bonuses

  • News

    Bonus Watch ’12: SEC Whistleblowers

    A whistleblower who helped the Securities and Exchange Commission stop a multi-million dollar fraud will receive nearly $50,000 — the first payout from a new SEC program to reward people who provide evidence of securities fraud. The award represents 30 percent of the amount collected in an SEC enforcement action against the perpetrators of the […]

    / Aug 21, 2012 at 4:49 PM
  • News

    Bonus Watch ’12: Moelis

    First year numbers.

    “Range is between $40-65k. Base is $70k.”

    / Aug 20, 2012 at 3:46 PM
  • News

    Bonus Watch ’12: UBS

    Numbers for first and second year analysts (who are not happy).

    “It’s been two weeks since UBS numbers came out and nobody wants to talk about it, for obvious reasons. Second years (base: 80k) ranging 45-65k and heard of some first years getting around 40k (base: 70k). And they could only achieve these numbers (“in line with the street”) after firing 30+ analysts right before communication day.”

    / Aug 9, 2012 at 1:41 PM
  • News

    Bonus Watch ’12: Wells Fargo Securites

    Numbers for first, second, and third year analysts.

    1st:
    bottom tier: 45-47k
    middle tier: 50k
    top tier: 60k

    2nd:
    bottom tier: 57-60k
    middle tier: 65k
    top tier: 75k

    3rd:
    top tier: ~95-100k

    / Aug 2, 2012 at 2:53 PM
  • News

    Bonus/Layoffs Watch ’12: Barclays

    The juniorest of mistmakers have received their numbers (and a little perspective).

    “Barclays first year analyst bonuses: massive range, 20k-55k. Analysts got 20k, 25k, 35k, 40k, 45k, and 55k at top. Most groups are expecting cuts within the next few months so while some people are dissatisfied, most are just happy to have jobs.”

    / Jul 31, 2012 at 3:03 PM
  • News

    Convicted Insider Trader Matthew Kluger “Shocked” To Find Out He Couldn’t Trust The Guys With Whom He Was Committing Federal Crimes

    Remember Matthew Kluger? To recap, he’s the mergers and acquisitions lawyer who spent two decades feeding inside information to convicted insider trader Garrett Bauer, that he picked up from partners at the six different law firms he worked at over the years. The operation, which included Kenneth Robinson, an old friend of Kluger who acted as the tips mule between MK and GB, went very smoothly for a very long time (17 years), and would have continued going smoothly had Robinson stuck with the plan instead of deciding to start making the same trades as Bauer, raising suspicion with SEC, which was watching the men and used “relationship analysis” to determine they were “part of the same trading scheme and had a common source: Kluger.” In March 2011, federal agents showed up to Robinson’s house and after thinking it over for a couple days, he decided to cooperate by giving prosecutors a step-by-step guide to how the scam operated, telling them Kluger’s name, and recording conversations with Kluger and Bauer in which the two said things like “I went right up to my apartment and I broke the phone in half and went to McDonald’s and put it in two different garbage cans” and “I can’t sleep. I can’t sleep. I’m waiting for the FBI to ride into my apartment” and “We have to get all the fingerprints off that money. Like you wearing gloves or something and wiping every bill down or something” and “There is no way [these cell phone conversations] could ever be recorded.”

    Robinson was ultimately sentenced to 27 months in prison, Bauer got nine years (despite his 147 speeches about how insider trading is a bad idea on the college lecture), and Kluger was handed 12 years, beating Raj Rajaratnam for “the longest insider trading U.S. history.”

    Recently, Kluger sat down with Bloomberg to offer a few more specifics re: how the scheme went down (“Sometimes it was a deal I was working on, sometimes it was a deal I heard being discussed in the office”; “I would call Ken and say ‘X/Y/Z company is considering a takeover of Q company”) but what he really wants to talk about? What was the biggest surprise and hardest punch to the gut in all of this? Is what it was like finding out that his buddies were stiffing him on cuts of their ill-gotten gains.

    “On the day I was arrested, when they showed me the criminal complaint against me, finally that day, I saw the amounts that had been traded and I was absolutely shocked. Our agreement from the beginning was always that that profits were being shared equally three ways. I felt very used and manipulated, that he was basically pumping me for information, that he was then lying to me about how he was using and then allowing his obviously better friend to make millions and millions of dollars while telling me that that was not happening.

    “Maybe you want to laugh and say of course there’s no honor among thieves,” Kluger added. “But even when you’re doing something you’re not supposed to do, I trusted that they were honoring the commitments that they had made.”

