It’s that time of year and bankers’ bonuses are all over the newspapers once again.
Focus on the financial sector has been re-sharpened by the stock market jitters: the EURO STOXX Banking Index is down 22% since the beginning of January and why, what and how bankers are paid has crept back onto the front pages. From the left-wing banker-bashing press proclaiming that bankers should consider themselves akin to civil servants, to the more stoic broadsheets accepting that the boom times are well and truly over; there is plenty out there to read about one of the most polarising topics in the industry.
I’ve read some interesting press releases over recent weeks about bankers expecting higher bonuses this year – I question the validity of this data as that’s not what I’m hearing from my network. I can’t speak for hedge funds / boutiques but the message, almost unanimously across the global banks is that bonus pots are down – again… and in some firms, significantly. It’s worth taking this opportunity to reflect on some of the trends:
Not surprisingly, the bonus and promotions season prompts many to have a look around the market; even if just to validate that they are in the right place after all.
It certainly pays to understand your options and know your worth in this market…. As I wrote before, financial recruitment is changing and last year’s hot topic may well turn out to be tomorrow’s Y2K.