Lean pickings on the bonus front
As people working in the Australian funds management industry consider the size of their bonuses, they may reflect on the fate of their colleagues in the US and Europe where there will be slim pickings this year, according to a key investment bank spokesman.
The Reuters Finance Summit held in Boston this week was told by James Dunne, chief executive of Sandler O’Neil & Partners, that bonus season was going to be a lot gloomier on Wall Street this year as the credit crunch weighs on payouts.
“Through June we were thinking this would be a blockbuster year, but now you'll see bonuses under pressure,” he said.
The Reuters Summit was told by compensation experts Johnson Associates that, overall, US bonuses were expected to be flat, down 15 per cent this year.
And, according to the Options Group, it will be US financial professionals, who often count on bonuses to make up a significant portion of their compensation, who will suffer the most.
In Europe, the group expects bonuses to shrink by 5 to 10 per cent while the bonus drop in Asia will be as much as 5 per cent.
Recommended for you
Questions have been raised regarding the viability of the current Australian Financial Services licensing regime, and the role that licensees have to play in monitoring and supporting the profession.
ASIC has said it is exploring whether there are concerns regarding Macquarie and Equity Trustees for hosting platforms where investors rolled over their superannuation into the Shield Master Fund.
Almost 30 staff at AMP could be affected by changes to its marketing and communications team, Money Management understands, as it makes two senior hires.
Superannuation fund Cbus has announced it will offer a financial advice offering for its members and their partners called Advice Essentials Plus.