If you're feeling the pinch from a much reduced bonus, this should come as wonderful news: one of the star players of the great bonus shrinking spectacle is said to be increasing basic pay for senior staff. According to an afterthought at the bottom of an article in Financial News, UBS is upping basic salaries for its managing directors to between 200-250k, with some super-senior people even receiving salaries 300k. Higher basics may not compensate for the mass of zero bonuses apparently paid out at UBS, but they're better than nothing. We suspect that other banks may yet do the same.
A real malus should involve a permanent diminution of wealth, not just simple non-payment of a bonus. (Pestowire)
Citigroup wants to be nationalized. (Financial Times)
Markets like that idea. (Business Insider)
"I want to reassure you that I remain very confident in Citi's prospects and business position around the world." (Reuters)
Citi staff in Asia are dumping their stock. (Naked Capitalism)
Lewis insists BofA can stay private. (Bloomberg)
With all that has happened, the new world order suggests an oligopoly of MS, GS, JPM...(Business Insider)
Interdealer brokers still hiring big. (Financial News)
Guy Hands buys out investors, becomes personally liable for €25m of undrawn capital calls. (Financial Times)
Those are your new interns... They're all former investment bankers who were laid off in the economic crash... They've got zero real-world skills, but, God, they work hard.