Yes, but earnings are down 100%+ (the banks are LOSING money). So, if earnings are -100%, but you’re only down 50% – personally, I think the banks are really giving their shareholders short shrift…. bonuses should be down even more. That bonus payout number is still $19 billion (I believe it was $39 billion in 2007).
Investment banks have always been run more for the benefit of their management and employees, than for the shareholders. Yes, I know that much executive comp is in options and restricted stock grants, but it is still a small percentage of ownership of the overall market value of the firm.
It was pointed out a few weeks ago that Morgan Stanley employees could take the amount budgeted for their bonuses this year and buy the entire firm at the then current stock valuation.
Yes, but earnings are down 100%+ (the banks are LOSING money). So, if earnings are -100%, but you’re only down 50% – personally, I think the banks are really giving their shareholders short shrift…. bonuses should be down even more. That bonus payout number is still $19 billion (I believe it was $39 billion in 2007).
Investment banks have always been run more for the benefit of their management and employees, than for the shareholders. Yes, I know that much executive comp is in options and restricted stock grants, but it is still a small percentage of ownership of the overall market value of the firm.
It was pointed out a few weeks ago that Morgan Stanley employees could take the amount budgeted for their bonuses this year and buy the entire firm at the then current stock valuation.