Bonuses for Money Manager Execs Could Drop by 5%

Executives at traditional asset management firms can expect to see their 2019 year-end bonuses either remain flat or decline by 5% from the previous year, according to a report from compensation consultant Johnson Associates. Johnson Associates’ third-quarter report added that professionals within the hedge fund and private equity industries, meanwhile, are projected to see an…

The Paycheck Prognosis

It used to be a straight shot from what the markets did to Wall Street and asset management paychecks. This is the first year those two have diverged significantly, according to Johnson Associates’ yearly analysis of incentive compensation… “If you look from January 1st, the markets look terrific,” said Alan Johnson, the founder and managing…

McDonald’s CEO Ouster Puts Pay, Severance Policies in Spotlight

Alan Johnson, managing director of New York-based Johnson Associates, said pursuing clawbacks—which he dubbed the “nuclear weapon” of pay disputes—requires careful consideration. “If you get into these personal, behavioral issues it just gets really tricky,” Johnson said. While embarrassing episodes such as an extramarital affair, DUI, or personal bankruptcy might raise red flags, Johnson said…

Is It Time to Start Including Comp Ranges in Job Postings?

But Alan Johnson, managing director at Johnson Associates, a New York-based compensation-consulting firm, says he’s “leery” of including a salary range in job postings. He’s more open to the idea of companies publishing a data point—like a minimum salary—instead of a range because it’s all about managing expectations. “If you hire someone but their salary…

In a Rare Move, Comp Changes for 2020 Announced Early

Alan Johnson, CEO at compensation consultancy Johnson Associates, believes it’s clear that Argo’s corporate governance changes are the direct result of a proxy contest led by Voce Capital… Shareholders’ concerns over Argo’s pay design were likely due to the fact that its LTIP plan was an outlier. Indeed, Johnson is surprised that Argo didn’t already…

Manning & Napier Seeks to Be Leaner, Focus on Wealth Clients

For institutional investors and consultants assessing the health of money managers, there isn’t necessarily a direct relationship between desired headcount levels and AUM at firms, “especially in today’s market where revenue plays a larger role given the wide range of fee structures for different products,” Francine McKenzie, managing director at compensation consultant Johnson Associates Inc.,…