Form 4: SEI EVP Michael Peterson Reports Stock and Option Grants

SEI Investments Co. Executive Vice President Michael Peterson reported the acquisition of 7,711 restricted stock units and 43,000 stock options as employment compensation.

Summary

• Michael Peterson, Executive Vice President of SEI Investments Co. (SEIC), reported transactions on December 12, 2025.
• Acquired 7,711 shares of Common Stock as Restricted Stock Units (RSUs), which are subject to vesting.
• Beneficially owns 21,211 shares directly and 270.7854 shares indirectly through an Employee Stock Purchase Plan.
• Acquired 43,000 options to purchase Common Stock with an exercise price of $83.
• These options expire on December 12, 2035.
• The options vest on the later of December 12, 2027, or when SEIC achieves an adjusted earnings per share (EPS) that is 25% greater than its adjusted EPS as of December 31, 2025.
• All acquired securities were received as employment compensation.

Sentiment

Score: 6

Explanation: The filing reports routine executive compensation, which is generally positive as it aligns executive interests with shareholder value, especially with performance-based vesting. No significant negative or unexpected information is present.

Positives

• The grant of restricted stock units and performance-based stock options to a key executive aligns management's interests with long-term shareholder value creation.
• The performance-based vesting condition for options, requiring a 25% EPS growth, incentivizes strong financial performance.

Risks

• The vesting of 43,000 stock options is contingent on achieving a 25% increase in adjusted EPS over the December 31, 2025, baseline, which may not be met, potentially impacting executive compensation and retention.

Future Outlook

The company has set a performance target for executive compensation, requiring a 25% increase in adjusted earnings per share over the December 31, 2025, baseline for a significant portion of executive options to vest by December 12, 2027.

Industry Context

The grant of restricted stock units and performance-based stock options is a common practice in executive compensation across the financial services industry, aiming to align executive incentives with long-term company performance and shareholder returns.

Comparison to Industry Standards

• The use of performance-based vesting, such as the adjusted EPS target for option vesting, is a widely accepted best practice in executive compensation, aligning with global benchmarks for linking executive pay to company performance.

Corporate Governance

Stakeholder Impact

• Shareholders: The performance-based vesting of options could benefit shareholders if the EPS target is met, indicating strong company performance and aligning executive incentives with shareholder returns.
• Employees: The filing details compensation for a key executive, which is part of the overall employee compensation structure and incentive program.

Next Steps

• Vesting of 7,711 Restricted Stock Units (RSUs) as per their specific terms.
• Vesting of 43,000 stock options on the later of December 12, 2027, or the achievement of a 25% increase in adjusted EPS over the December 31, 2025, baseline.

Key Dates

Keywords

SEI Investments Co., SEIC, Michael Peterson, Form 4, insider transaction, executive compensation, restricted stock units, stock options, beneficial ownership, corporate governance, performance-based vesting