eFinancialCareers: Wall Street Bonus Expectations on the Rise

Share Article

eFinancialCareers' latest Bonus Expectations Survey reveals that nearly half (48%) of surveyed Wall Street employees expect their bonus this year to be higher than the bonus they earned in 2011. That’s up from last year this time when 41 percent of survey respondents believed their annual bonus would increase.

Nearly half (48%) of the Wall Street employees surveyed by eFinancialCareers.com expect their bonus this year to be higher than the bonus they earned in 2011. That’s up from last year this time when 41 percent of survey respondents believed their annual bonus would increase.

High expectations from employees working for alternative asset and long-only asset managers are contributing to this result. The lows are registering at bulge brackets and broker-dealers, where respondents were the most pessimistic.

Firm and department performance have gained in importance in driving anticipated bonus increases, capturing 38 percent of respondents’ votes vs. 31 percent last year. But personal performance still calls the shots, with 41 percent of respondents holding their own performance responsible for the expected increase.

More respondents believe that bonuses will be as big a share, or more, of total compensation this year compared with last, but with the deferred compensation component increasing: among those who expect some of their bonus to be deferred, the proportion of those expecting a higher proportion of their bonus will be deferred has doubled in the last 12 months, from 13 percent in 2011 to 26 percent in 2012.

The bulls are inching back into the ring: 58 percent of respondents say they expect bonuses to increase or remain the same over the next three years, up from 54 percent a year ago. The mood is lifting with more respondents believing that bonuses will increase and less believing they will decrease. Of those who believe bonuses will increase in the next three years, over half (53%) are convinced bonuses will return to 2006-2007 levels. On the flip side, 42 percent say they expect bonuses to decrease between now and 2015, compared 46 percent last year.

Compensation seems nearer and dearer to Wall Street’s hearts. Over 4 in ten (44%) Wall Street professionals tell us that money is the most important reason why they work in the financial markets. That’s 5 percentage points more than last year.

About the Survey

The 2012 eFinancialCareers Bonus Expectations Survey took place in the United States between September 25 and October 3, 2012 with 911 currently employed financial markets professionals, with 48 percent of those working in the front office, 27 percent in the middle office and 25 percent in the back office.

About eFinancialCareers

eFinancialCareers, a Dice Holdings, Inc. service, is the leading global career site network for professionals working in the investment banking, asset management and securities industries. The website provides financial services professionals with job opportunities, job market news and analysis, salary surveys and career advice. Recruiters and employers can post jobs targeting specific sectors within the financial services industry, both buy-side and sell-side, and can search the resume database for highly qualified and specialized professionals. eFinancialCareers has a network of co-branded career sites with industry-leading trade publications and offers local websites in 19 markets and five languages primarily across North America, Europe, the Middle East and Asia-Pacific.

Media Contacts:

For media enquiries or to arrange an interview with Constance Melrose, Managing Director eFinancialCareers Americas, please contact:

Anne Bourgeois

Share article on social media or email:

View article via:

Pdf Print

Contact Author

Anne Bourgeois
Visit website