Bloomberg Law
Free Newsletter Sign Up
Bloomberg Law
Welcome
Go
Free Newsletter Sign Up

Wall Street Bonuses Poised to Plunge Following Slowdown in Deals

Aug. 4, 2022, 10:00 AM

A warning for investment bankers who enjoyed lavish bonuses for 2021, when banks opened their wallets to reward busy dealmakers amid a war for talent: don’t expect a repeat this year.

Incentive pay for those underwriting debt and equity could plummet more than 45% this year, while their counterparts advising on mergers and acquisitions could see their bonuses slump 25%, according to a closely watched report Thursday from compensation consultant Johnson Associates Inc.

A monitor with stock-market information on the floor of the New York Stock Exchange on June 27.
Photographer: Michael Nagle/Bloomberg

“2021 was a fabulous year and this is a real downer,” Alan Johnson, managing director of Johnson Associates, said in an interview. “We’ve had ...