The Calculus of Investment Banking Compensation (The Deal)
For thousands of investment bankers who toiled on Wall Street during the heady days of the mid-2000s, 80% of success, to borrow a line from Woody Allen, was just about showing up. In those precrisis, high-profit times, almost every banker working at a major firm could count on receiving an extra reward in their paycheck come bonus time, largely to compensate for what was viewed as their relatively low fixed salaries.
But no more. Under increased pressure from shareholders, lawmakers, regulators and the public at large, earnings-strapped Wall Street banks are now much more selective about who receives the top rewards -- and what those rewards consist of. [read full story at the deal magazine]
The Wall Street Prep Quicklesson Series
7 Free Financial Modeling Lessons
Get instant access to video lessons taught by experienced investment bankers. Learn financial statement modeling, DCF, M&A, LBO, Comps and Excel shortcuts.