Dealmakers Tipped for 20% Higher Bonuses After Bumper First Quarter

Investment bankers working on big M&A and equity capital markets deals could be in line for 20% higher bonuses this year after a surge in first quarter revenue. 

“We do expect bigger bonuses this cycle, and they will be heavily skewed toward top-tier dealmakers,” said Chris Connors, a managing director at Johnson Associates. “There is real competition for that talent, and firms are paying up to keep it.” 

Still, the consultant cautioned that its predictions could change. Johnson Associates said in its analysis that “projections [are] fragile given macro factors” and that geopolitical problems and stress in private credit could “slow [the] economy and hamper results”. 

Predicted bonus increases at investment banks compare favourably with expectations on the buyside. Bonuses for private credit professionals are expected to fall by up to 7.5% as liquidity concerns have engulfed the previously buoyant sector. 

Bonuses at large private equity firms are tipped to rise by up to 5%, with secondaries employees expected to book the biggest increases at 10%. 

Financial News London / May 7, 2026