Phupinder S. Gill was the CEO of CME Group Inc., a major player in the financial markets. His journey with the company started in 1988, and he worked his way up to CEO in 2012 after serving as President and COO. One of the key highlights during his time as CEO was his hefty compensation structure, which included a base salary of $1,250,000 and bonuses tied to performance, like his $4 million bonus in 2022. Phupinder's retirement in 2016 came with significant financial security; all his equity awards since 2009 were fully vested, and he received a retirement payment equal to twice his annual salary. He was also active on the global stage, representing CME on international boards in places like Malaysia and Mexico. His approach emphasized aligning executive pay with company performance, ensuring that both shareholders and executives benefited from the company’s success. Phupinder’s story reflects a mix of dedication, strategic leadership, and a focus on performance-driven rewards.

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Phupinder S. Gill

Ex-CEO of CME Group

Education

MBA from University of Chicago

Field of Expertise

Finance & Banking - Finance

Sector of Economy

Financial Services

Born

January 1, 1961 - 64 years ago

CEO of CME Group for

4 years 7 months (May 2012 - Dec 2016)

Previous Experience

Joined CME in 1988, held various roles including President and COO

Rivals

Competitors/colleagues of Phupinder S. Gill

Christopher R. Concannon

CEO of MarketAxess

2023 Compensation

Stock

$7.15M

Salary

$1.00M

Bonus

$475.00K

Other

$0.00

Total Holdings

$39.42M

Adena T. Friedman

CEO of Nasdaq, Inc.

2022 Compensation

Stock

$9.60M

Salary

$1.25M

Bonus

$4.37M

Other

$437.75K

Total Holdings

$171.52M

Jen-Hsun Huang

Founder and CEO of Nvidia

2023 Compensation

Stock

$61.63M

Salary

$1.00M

Bonus

$4.00M

Other

$2.49M

Total Holdings

$99.30B

Richard M. McVey

Founder and CEO of MarketAxess

2023 Compensation

Stock

$894.17K

Salary

$650.00K

Bonus

$1.19M

Other

$0.00

Total Holdings

$122.60M

Edward T. Tilly

CEO of Cboe Global Markets

2023 Compensation

Stock

$3.32M

Salary

$1.27M

Bonus

$0.00

Other

$0.00

Total Holdings

$39.10M

Brian Armstrong

Founder and CEO of Coinbase Global, Inc.

2023 Compensation

Stock

$0.00

Salary

$1.00M

Bonus

$0.00

Other

$3.70M

Total Holdings

$8.55B

Holdings

See how much did Phupinder S. Gill make over time.

As Chief Executive Officer of CME Group, Phupinder S. Gill held a substantial amount of equity throughout his tenure. His holdings peaked around the time he transitioned to CEO, reflecting his commitment to aligning his interests with those of shareholders. In 2012, he had performance shares and restricted stock grants tied to cash earnings and total shareholder returns, demonstrating a focus on long-term goals. By 2022, his vested stock was valued at over $11 million, confirming his successful transition into retirement with a secure financial foundation. His exposure to CME's stock was significant, underscoring the potential risks and rewards of his position. The variations in his bonuses and stock holdings highlighted the company's strong performance metrics during his time, which contributed to his wealth accumulation. Ultimately, his financial journey within CME exemplified effective risk management and reward.

Total Stock Sold

$22.73M

CME

$22.73M

263,127 CME shares

What if they kept their stock?

If Phupinder S. Gill didn't sell their stock, today they would have:
Extra CME263,127 shares worth $47.62M.
This is 109.49% and $24.89M more than what they got when they sold the stock.

Insider Trading

See recent insider trades of Phupinder S. Gill.

CME

$3.30M

CME at $110.00/share

Sep 19, 2016

Sale

CME

17,156 shares

CME

Sep 15, 2016

Received

CME

$2.10M

CME at $104.54/share

Aug 15, 2016

Sale

CME

$2.90M

CME at $93.14/share

Jun 28, 2016

Sale

CME

29,716 shares

CME

Mar 15, 2016

Received

CME

10,500 shares

CME

Sep 15, 2015

Received

CME

$2.84M

CME at $96.39/share

Aug 3, 2015

Sale

CME

$470.10K

CME at $94.02/share

Jun 1, 2015

Sale

CME

$2.99M

CME at $99.76/share

Mar 20, 2015

Sale

CME

12,528 shares

CME

Sep 14, 2014

Received

Compensation History

See how much did Phupinder S. Gill make over time.

Phupinder S. Gill's compensation during his time at CME Group was impressive. In 2022, he earned a total of $5.5 million, which included a base salary of $1.5 million and a substantial bonus of $4 million. The bonus reflected his strong focus on company performance metrics, with a target of 200% of his salary based on achievements. Over the years, Gill received various equity awards that were designed to align his interests with those of the shareholders, guaranteeing that he benefitted directly from the company's success. In 2016, just before his retirement, he had a significant payout that included fully vested stock worth $8.6 million, along with a lump-sum retirement payment that was twice his annual salary. This aligns with CME's policy of linking compensation to performance and shareholder value, which was a key part of his leadership strategy.

Year

2022

Total Compensation

$17.36M

Salary

$1.50M

Board Justification

CME Group's compensation philosophy for the CEO in 2022 focused on aligning pay with performance, ensuring competitive compensation to attract and retain top talent, and linking a significant portion of the compensation to the company's financial performance and shareholder value creation.

Bonus

$4.00M

Board Justification

The bonus structure for Phupinder S. Gill in 2022 was based on the company's performance metrics, including cash earnings. The target bonus was set at 200% of the base salary, with a maximum potential of 400% if performance exceeded expectations. The actual bonus awarded was $4,000,000, reflecting the company's strong performance in 2022.

Other

$0.00

Board Justification

There were no other forms of compensation that vested or were paid out to Phupinder S. Gill in 2022.

Restricted Stock

$11.86M(165.74K RSU)

Board Justification

The vested stock for Phupinder S. Gill in 2022 consisted of restricted stock awards that became fully vested on December 31, 2022, as per the terms of his employment agreement. These shares were part of a long-term incentive plan designed to align the CEO's interests with those of the shareholders.

Performance Metrics

The performance metrics for determining Phupinder S. Gill's compensation in 2022 included cash earnings, which is a key indicator of the company's operational and financial performance. This metric is also used to determine the regular quarterly dividend payments, aligning the CEO's incentives with shareholder interests.

Other CME Group CEOs

Here are other CEOs of CME Group

Craig S. Donohue

Ex-CEO of CME Group

January 2004 - May 2012

Terrence A. Duffy

CEO of CME Group

January 2017 - Present