If, like us, you thought proposals to cap compensation had been killed off by a combination of Alistair Darling and Timothy Geithner, you may be disappointed. In articles today, both The Times and The Telegraph suggest caps are back from the dead, and back on the agenda of the G20.
The Telegraph's take on the issue is the less troublesome of the two. It says the G20 will resist calls for a cap on the absolute value of bonuses, but may impose caps on the value of the bonus pool as a percentage of profits at banks with low capital reserves. The Times, however, simply says, 'Regulators around the world will be handed new powers to limit the share of profits that banks can spend on bonuses.' It also says that Gordon Brown is warming to the notion of such limits.
The EU wants to limit bonuses even if the US doesn't. (Reuters)
Tobin tax gaining ground in Europe. (Reuters)
Krugman wants to cap pay. (NY Times)
BofA paying $425m to escape the Merrill guarantee. (Independent)
BofA board considering its options if CEO is charged with fraud. (Jacksonville Business Journal)
SocGen boss says he's not worried about losing talent. (Bloomberg)
RenCap is 'significantly building' its London team. (Financial News)
Credit Suisse wants to hire 600 private bankers between now and 2012. (Wealth Bulletin)
Credit Suisse aims to add 200 private bankers a year instead of its previous goal of 300. (Bloomberg)
The City of London's tentative recovery. (Wall Street Journal)
"There is too much mathematics in this business. I just want people to stop and think for once." (Bloomberg)
"This bull market is sponsored by HMG and everyone should enjoy it." (Telegraph)
JP Morgan bumps up its food allowance. (Dealbreaker)
Banking wives are going back to work. (NY Times)