Lunchtime Links: "Tin-eared" bankers should only get 17% of bonuses in cash
Sir David Walker's long-awaited review into corporate governance practices at UK banks is now hot off the presses. And, of course, everyone has largely ignored the issues around the boardroom, and instead focused on what exactly will happen to banker bonuses.
Any big-hitters taking home more than 1m will not have to be named (as was initially suggested), but firms will be required to reveal just how many people are earning more than this. The Telegraph says this is around 1,000 people in the City.
More worryingly, as Financial News points out, Walker proposes that just 17% of bonuses could be paid in cash, and that the remainder should be deferred from 2011. The UK should not be afraid to stick its neck out on this, Walker said in an interview.
In an audacious attempt to steal Walker's thunder, typically inflammatory comments from City minister Lord Myners are featured in the Guardian. He accuses bankers (specifically Lloyd Blankfein) as being "tin-eared" over calls for bonus reforms.
"Many banks have earned large profits this year from remarkably benign conditions - conditions created by the interventions by governments across the world, profits that owe very little to the talents and skills of individual traders or investment bankers," he said.
"This will cause howls of outrage from the banking community." (Financial Times)
Banks (and celebrities) with the most exposure to Dubai (Alphaville)
Morgan Stanley makes senior fixed income hire in Asia (Bloomberg)
"There were very few things that would persuade me to come back to money management, but China is the only thing. That's why I've decided to give up sitting on the beach. This is why I've decided to delay my retirement." (Bloomberg)
Lloyds directors under fire over HBOS (Times)
"Lehman was divided into two tribes - loyalists who were in awe of King Fuld and a new breed who understood 21st century finance." (Financial News )
Jay-Z visits Goldman's hood (Guest of a Guest)
