Tuesday's Headlines: Shrinking industry hits young bankers especially hard
Young bankers are having second career thoughts. According to a New York Times article, the tough economy and shrinking financial sector has been particularly tough on younger Wall Streeters.
The number of investment bank and brokerage firm workers between the ages 20 and 34 dropped by 25 percent from the third quarter of 2008 to the same period of 2011 -- a loss of 110,000 jobs from layoffs, attrition and voluntary departures, the Times reported. Industry-wide, headcount dropped by 17 percent during that period, and by just 11 percent for those aged 55 and older.
Some large firms are not recruiting entry-level analysts this year, and top business school graduates are more anxious about their job prospects than ever. Say the Times: "For many of the high-achieving, type-A young professionals who end up on Wall Street, being tossed around by an industry in tumult can amount to the first real failure of their lives. Even if the industry recovers, some may not stick around long enough to see their fortunes improve."
The shrinking financial sector is leading to panic attacks, binge drinking and chest pains. [Businessweek]
Banks wonder if they are shrinking permanently. [Reuters]
Blackstone plans for at least $500 million in India deals annually. [Reuters]
BofA was warned that it will face public enforcement if it doesn't strengthen. [WSJ]
MetLife's new CEO Steven Kandarian reorganized the insurer's business structure into three geographic regions; senior management shakeup ensues. [WSJ]
The Tokyo Stock Exchange will merge with the Osaka Securities Exchange to create the world's third-largest exchange in a $1.1 billion deal. [DealBook]
British mortgage lender Paragon is on the hunt for new acquisitions. [Reuters]
UK inquiry deems banking executives' pay corrosive. [Businessweek]