This time last year, New York-based search firm Options Group was issuing some dire predictions for bonuses in London. This year it seems to have left that function to the CEBR and is instead restricting itself to predicting a lot of zeroes at bonus time.
20% of employees at 'Wall Street bank' won't be getting bonuses at all for 2012, says Options Group. However, among the remaining 80%, some will still be paid up. The fortunate few include credit traders: last year, a VP-level credit trader should have earned $720k according to Options Group's estimations, this year a VP-level credit trader should earn $800k. VP-level cash equity traders are becoming poorer and poorer by comparison: this year, Options Group thinks their pay will fall to $290k from $370k.
Separately, Andrea Orcel has been speaking out about the bludgeoning at UBS. It was a, "no brainer," he told the Wall Street Journal. Interestingly, Orcel also revealed himself as an old school advisory-banker as opposed to an avid-cross seller. It doesn't matter that UBS doesn't have the full panoply of investment banking products because clients aren't interested in bundling, Orcel told the WSJ. Clients don't bundle, he said - 'good advice will always win out, even if there isn’t a full suite of products behind it.' Does this mean that advisory bankers at JPMorgan and Bank of America, who are fed up with bundling, will be able to move to UBS for advisory purism? Maybe.
UBS is shifting 30 of its CMBS bankers to Situs, a Houston-based mortgage consulting firm. (Bloomberg)
UBS is looking for a lodger in its Frankfurt office. (Reuters)
Unicredit - first bank to lop off an entire division (European equities) is profitable again. (Bloomberg)
10 senior RBS traders have been approached by US justice officials about LIBOR fixing. People could yet be extradited. (The Times)
Brevan Howard is hiring hiring Josh Bertman, a mortgage trader from Credit Suisse. (Finalternatives)
“Perhaps this is just a safe haven while the market improves, and then [Leucadia] can spin Jefferies out to a European bank at an attractive price.” (WSJ)
If you are going to make partner at Goldman Sachs, either Gary Cohn or Lloyd Blankfein will call you at 13.30 GMT tomorrow. (Reuters)
41 year old female banker earning more than £400k reads 50 Shades of Grey and divorces husband for low libido. (DailyMail)