Home News Wall Street Set for Bonus Windfall as Bankers Anticipate Up to 35% Increase in Year-End Payouts

Wall Street Set for Bonus Windfall as Bankers Anticipate Up to 35% Increase in Year-End Payouts

Wall Street Set for Bonus Windfall as Bankers Anticipate Up to 35% Increase in Year-End Payouts

As industry forecasts indicate a significant uptick, bankers across Wall Street are bracing for higher year-end bonuses, marking a notable shift from recent trends. After a couple of lean years, incentive compensation is projected to rise, with

The New York Post

reporting a possible increase of up to 35% for some sectors. This uptick is attributed to a resurgence in deal-making activities, with debt underwriters at the forefront of these gains.

Traders are not being left behind in this positive shift, with bonuses for equity traders expected to jump 15%, while their counterparts in fixed-income may see an increase of 10%. Furthermore, wealth management and asset management professionals are also anticipated to have a brighter end-of-year payout, with incentives ranging between 5% and 10% higher than the previous year. Alan Johnson of compensation consultancy Johnson Associates described the bonuses as reflective of the current market state, claiming, “Wall Street had a couple of difficult years. But it has certainty not got back to 2021 levels,” in a statement obtained by

The New York Post

.

According to

Crain’s New York Business

, the bullish outlook spreads across most sectors in the financial industry. Bankers in advisory roles could see their bonuses grow by up to 10% as merger-and-acquisition activity regains momentum. The increased confidence comes despite potential changes with a new US president and economic uncertainties.

However, not all sectors can expect a similar windfall. Retail and commercial bankers might experience stagnation or a minor decline in their incentive pay, potentially dropping by as much as 5%. Johnson Associates speculate that this could be influenced by lending activity dips, and higher provisions for credit losses, amidst market volatility and a high level of economic uncertainty. “We have climbed part of the hill in 2024, and people will be rewarded for that,” Alan Johnson assured, an insight from

See also  Philadelphia Achieves Prestigious LEED Platinum Certification for Sustainability Efforts

Crain’s New York Business

.

Note: Thank you for visiting our website! We strive to keep you informed with the latest updates based on expected timelines, although please note that we are not affiliated with any official bodies. Our team is committed to ensuring accuracy and transparency in our reporting, verifying all information before publication. We aim to bring you reliable news, and if you have any questions or concerns about our content, feel free to reach out to us via email. We appreciate your trust and support!

Leave a Reply

Your email address will not be published.