Better Prevention Than Cure: Cybersecurity Risk and Clawback Provision

The study analyzes how #cybersecurityrisk impacts #clawback policy adoption in #us listed firms from 2008‑2018. It finds that rising cybersecurity risk increases clawback adoption, influenced by business goals, management preferences, and market efficiency. Stronger tech commitment and non‑co‑opted boards reduce this effect, showing firms consider clawbacks as preventive against #misconduct, incorporating cybersecurity risk.