Lunchtime Links: Credit Suisse reveals all about its deferrals, clawbacks and toxic asset scheme

Credit Suisse has published its remuneration report.

There is some new information in it. We suggest that the most interesting elements are as follows:

1) Beyond 85k, 65% of CS bonuses are deferred

CS provides detailed data on its deferrals policy. Up to CFH125k, just 35% of your bonus is deferred. Between CHF125k and CHF750k, 65% is deferred. Beyond CHF750k, 70% is deferred.

This is fairly nasty: at Deutsche, for example, deferrals kick in at 65k, but start at just 20%.

2) The clawbacks are very generous

What Credit Suisse lacks in terms of cash bonuses, it compensates for in lenient clawbacks.

At Deutsche, for example, deferred bonuses are clawed back in their entirety if either you or your division happen to make a loss in a particular year.

At Credit Suisse, a mere loss will not trigger the clawback.

At Credit Suisse, a division would have to make a loss of CHF6.7bn before awards in the 'adjustable performance plan' were wiped out entirely. Even if the division made a loss of CHF2bn, the plan would be adjusted downward by only 30%.

3) The toxic asset bonus scheme HAS substantially increased in value

A few weeks ago, we suggested that Credit Suisse's toxic asset bonus scheme (AKA the Partner Asset Facility) was probably worth quite a lot these days.

This does, indeed, appear to be the case. Since the scheme was created in 2008, the assets in the pool have increased in value by 57%. Unfortunately, the first tranche can't be sold until 2014. With luck, it will have increased in value even more by then.

4) Credit Suisse is keeping the horrible clause saying that MDs have to repay cash bonuses if they leave voluntarily within two years

Headhunters claim this is unworkable and had predicted it would disappear. It hasn't. If you're an MD and you leave CS you have to pay back your cash bonus for the two previous years.

And in other news:

Brady Dougan's being paid 34% less. (Bloomberg)

Michael Sherwood is positioned to succeed Lloyd Blankfein. (DailyMail)

The softly spoken Mr Blankfein had arrived at the courthouse before 8.30am and took the stand about two hours later, wearing a dark blue suit and royal blue tie. (FinancialTimes)

Bloomberg wants another 500 research and development professionals; only the paranoid need apply. (Wallstreettech)

A nascent investment bank is hiring in India. (EconomicTimes)

Morgan Stanley traders think commodities revenues will rise 50% this year. (Financial News)

JPMorgan Treasury Services has hired many hundreds of people in Asia Pac. (IEWY)

Deutsche has lost a key member of its Chinese investment banking team to Citi. (FinanceAsia)

Macquarie pays badly and will lose all its people. (Financial News)

The combined effects of the increased bank levy and end of offshore benefit trusts could cost banks up to 5bn in additional costs over the next five years. (Financial News)

Employees will no longer be able to claim tax relief for cab fares home if they are working late. (Financial Times)