Earlier this week, Deutsche Bank said it would be increasing the proportion of bonuses it pays in cash this year. Today, Bloomberg says the bank is being true to its word: Deutsche is reportedly capping cash bonuses which will be paid out in 2013 at €300k ($409k). The new structure will reportedly include an initial €150k ($205k) in cash, with stock up to $409k available to be sold in August.
Deutsche Bank declined to comment, but if Bloomberg is right the German bank is being very generous. Last year, Deutsche capped cash bonuses at €200k. One of the most generous cash caps for last year's bonuses was at Credit Suisse, where the cap was set at $273k in 2012. Deutsche's new structure raises the bar significantly and will increase the pressure on other banks to raise the cash proportion of their payouts.
Deutsche Bank’s bonus pool has declined 11% and is now $4.3bn. (Bloomberg)
The improvement in Deutsche's balance sheet was most illusory. (Dealbreaker)
Antony Jenkins will be dropping his bonus at Barclays ' to avoid debate.' (Sky)
Barclays could have been a contender. (Financial News)
RBS wants to clawback £100m in bonuses because of Libor. (Sky)
James Gorman’s salary has doubled, but he’s been given a 7% pay cut overall. (Financial Times)
Actually, several senior executives at Morgan Stanley have had salary increases. (Wall Street Journal)
UBS has cut 20 Canadian investment banking jobs. (Bloomberg)
From April 2010, Fabrice Tourre had a year and a half of unpaid leave from Goldman. He stopped being paid in late 2011 and officially let the bank in December 2012. He’s been studying economics at the University of Chicago (Wall Street Journal)
If the UK left the EU, Europe would use its regulatory might to crush the City. (Telegraph)
If no one invests in Seymour Pierce, it will go into administration. (Telegraph)
Additional Myers Briggs personality types. (McSweeney's)
Impoverished bankers underpaying their nannies. (Evening Standard)