Sorry!! The article you are trying to read is not available now.
Thank you very much;
you're only a step away from
downloading your reports.

Quick Hits: No Bonuses for Former I-Bankers?


Brief scrutiny of today's headlines.


The former investment banks are delaying decisions about year-end bonuses until it's clearer how the economy will shake out.

Morgan Stanley (MS) and Goldman Sachs (GS) are converting to regulated retail banks and have delayed the October meetings on bonuses, the Financial Times reports.

Managers have warned that the bonus pools will be smaller and top performers will receive most of the money.

Goldman Sachs says its compensation costs were down 32% in the first 9 months, generally due to smaller bonus pools. Morgan Stanley says its compensation expenses fell 20%. Credit Suisse (CS) said compensation costs fell 43% and UBS (UBS) said first half compensation costs were down 50% for its investment bank.

Delays in determining the size of the bonus pools are playing out against regulatory and investor concern that compensation plans encouraged undue risk.

The FT says much of this year's bonuses are likely to be paid in restricted shares as banks seek to retain cash in the economic downturn.

What are the pro traders saying about your stocks?
Minyanville's Buzz & Banter- 14 day FREE Trial

< Previous
  • 1
Next >
No positions in stocks mentioned.
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.
Featured Videos