    You can imagine Kluge’s utter dismay to find out that such was not the case. It’s one thing to get nailed for insider trading, it’s another to find out you could’ve been making 10 times the profits while doing so.

    / Jul 31, 2012 at 1:11 PM
  • News

    Bonus Watch ’12: JPMorgan

    Li’l Dimons started receiving numbers today.

    First year analysts (base 70k):
    Bottom tier: 40k
    Middle tier: 50k
    Top tier: 55k

    Second years (base 80k):
    Middle tier: 65k
    Top tier: 70k

    / Jul 30, 2012 at 4:55 PM
  • News

    Bonus Watch ’12: RBC

    Junior mistmakers at the Royal Bank of Canada received their numbers last week.

    1st Year (Top Tier): ~$52,000
    2nd Year (Top Tier): $65,000
    3rd Year (Top Tier): $85,000

    / Jul 30, 2012 at 11:30 AM
  • News

    Bonus Watch ’12: Société Générale

    The French bank has some very angry little mistmakers on its hands.

    “Societe Generale paid their 1st year investment banking analysts between 15k-50k in bonuses. Most juniors were furious, especially since this is 20-40% lower than Street. The firm is continually declining in the Americas within investment banking, and has reduced tremendous headcount over the past year. It relies heavily on trading revenues from derivatives, with very little resources dedicated to M&A, ECM, and DCM. In a period where other banks are cutting operations in the US, SocGen leads the pack in decline. In February 2012 head of CIB, Didier Valet, said that the firm would not compete with bulge brackets. Regardless of these negatives, SocGen continues to say that it is a top investment banking player. They are not, and juniors on Wall Street should know before entering into this trap.”

    / Jul 17, 2012 at 2:28 PM
  • News

    Bonus Watch ’13 & Beyond Will Be Pretty Predictable In Europe

    You would think that European regulators have a lot to worry about with their banks but they’ve got time for a surprising distraction: finalizing a plan to cap bankers’ bonuses at 1x base compensation*: Bankers’ bonuses across the European Union are set to be limited by law, with many bank lobbyists admitting in private that […]

    / Jun 13, 2012 at 7:08 PM
  • News

    Paying Bankers In Derivatives Worked Out So Well For Credit Suisse, Let’s All Do It

    BreakingViews has a couple of posts up about one of my favorite things in the financial universe, Credit Suisse’s habit of paying its bankers in structured credit instruments that take pages to describe. How’s that going? Great: Three years ago, around 2,000 employees were forced to take some $5 billion of the riskiest assets from […]

    / Jun 12, 2012 at 3:53 PM
  • News

    Bonus Watch ’12: Sixth Year Goldman Sachs CEOs

    Lloyd Blankfein’s compensation dropped 35 percent, while his in-a-mood president got a raise.

    / Apr 13, 2012 at 1:18 PM
  • News

    Bonus Watch ’12: Second Year Barclays CEOs

    In an effort to strike a balance between being competitive and responsible, Bob Diamond will only receive 6.3 million pounds ($10 million) for his work in 2011, down from $9 million in 2010. Technically, his total package amounts to 17 million pounds ($26.9 million), but that includes stuff from previous years. [Reuters]

    / Mar 9, 2012 at 5:51 PM
  • News

    Bonus Watch ’12: BNP Paribas Employees Have More Grievances To Air

    From the front lines:

    “Your BNP bonus story from earlier today missed the part that has BNP employees really rattled. The 4th and final deferred payment of the 2008 “retention bonus” was not paid out. It covered most employees who were here in 2008 and was pulled back because the bank fixed income department didn’t cover ROE target. We were told on Feb 22 that we did not reach the 14.5 % target. ROE calculations are not clean and employees (including Sr. Management) asked to see exactly what was included in the calculation. The bank refused. Despite frequent attempts they’re adamant about not releasing ROE calculations and acknowledged that we had 2.8 BB € write down on Greece. The CMIP plan covered hundreds of BNP employees. Clawbacks make sense but it’s never happened on such a wide scale with so little information. What does 2008 comp have to do with the 2012 European crisis? Absolutely nothing….it was like stealing.”

