Form 4: Fiserv Director Ajei Gopal Reports Acquisition of Deferred Compensation Notional Units

Director Ajei Gopal reports acquisition of deferred compensation notional units under Fiserv's Non-Employee Director Deferred Compensation Plan.

Summary

• Ajei Gopal, a director at Fiserv Inc., reported the acquisition of 192 deferred compensation notional units on June 30, 2024.
• These units were allocated under the Fiserv, Inc. Non-Employee Director Deferred Compensation Plan.
• The units represent deferred director fees, where cash compensation is exchanged for notional units.
• The amount of deferred compensation was $28,571.43.
• The number of units was calculated by dividing the deferred compensation by the closing price of Fiserv's common stock on June 28, 2024, which was $149.04 per share.
• Each notional unit will be settled in shares of Fiserv common stock on a one-for-one basis following the cessation of the reporting person's service to the company.

Sentiment

Score: 7

Explanation: The document is a standard regulatory filing related to director compensation. It doesn't contain any particularly positive or negative information, but reflects standard corporate governance practices.

Future Outlook

Following cessation of the reporting person's service to the company, each notional unit will be settled in shares of Fiserv common stock on a one-for-one basis.

Industry Context

This filing is a routine disclosure related to director compensation practices, specifically the deferral of fees into notional units that convert to company stock. This is a common practice among publicly traded companies to align director interests with shareholder value.

Comparison to Industry Standards

• Deferred compensation plans for directors are a common practice in publicly traded companies, including Fiserv's competitors in the financial technology sector such as Global Payments, Fidelity National Information Services (FIS), and PayPal.
• These plans typically allow directors to defer cash compensation in exchange for stock or stock-based units, aligning their interests with those of shareholders.
• The specific terms of these plans, such as the deferral rate, vesting schedule, and settlement method, can vary across companies.
• For example, some companies may offer a matching contribution to the deferred compensation plan, while others may not.
• The settlement method may also differ, with some companies settling in cash and others in stock.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders by aligning director compensation with company performance.

Key Dates