Financial stocks are declining, with the NYSE Financial Sector Index falling 0.8% and the S&P Financial 100 Index retreating 1.4%.
In company news, Select Income REIT ( SIR ) is up 4.5% at $26.23 a share after the real-estate investment trust reworked its contract with REIT Management & Research LLC. It also said shareholders will elect all of the trustees on the company's board each year rather than for staggered terms.
Starting in 2014, the restructured deal changes how fees SIR pays REIT Management are calculated, now basing them on either gross historical costs of SIR's real-estate assets or its total market capitalization, whichever is less. Previously, SIR's total market capitalization wasn't a factor.
The new agreement also allows SIR to pay 10% of the base business-management fees with its common stock. Annual incentive fees will calculated using total returns realized by SIR common shareholders topping benchmarks set by the trustees on the compensation committee of the SIR board.
In a statement, SIR independent trustees said the board is considering "additional governance enhancements which may be announced during the next several months."
In other sector news,
(+) CWH, (+0.8%) Corvex Management and Related Fund Management chide proposed corporate governance enhancements as "a desperate attempt to keep Barry Portnoy and his son Adam in control" of the real estate investment trust.
(-) C, (-3.1%) Financial Times reports the bank's trading revenue fell sharply compared to year-ago levels due to a mid-summer slowdown.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