    / Mar 5, 2012 at 6:34 PM
  • nosoupforyou

    News

    Bonus Watch ’12: Nightmare On Wall Street

    At Bloomberg today you will find a piece that is a bit hard to stomach if you’re the type of person whose heart goes out to the suffering. A bunch of financial services employees’ bonuses were slashed last year and, as a result, their lives have been turned upside down. Perhaps recalling how well their […]

    / Feb 29, 2012 at 11:31 AM
  • News

    RBS Puts 10,000 Employees’ Pay On Ice

    Earlier today the Royal Bank of Scotland reported a loss of £2 billion ($3.13 billion) for last year, which CEO Stephen Hester noted was in line with the estimates he projected in his five-year turnaround plan for the bank. To that end, Hester told reporters that contrary to popular belief, his team is working quite […]

    / Feb 23, 2012 at 7:34 PM
  • brian_moynihan

    News

    Bank Of America Freezes Base Pay

    Applicable if your last name is Moynihan, first name Brian, who will also be receiving no cash bonus for last year. BofA is apparently making an “example” of Moyns as party of the bank’s attempt to get the message out that “If the company doesn’t do well, our CEO isn’t going to do as well.” […]

    / Feb 21, 2012 at 3:53 PM
  • News

    Bonus Watch ’12: UBS Asia

    S&T analysts and associates received “2500 USD equivalent” (yes, analysts and associates got the same amount)

    / Feb 15, 2012 at 10:27 AM
  • ubszurich2-260x195

    News

    Bonus Watch ’12: UBS

    The good news is that UBS has some money to pay employees. The bad news is that there may not be enough to go around for everyone, depending on how things spread out.

    / Feb 13, 2012 at 2:11 PM
  • barclaysbird

    News

    Bonus Watch ’12: Barclays VPs

    The mood: less than enthused.

    / Feb 13, 2012 at 11:25 AM
  • News

    Bonus Watch ’12: Barclays

    Some expectations were fulfilled:

    / Feb 10, 2012 at 11:44 AM
  • News

    Bonus Watch ’12: Barclays

    Bonus conversations are said to be going down at Barclays Capital this afternoon, after the close. So, no details yet, but in the meantime, a few things to consider:

    / Feb 9, 2012 at 2:51 PM
  • News

    Bonus Watch ’12: UBS Suggests Senior Staff Get Comfortable

    Earlier today, as in a few minutes ago, we learned that UBS announced it would claw back 2010 bonuses for senior-ranking employees in the investment bank. This may have put a damper on some people’s commute home but in happier news? Those individuals will be getting paid for last year’s work (albeit at a slightly reduced […]

    / Feb 8, 2012 at 7:42 PM
  • Banks, News

    Bonus Watch ’12: UBS Investment Bankers Thought Zero Was The Minimum Bonus? They Thought Wrong

    UBS investment bankers yesterday learned that their bonus pool would be down by 60%, and that anyone inclined to grumble to division head Carsten Kengeter should be aware that (1) he would have none of it and (2) he himself was taking a bonus of zero, so see point (1). Rank-and-file bankers were perhaps a […]

    / Feb 8, 2012 at 7:07 PM
  • News

    Bonus Watch ’12: UBS’s Investment Bank Chief Takes One For The Team

    Something you might have picked up on recently is that while UBS may possess many strengths, investment banking is not one of them. The unit’s “continued losses” were to blame for net profit falling 76% in the fourth quarter, there was the matter of their little rogue trader, and not even the higher-ups in Zurich […]

    / Feb 8, 2012 at 10:18 AM
  • News

    Bonus Watch ’12: Deutsche Bank

    Today is bonus communication day at DB and while there are no specifics to be had just yet, apparently those hoping their decision to do the bare minimum last year would be handsomely rewarded were in for a disappointment.

    / Feb 7, 2012 at 2:50 PM
  • News

    Bonus Watch ’12: Lazard Just Wants To Get It Over With

    …compensation costs remained stubbornly high, due in part to management’s decision to pay employees most of their bonuses immediately, rather than deferring big portions of pay to future years as some rivals have done. “We are very comfortable with our approach on deferrals at the firm and we didn’t need to increase it,” Chief Executive […]

    / Feb 6, 2012 at 8:17 PM
  • Findings that are relevant in an alternate universe

    “Bonuses Met Wall Street Workers’ Expectations Says Survey” That Was Taken Before Majority Of Wall Street Workers Found Out What They Were Earning

    Forty-five percent of respondents said “bonuses matched their expectations,” 11 percent received “a higher payout than they had anticipated,” and 34 percent were “disappointed by their bonus.” The results included financial services employees whose compensation was communicated by January 16, which means it excludes those who work at Goldman Sachs, Morgan Stanley, JPMorgan, Bank of […]

    / Feb 6, 2012 at 8:08 PM

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