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Deutsche Bank Woes Add to Wall Street Bonus Gloom
One recruiter says its mailbox has been jammed with CVs from outraged Deutsche staff who are not on what insiders call the “retention list.” Some of these come-and-get-me pleas are from people with at least ten years’ service, complaining that the bank has no regard for loyalty or performance. “It’s a dramatic decision Deutsche made,”…
Read MoreTrump Rally Makes Stock Options Great Again for Some CEOs
Alan Johnson, managing director of pay consulting firm Johnson Associates in New York, said the big gains for the leaders of American Express, Goldman Sachs and JPMorgan reflect how stock option compensation can magnify gains in a company’s share price. “When the stock goes up, with options, you get more leverage,” he said. Reuters /…
Read MoreTillerson Pay Package Structured to Avoid Conflicts
“I wish more companies would adopt the way [Exxon] pay[s] their executives, where you don’t get it when you leave, you’ve got to earn it, [and] you get [it] delivered over time,” says Alan Johnson, president and founder of compensation consulting boutique Johnson Associates. Agendaweek.com / January 6, 2017
Read MoreBankers, Your Bonus Is Likely to Be 10% Smaller Than It Was Last Year
“In 2017, banks will start to rebound – with some of the onerous regulations rolled back, maybe the banks will start to do better, which would be good for everybody,” he said. “A leading indicator of that is their stocks have done particularly well since the election, meaning the markets believe that this will be…
Read MoreWall Street Bonuses to Decline
“If you listen to politicians, you’d think bankers are still making money like it’s 2007. They’re not,” said Alan Johnson, who runs the firm and helps banks design compensation programs. “You can make this kind of money working at PepsiCo, and life at PepsiCo is lot more pleasant.” The Wall Street Journal / November 6,…
Read MoreWall Street Expected to See Second Year of Declining Bonuses: Report
“All signs are pointing to a disappointing end to an overall lackluster year on Wall Street,” said Alan Johnson, managing director of Johnson Associates, which conducted the study. Reuters / November 6, 2016 READ ARTICLE
Read MoreWall Street Bonuses Are Expected to Sink for 3rd Straight Year
Alan Johnson, the founder of Johnson Associates, describes this pattern as a “malaise,” and one that is unlikely to reverse itself anytime soon. “I don’t see it changing for the next year or two, either,” he said in a phone interview. “The pressures in the industry on profit and fees are going to continue, and…
Read MoreDeutsche Bank Said to Weigh Alternatives to Cash Bonuses
The bank risks angering staff if it abandons cash incentives entirely, said Alan Johnson, founder of New York-based compensation consultancy Johnson Associates Inc. If the board proceeds, it should at least pay cash bonuses to junior staff and structure something creatively for senior bankers that could dramatically increase in value if the bank recovers. Bloomberg /…
Read MoreWells Fargo’s CEO Pay Clawback Puts Wall Street Executives on Notice
“Compensation is going to be a much more political process going forward. You’re going to based not only on your merits but what is politically attractive at the moment,” said Alan Johnson, managing director of compensation consulting firm Johnson Associates. Reuters / September 28, 2016 READ ARTICLE
Read MoreIt’s Getting Much Harder to Bring in $1M a Year in Asset Management Sales
“Most [asset management] sales today involve lots of people – it’s not the stereotype of an individual salesman going around picking up orders,” said Alan Johnson, the founder and managing director of Johnson Associates. “With most fund firms now having a distribution strategy across multiple channels, it requires a more nuanced comp system, more of…
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