Lunchtime Links: Congratulations if you work at UBS; commiserations if you work at RBS
Tomorrow is results day at UBS. The countdown is leading to much excitement about the possibilities of a UBS recovery and the potential size of the bonus pool.
On one hand, things at UBS aren't looking great. Earlier reports that the Swiss regulator had forcibly trimmed the UBS bonus pool by 25% appear to have been true. UBS reportedly wanted to pay out CHF4bn this year; according to Sonntag its bonus pool is, in fact, CHF2.9bn.
On the plus side, however, there's also much in the way of optimism over UBS's golden future. Bloomberg has one breathless article about how Gruebel turned around Credit Suisse and may yet do the same for UBS, and another on how UBS shares may double by the end of 2011 due to their 'colossal' potential. If this comes to pass, being paid in UBS shares this year could turn out to be good news indeed.
Unfortunately, compensation prospects look less bright for people at RBS. The Financial Times reported at the weekend that the bank plans to pay only 30% of its revenues in bonuses, ensuring that it's, 'firmly in the second half of the remuneration league table, hovering just above the relegation zone.' No mention has been made of the 'colossal' potential of RBS shares.
The Treasury is expected to approve a total (RBS) bonus pool of about 1.3 billion. (The Times)
The taxpayer could make 5bn in less than three years on RBS loans in the APS. (Guardian)
UK MPs want to force Lloyds and RBS to lend. (Evening Standard)
Pay bankers with subordinated debt (a la RBS) (Clusterstock)
The top 1% of earners in the UK pay 24% of the annual tax take. (Financial News)
EU hedge fund legislation would trigger systemic failure and widespread market disruption" if it became law. (The Times)
Brevan Howard is nearly ready to open its Geneva office with 50-100 staff. (Financial Times)
Man Group is increasing its graduate intake. (Financial Times)
Creditflux understands that Deutsche has recently moved to re-establish some element of credit prop trading. (CreditFlux)
Standard Bank wants to hire 500 for Hong Kong Wealth management. (Bloomberg)
Barclays Wealth keeps poaching UBS staff in Asia. (Evening Standard)
Banks in India plan to hire 50,000 people this year. (Financial Times)
Global investment banking revenue climbed 12 percent to $66.3 billion in 2009. (Bloomberg)
An extra $100bn to be spent on risk and control activities this year, hiring included. (Financial Times)
How to succeed as a consultant. (Wall Street Journal)
If Thain wanted to spend $1.2m doing up his office now, he would have to save his entire salary for two years to do so. (Alphaville)
