A Changing Compensation Landscape: Year-End 2007 & Significant 2008 Implications

Location:  Yale Club, New York City

October 2007

Johnson Associates presented at its October Conference.  As of October, the first shoe dropped for 2007 year-end.  The first 7-8 months were excellent, while the final 4-5 months projected to be down on average versus 2006.  On average firms will be flat versus 2006, with strength in investment banking while down significantly in mortgages and select structured products.  There will be clear winners and losers, and more firm variations than for previous several years.  Heavy restricted stock use continues.  Importance of firm scale apparent and pronounced, with larger firms outpacing and out-paying competitors.