This is all you need to know about the new global report on the evolution of bonuses

The Institute of International Finance has produced a new report titled, 'Compensation Reform in Wholesale Banking 2011: Assessing three years of progress."

It confirms what many of you will already know: salaries are higher, bonuses are more likely to be deferred, guarantees are fewer.

But there are some surprises.

1) Guarantees have fallen less than expected - but there may be a reason for this

For anyone earning more than 500k, the FSA says guaranteed bonuses can only be paid out in exceptional circumstances. There are significant exemptions for anyone earning less than 500k, at which level the FSA is fine with bonuses as long as the guarantee accounts for no more than 33% of the total package. In the UK, there are also various other restrictions on guaranteed bonuses, and multi-year guarantees are frowned upon globally.

Surprisingly, therefore, the IIF's report reveals that guarantees offered to new hires actually increased between 2007 and 2010. In 2007 they accounted for 7.1% of the bonus pool; in 2010 they accounted for 8.5%.

Notably, however, the FSA's new remuneration rules only came into effect in the UK this year, making it unsurprising that guarantees were a significant proportion of the 2010 bonus pool. This year, heads of recruitment tell us they are trying to pull back from offering guarantees to anyone below VP and that guarantees are increasingly word of mouth rather than in writing.

2) In 2008 a lot of people got retention bonuses, but they are now banned in all but exceptional circumstances

Guarantees to existing employees reached 6.5% of the total in 2007. In 2010, they were only 2.2% of the total. The FSA has banned retention bonuses, or buybacks, except in situations where a restructuring is occurring. Retention bonuses are likely to remain low in future.

3) A higher proportion of bonuses are deferred

In 2007, 23% of the bonus pool was deferred. In 2010, 43% was. As your bonus

increases, more is deferred. In 2010 the marginal deferral rate was 68%.

4) Deferral periods are growing

90% of bonuses vest over three years; 20% vest over four years. Deferral periods are lengthening.

5) Risk professionals get low bonuses

The average risk professional received a bonus equivalent to 30% of his/her total compensation for 2010. That bonus was not related to the profitability of the firm as a whole.

6) Clawbacks could become more punitive in future

Among other things, the IIB is pressing for banks to clawback already vested compensation in cases of gross negligence and malfeasance. They also want deferred compensation to be reduced in the event of 'risk behaviours' (rule breaking) and 'risk outcomes' (losses). Banks like Credit Suisse have these provisions already.