitigating gaps in technology and keeping clients loyal and satisfied through excellent client support," said Kathy Huston, President of Group Five Inc.

In this year's study, Charles Schwab received the highest client loyalty rating for administration service with an NPS of 50, closely followed by Fidelity with 49. Fidelity received the highest overall satisfaction rating with a 90% favorable rating, followed by Charles Schwab with an 89% favorable rating.

"Earning the industry's highest Net Promoter Score loyalty rating from our clients, combined with the second highest overall satisfaction and value ratings as well, demonstrates the effectiveness of our 'Through Clients' Eyes' strategy," said Amy Reback, Head of Schwab Stock Plan Services. "Equity compensation continues to play an outsized role in the talent war, and we're so pleased that our focus on supporting clients and their employees continues to be recognized year after year. We've also continued to invest in improving the plan administrator experience, so it's very gratifying to see that clients rated our platform number one for ease of use," she added.

Now in its 24^th year, Group Five's annual study includes responses from 494 U.S. public companies who use a third-party service provider to manage equity compensation award recordkeeping and execution of plan participant transactions. The study is the only independent forum for plan sponsors to confidentially make their opinions and priorities known to service providers. A complimentary summary of the study results will be available for download on Group Five's website.

Founded in 1990, Group Five Inc. is a corporate services research firm. Group Five, a leader in business-to-business loyalty and satisfaction research, is best known for research in equity compensation plan administration and shareholder services.

*NPS^®, Net Promoter^® & Net Promoter^® Score are a registered trademark of Fred Reichheld, Satmetrix, and Bain & Company. Net Promoter Scores range from -100 to +100 based upon the difference between the percent of promoter and detractor scores.

**A favorable rating is defined as a rating of 4 or 5 on a 1 to 5 satisfaction scale.

No advertising or other promotional use can be made of the information in this release without the express prior written consent of Group Five.

Company Contact:
Kathy Huston, 415.785.7983
[email protected]
www.groupfiveinc.com

SOURCE Group Five