Manager Move Sparks Analyst Bonus Debate

Manning & Napier, an asset manager with $45 billion under management, has devised an unorthodox way of compensating its analysts, penalizing them for selections that cause underperformance in client portfolios and carrying these penalties forward into future years. It says the method more closely links analyst goals with institutional investors, but experts disagree… “It is…

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The Bright Side of Bank Robbery

Morgan Stanley’s reported move to defer 100% of 2012 bonuses for high-earning employees is the crescendo of a trend of big banks deferring more pay in recent years. It’s the second straight year of big deferrals at Morgan Stanley, which a year ago held back 75% of bonuses for traders, investment bankers, and other high…

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Industry Cautiously Optimistic on 2013 Pay: Poll

Many industry professionals are optimistic that their 2013 compensation will be higher than last year’s pay. That is according to the results of an Ignites poll that also found nearly 40% of participants predict they will earn about the same amount this year as last year. Roughly 36%, or 156 voters, expect their total 2013…

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Wall Street Bonuses Running Neither Hot nor Cold

Wall Street bonuses are no longer plummeting, although the “new normal” emerging now is below the industry’s pre-recession heyday. “The revenues of these firms just aren’t good enough. There’s a pretty good alignment between pay and performance,” said Alan Johnson, managing director at consulting firm Johnson Associates Inc. NBC News / November 12, 2012 READ…

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Wall Street Bonuses Set to Rise After ’11 Declines

Wall Street workers, whose bonuses and year-end incentives fell by as much as 30% last year, will see slightly bigger bonuses and stock awards in 2012. “The recovery in financial services continues to be a struggle, and while incentives will be modestly up, few professionals will have reason to cheer,” says Alan Johnson, managing director…

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Bonuses on Wall St. Expected to Edge Up

Wall Street employees, whose paychecks have often been cut in recent years, are likely to get a slight bump in their bonuses this year. The catch: the increase will come on top of one of the worst years for bank pay in recent memory. Year-end incentives, which include cash bonuses and stock awards, will be…

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Wall Street’s Puzzle: How to Cut Costs and Still Pay Well

J.P. Morgan Chase & Co.’s third-quarter results highlight a Wall Street juggling act: how to contain costs amid soft growth and volatile markets without losing highly paid, sought-after workers. The New York company’s investment bank showed a 12% rise in compensation expense in the period ended Sept. 30, to $2.07 billion, while headcount in the…

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