Sign in

You're signed outSign in or to get full access.

Carolyn B. Handlon

Director at Invesco Mortgage Capital
Board

About Carolyn B. Handlon

Independent director of IVR since 2017; age 67; currently Audit Committee Chair (since 2023) and member of the Compensation and Nomination & Corporate Governance Committees. Retired EVP & Global Treasurer of Marriott International after 35 years, with 17 years leading financial strategy, risk management, global capital markets, hotel finance and mortgage banking; recognized as an audit committee financial expert under SEC rules. Education: B.A. (Virginia Tech) and M.B.A. (Indiana University). Board tenure and engagement: Board held 9 meetings in 2024; each director attended at least 75% of board/committee meetings; all directors attended the 2024 annual meeting; independent chair presides over quarterly executive sessions of non‑executive directors .

Past Roles

OrganizationRoleTenureCommittees/Impact
Marriott InternationalEVP & Global Treasurer17 years (retired April 2022)Led financial strategy, risk management, global capital markets, hotel finance, mortgage banking; structured business combinations, spin‑offs and joint ventures .
Overseas Private Investment CorporationFinance professionalNot disclosedPrior financial role before Marriott .
Continental Illinois BankFinance professionalNot disclosedPrior financial role before Marriott .

External Roles

OrganizationRoleStartCommittees
Science Applications International Corporation (SAIC)Director2022Audit; Nominating/Governance .
Apple Hospitality REIT (APLE)DirectorMarch 1, 2023Audit; Nominating/Governance .

Board Governance

ItemDetail
IndependenceAffirmatively determined independent under NYSE rules .
CommitteesAudit (Chair); Compensation; Nomination & Corporate Governance .
Audit Committee compositionHandlon (Chair), Day, Fleshman, Kelley, Liu, Lockhart, McMullan; all independent; audit committee financial experts: Day, Fleshman, Handlon; 4 meetings in 2024 .
Compensation Committee compositionLockhart (Chair), Day, Handlon, Kelley, Liu, McMullan, Fleshman; all independent; 2 meetings in 2024 .
Nomination & Corp Gov compositionLiu (Chair), Day, Handlon, Kelley, Lockhart, McMullan, Fleshman; all independent; 6 meetings in 2024 .
Attendance & engagementBoard held 9 meetings (2024); each director ≥75% attendance of board/committee meetings; all directors attended the 2024 annual meeting; independent directors meet in executive session at least quarterly, chaired by independent Chair .
Audit Committee reportRecommended inclusion of 2024 audited financials in the 10‑K after discussing independence and required matters with PwC .

Fixed Compensation

Component2024 AmountNotes
Fees earned/paid in cash$112,500Actual 2024 cash compensation per director compensation table .
Base annual fee (policy)$95,000Paid quarterly in arrears; applies to non‑executive directors .
Audit Committee Chair fee (policy)$20,000Additional annual cash fee .
2025 service period changes (policy)Base fee: $105,000; Annual equity award value: $105,000; Chair of Board fee: $50,000Approved November 2024; no other changes .
Meeting feesNoneNo meeting/attendance fees; travel reimbursed .
Deferred compensation planNoneCompany does not have a deferred comp plan for directors .

Performance Compensation

Grant TypeGrant DateShares/UnitsGrant Date Fair ValueVestingDividends
Annual restricted stock (non‑exec directors, incl. Handlon)May 15, 202410,171 shares$94,997Vest on 1‑year anniversary of grant .Dividends on unvested awards paid at same time/rate as common stock .

Metrics: Director equity is time‑based restricted stock with no performance metrics; equity aligns interests and vests after one year .

Other Directorships & Interlocks

  • Current public boards: SAIC (Audit; Nominating/Gov), APLE (Audit; Nominating/Gov) .
  • Overboarding: IVR policy states all directors serve on ≤3 public company boards; Board highlights confirm adherence .
  • Potential interlocks: No disclosable related‑person transactions involving Compensation Committee members in 2024; all members were independent, non‑employees, and not former officers of IVR or subsidiaries .

Expertise & Qualifications

  • Financial services/capital markets; mortgage industry/MBS; executive leadership; risk management; accounting & financial reporting; corporate governance; other public company board experience; audit committee financial expert under SEC rules .

Equity Ownership

MeasureValue
Total beneficial ownership (common)30,925 shares .
Unvested director equity (as of 12/31/2024)10,171 shares unvested (for each non‑exec director granted May 15, 2024) .
Ownership as % of outstanding<1% (individual directors each <1%) .
Pledged sharesNone pledged; policy prohibits pledging; table notes no shares pledged .
Stock ownership guidelineLesser of 3× annual cash retainer (FMV) or 8,000 shares; must be met within 5 years; hold 100% of shares until met .
Compliance indicationOwns 30,925 shares (>8,000 threshold), indicating guideline met .

Director Election Support

YearVotes ForVotes AgainstAbstentionsBroker Non‑VotesApproval Outcome
202521,932,1661,458,110242,97317,558,553Re‑elected; all nominees ≥91% of votes cast .
202416,729,948649,991155,89812,368,174Re‑elected; all nominees ≥95% of votes cast .

Compensation Committee Analysis

  • Independent consultant: Ferguson Partners engaged annually to benchmark non‑executive director compensation against mortgage REIT peers .
  • Pay structure: Balanced cash/equity; time‑based restricted stock aligns interests; avoidance of meeting fees reduces pay inflation risk .
  • Say‑on‑pay results: 92% approval in 2024; Compensation Committee determined no changes advisable based on that outcome; 88.05% approval in 2025 .
  • Clawback policy: Adopted per SEC rules; scope covers incentive‑based compensation for executive officers (company does not pay exec incentives); not applicable to director equity grants .
  • Hedging/pledging: Insider trading policy prohibits short selling, publicly‑traded options, pledging, hedging or monetization transactions; limited exceptions allowed; none to date .

Related‑Party Transactions & Conflicts

  • External manager: IVR is externally managed by Invesco Advisers, Inc.; management fee equals 1.5% of stockholders’ equity per annum; ~$11.9m management fees and ~$7.0m reimbursements in 2024; the Audit Committee (chaired by Handlon) reviews the fee annually versus peers and oversees independence of PwC .
  • Compensation Committee interlocks: None; all members independent; no disclosable related‑person transactions involving Compensation Committee members in 2024 .
  • Directors’ equity plan: IVR’s 2009 Equity Incentive Plan governs director awards; amended and restated in 2024 with stockholder approval .
  • RED FLAGS: None disclosed regarding pledging, hedging exceptions, related‑person transactions linked to Handlon, or attendance shortfalls; externally‑managed fee structure is a structural conflict mitigated by independent board oversight and annual Audit Committee review .

Governance Assessment

  • Strengths: Long‑tenured finance executive with deep capital markets and risk experience; Audit Chair recognized as SEC financial expert; independent status; strong shareholder support in director elections; robust anti‑hedging/anti‑pledging policy and stock ownership guidelines with compliance indication .
  • Risks/Considerations: Externally managed structure creates fee alignment considerations; Audit Committee oversight and peer reviews of the management fee are critical; continued monitoring of say‑on‑pay support (88.05% in 2025 vs. 92% in 2024) advisable for investor sentiment .