Unless active managers can differentiate themselves and their investment strategies, “like any industry that sells a lot of generic products, the active side of the industry will inevitably be smaller,” said Alan Johnson, managing director and president of compensation specialist Johnson Associates Inc., New York. Pensions & Investments / April 1, 2019 READ ARTICLE
“The investment industry is behind the times and resisting change,” said Alan Johnson, managing director and president of Johnson Associates Inc., New York, a money manager compensation consultant. Mr. Johnson said the current “belt-tightening” the industry is undergoing will inevitably reduce the total headcount as managers rationalize and retrench their businesses by shedding “half-hearted” investment…
Alan Johnson, founder of compensation consultancy Johnson Associates, calls Sloan’s announced departure “kind of inevitable.” He says it is likely the board has been seeking replacements in recent months, and hopefully isn’t reacting only to Sloan’s testimony before Congress several weeks ago. Johnson believes the most logical successor for Sloan will be an executive at…
Wall Street’s average bonus fell 17 percent in 2018 to $153,700, the first decline in three years, according to estimates by New York State Comptroller Thomas DiNapoli… While DiNapoli didn’t break out bonuses by business lines, equities traders probably fared best, based on forecasts in November by pay consultant Johnson Associates Inc. Fixed-income traders and merger…
[Alan] Johnson says companies get into problems when their culture is based on letting different kinds of infractions like cheating, misreporting, and harassment slide “as long as the money is coming in.” Another way to curb misreporting is to make sure early on that people have the right skills and the capacity to succeed in…
When last proposed in 2016, the rules would have required the biggest financial firms to defer payment of at least half of executives’ bonuses for four years, a year longer than common industry practice. It also would have established a seven-year clawback period, in which executives would be required to return their bonuses if their…
Wall Street is likely to see moderately lower compensation in 2019 as fee levels and volatile markets weigh on bankers’ bonuses, pay consultant Johnson Associates Inc. said… Banks also face “continued angst about competition for high-end technology talent,” the firm said, warning that the companies are looking to downsize as some workers are replaced by…
With volatility hurting returns, some traditional firms acting to address concerns over spending. Most traditional managers saw their assets under management decline during the fourth quarter, a Pensions & Investments analysis of 24 publicly held money managers found… Asset managers want to be “leaner and have faster decision-making, which means you can’t have too many…
US investment banks have been eating away at European businesses’ market share on their home turf since the financial crisis. In a bumper year for mergers and acquisitions fees in Europe, US investment banks had a 54.2% slice of the pie in 2018, according to data provider Dealogic, with European banks taking 41.4%. This is…
“For the last 20 years, it’s been a great business — probably too great,” said Alan Johnson, managing director, compensation consultant at Johnson Associates Inc., New York. “The shifts to lower fees mean asset managers have had to find other ways to maintain margin. … Earnings are likely to be down, with layoffs in the…