Sign in

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

Michael Morrongiello

Vice President at JAPAN SMALLER CAPITALIZATION FUND
Executive

About Michael Morrongiello

Michael Morrongiello serves as Vice President of Japan Smaller Capitalization Fund, Inc. (JOF) since 2021, while holding long-standing roles at Nomura Asset Management U.S.A., Inc. (NAM‑U.S.A.) as Executive Director since 2007 and Head of Operations since 1998 . He is age 66 as of October 14, 2025; the address of Fund officers is Worldwide Plaza, 309 West 49th Street, New York, NY 10019-7316 . As a Fund officer, compensation is paid by NAM‑U.S.A. under the management agreement; the Fund does not disclose individual officer pay elements (salary, bonus, equity) and pays no officer compensation directly, limiting available pay‑for‑performance analytics at the Fund level . Fund proxy statements do not provide executive performance metrics (TSR, revenue/EBITDA growth) tied to Morrongiello; his responsibilities are operational through NAM‑U.S.A. rather than portfolio management .

Past Roles

OrganizationRoleYearsStrategic Impact
NAM‑U.S.A.Head of OperationsSince 1998Provides operational leadership and personnel supporting Fund management/administration per the management agreement (manager provides office space, facilities, personnel) .
NAM‑U.S.A.Executive DirectorSince 2007Senior executive capacity at the manager; affiliated with Fund operations and governance framework .
Japan Smaller Capitalization Fund, Inc.Vice PresidentSince 2021Officer of the Fund elected annually; serves until resignation/removal/disqualification .

External Roles

OrganizationRoleYearsStrategic Impact
Not disclosed in Fund filingsNo external directorships or roles disclosed for Morrongiello in JOF proxy statements .

Fixed Compensation

ComponentDisclosure
Compensation sourceNAM‑U.S.A. (Manager) pays all compensation of Fund officers; Fund pays none .
Fund salaryNot applicable; Fund does not pay officer salaries .
Target/actual bonusNot disclosed at Fund level; officer compensation administered by NAM‑U.S.A. .
Perquisites/pension/SERPNot disclosed at Fund level .

Performance Compensation

Incentive TypeMetricWeightingTargetActual/PayoutVesting
Fund equity grants (RSUs/PSUs)None disclosed; Fund does not grant equity awards to officers; compensation administered and paid by NAM‑U.S.A. .
Stock optionsNone disclosed at Fund level .
Cash incentivesNot disclosed; administered by NAM‑U.S.A. .

Equity Ownership & Alignment

Metric201620192022202320242025
Officers’ aggregate ownership (% of Fund shares outstanding)<1% <1% <1% <1% <1% <1%
Individual officer holdingsNot disclosed for officers (director dollar‑ranges disclosed separately) .
Pledging/hedging of Fund stockNo pledging/hedging policies specific to officers disclosed in proxy .

Note: Director ownership is disclosed as dollar ranges; officer individual holdings are not itemized. As of each reporting date, officers as a group own less than 1% of outstanding Fund shares .

Employment Terms

TermDisclosure
Officer election/termOfficers are elected annually by the Board; serve until resignation, removal, or disqualification .
Compensation responsibilityManager (NAM‑U.S.A.) provides personnel and pays all compensation of Fund officers; Fund pays no officer compensation .
IndemnificationOfficers and directors are indemnified against certain liabilities under Fund organizational documents .
Severance/change‑in‑control (Fund)Not disclosed for officers; no Fund‑level severance/CIC multiples or accelerated vesting terms for officers .
Non‑compete/non‑solicitNot disclosed in Fund proxy for officers .
Garden leave/consultingNot disclosed in Fund proxy for officers .

Compensation Structure Analysis

  • Fund design structurally removes direct pay‑for‑performance link at the Fund level for officers, as NAM‑U.S.A. pays officer compensation and the Fund does not disclose salary/bonus/equity elements; no Fund equity grants or option awards are disclosed for officers .
  • With no Fund‑level equity awards, vesting schedules and insider selling pressure tied to Fund awards do not apply to Morrongiello; any incentives reside at the Manager and are not reported in Fund filings .

Related Party Transactions and Governance Notes

  • Management Agreement: NAM‑U.S.A. provides all office space, facilities, and personnel; Manager receives fees of 0.90% on average weekly net assets ≤$250M and 0.80% above $250M; Manager pays officer compensation, and affiliated directors’ compensation; Fund pays all other enumerated expenses .
  • Officer affiliations: Certain Fund officers/directors are officers/directors of the Manager; standard for externally managed closed‑end funds .

Performance & Track Record

  • Role history: Executive Director at NAM‑U.S.A. since 2007; Head of Operations since 1998; Vice President of the Fund since 2021, indicating multi‑decade operational tenure supporting Fund administration and manager services .
  • Fund proxies do not attribute specific financial or TSR performance outcomes to Morrongiello; performance metrics for individual officers are not presented in Fund filings .

Investment Implications

  • Alignment: Officer compensation and any equity incentives are at NAM‑U.S.A., not the Fund; no Fund equity awards or option grants for officers are disclosed, and officers as a group own <1% of shares—implying limited direct Fund equity alignment via ownership .
  • Retention risk: Long tenure (Head of Operations since 1998; Executive Director since 2007; Fund VP since 2021) suggests operational continuity; no Fund‑level severance/CIC economics disclosed to create abnormal retention incentives or risks .
  • Trading signals: Absence of Fund‑level equity awards and vesting schedules for officers minimizes insider‑selling pressure from compensation‑related events; individual officer ownership and trading are not itemized in proxy, limiting signal extraction from insider holdings via Fund filings .