And how much would the risk people at UBS have been earning?

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Following on from our contemplation of Kweku's compensation (around 370k?), it seems apposite to look at the compensation of the other players in the sorry affair: the risk managers.

They were not earning nearly as much. We don't know precisely how much UBS wafts in the direction of its risk professionals, but salary surveys and risk recruiters have long indicated the comparative impoverishment of everyone working in risk. Yesterday Nick Leeson popped up in the Independent saying it too:

But the role of the risk manager is of paramount importance. The individuals in that role should be of the highest calibre. They should be paid well, and they should be able to challenge people. The traders have always been almost untouchable.

How much you earn in risk depends on the kind of risk you specialize in (front office market risk pays the most, operational risk, which bear the responsibility for sniffing out fraudsters, pays the least.) and the number of people you manage.

Priya Mariannie, senior risk consultant at recruiters PSD Group, says MDs in market risk can expect a salary of 200k, plus a bonus of around 50%.

What about directors/VPs at the same level as Kweku? "A VP in operational risk would be on a salary of 100-150k and a bonus of less than 50%," says Sheldon Paul at risk recruiter Cameron Kennedy.

In light of events at UBS, it might be time to pay operational risk professionals a bit more. Across the board, the difference between the haves and have nots in risk has widened since 2008, says another risk recruiter. "People are moving into risk from the business and getting paid a premium," he says, "You can have people at different banks on salaries of 100k or 170k for the same role."

The best bank for risk pay and risk empowerment is allegedly JPMorgan, where the risk consultant says everyone especially wants to work. "JPMorgan are known as a good risk house. Their risk department is valued and paid well for what they do," he claims. "Unfortunately, they rare hire externally."

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