Another day, another report on banking bonuses. This time it concerns Barclays Capital, which is said to have paid staff generously.
The Telegraph reports that bankers at Bar Cap pocketed an average bonus of 250,000 last year, following a 36% rise in the bank's bonus pool to 1.1bn. Barclays is reported as saying that the healthy payouts reflect the division's 'outstanding' performance.
Headhunters told eFinancialCareers that Bar Cap's bankers are distinctly pleased with their windfall. "Barclays has paid at the top of the market, alongside Deutsche and Goldman," said one. "People have been well looked after in all the core areas, like DCM, leveraged finance, real estate and FIG."
Barclays Capital has added 3,200 staff in the past two years, with most senior hires joining on guaranteed bonuses. Many of these guarantees are understood to last for two years, meaning that some of Bar Cap's senior bankers will end this year without a bonus safety net. They are apparently unperturbed however. "A lot of these guys are expecting to be paid up again in 2006," says the headhunter.
Pre-tax profits at Barclays Capital rose 25% to a record 1.3bn (€1.9bn) last year.