Conventional wisdom says the more responsibility you have at work, the more stress you take home. Assumedly, this would be especially true in the scandal-plagued world of finance, where chiefs and division heads work long hours and are responsible for billions of dollars of customer funds.
Yes, Wall Street chiefs like J.P. Morgan’s Jamie Dimon and BofA’s Brian Moynihan make tens of millions of dollars a year, but they must walk around with a pit in their stomach and anxiety pumping through their veins, right?
In fact, it’s the folks below them, making far less money, who are truly suffering, according to a new study.
Research led by Harvard Kennedy School’s Decision Science Laboratory found that lower-ranking employees carry around greater levels of stress and anxiety than industry leaders, mostly due to an inability to fully control their office lives, according to the Harvard Gazette. That calming sense of control increases with a rise in the number of subordinates and sense of authority over those subordinates, according to the research. “Our results indicate that the top dog has less stress. That is quite surprising to some people,” said study lead Jennifer Lerner.
However, stress isn’t eased when a leader has a large number of people directly reporting to them because it indicates greater day-to-day management responsibilities.
The lesson is clear: Get on top, delegate and keep your team of direct reports small.
Former Credit Suisse Exec Jailed (WSJ)
Kareem Serageldin, former global head of Credit Suisse’s Structured Credit Trading business, was arrested outside the U.S. embassy in London for allegedly falsifying books to fake collateralized debt obligations.
U.S. