Provider of financial services and products Virtu Financial Inc (NASDAQ:VIRT) on Friday announced the adoption of Deferred Compensation Plan. This is a non-qualified deferred compensation plan pursuant to which certain members of management may elect to defer a portion of their annual bonus payments (including cash and equity or equity-based incentive compensation).

Participants in the Deferred Compensation Plan may elect to have deferred amounts distributed upon: (i) a separation from service, (ii) a specified date, (iii) a change in control or (iv) a portion of the deferred amounts on any of the foregoing events.

Deferred equity or equity-based incentive compensation will be credited as deferred stock units subject to the vesting terms of the award agreement that, absent the deferral election, would have governed the equity or equity-based incentive compensation. To the extent vested, deferred stock units will be settled in shares of Class A Common Stock of the Company upon the occurrence of a distribution event.

Deferred cash incentive compensation will be credited to an account and deemed invested in certain investment funds selected by the participants. Deferred cash incentive compensation shall be 100% vested at all times and will be paid in cash upon the occurrence of a distribution event.

Amounts credited to a participant’s deferral accounts will be subject to the claims of Virtu’s general creditors until paid to the participants. Participants in the Deferred Compensation Plan will be general unsecured creditors with respect to amounts payable under the Deferred Compensation Plan.

Also on November 13, 2020, Virtu amended its form award agreement for the issuance of restricted stock units (RSUs) to provide for the continued vesting of outstanding RSU awards upon the occurrence of a qualified retirement. A qualified retirement generally means a voluntary resignation by the Participant (i) after five years of service, (ii) the participant attaining the age of 50 and (iii) the sum of the participant’s age and service at the time of termination equaling or exceeding 65.

Continued vesting is subject to the participant entering into a 2 year non-compete, Virtu explains. The amendment was authorized and approved by the Compensation Committee of the company’s Board of Directors.