Let Them Eat Risotto: 2007 Bonus Projections Are Out
By BankersBall on Nov 7, 2007 in Cube Life, Salaries
Don’t let a little bit of market turmoil keep you from eating that $150 plate of white truffle risotto. The news is not all bad. Two comp firms are out with 2007 bonus projections.
Streetwide, the Options Group is projecting that bonuses will be down 5 - 10%, reports the WSJ. Johnson Associates is projecting no change year over year. (Options Group estimates that bonuses increased 15 - 20% last year and 20% in 2005).
Here are the specifics:
- Private equity, hedge funds and investment bankers: up 10%
- Average investment banker bonus: $2.25MM to $2.75MM
- Bonds & currency: down 15%-20%
- Equities: up 10%
- Mortgages: down 30%
Incidentally, the risotto reference is to a sound bite from Gerardo Bruno, owner of San Pietro, who told the WSJ that “high-powered clientele often discusses huge market losses but still orders risotto with white truffles at $150 per plate.”
On Nov 7, 2007, IBPower said:
Did the article mean the average banker is paid 2.25m or did they mean the average MD?
On Nov 10, 2007, mel said:
the guy above me is an idiot
On Nov 11, 2007, IBPower said:
Yeah, well if you actually read the WSJ article you would have seen the breakdown of pay ranges and maybe if you had a ounce of curiousity you would have noticed that the ranges and the average do not fit with each other. Let me guess you work in Bear’s asset management division or maybe Merrill’s risk management division?
On Feb 14, 2008, wickedbanker said:
People who work in Bear asset mgmt and merrill risk mgmt are idiots. but the guy above me is the first idiot