Wall Street Bonuses Projected to Jump for Second Straight Year
Bloomberg
Wall Street bonuses are projected to jump for the second year in a row as market volatility fuels trading demand and dealmaking makes its long-awaited comeback.
Investment bankers, traders and wealth-management professionals are all poised to see increases in their year-end incentive pay, according to a report Wednesday from compensation consultant Johnson Associates Inc. Equity traders who help investors position their stock bets may see the biggest gains, with payouts set to rise as much as 25%, fueled by market swings.
“This is an unusually positive year across all sectors,” Alan Johnson, managing director of Johnson Associates, said in an interview. “The economy and financial markets have held up. And the banks have benefited from continued volatility.”
Market volatility and uncertainty will affect some parts of the financial industry more than others, with retail and commercial banking particularly vulnerable. Bankers in those fields are poised to see their incentive pay flat to up 5%, Johnson Associates said, with lending activity lower and provisions for credit losses higher.
Bloomberg / November 5, 2025
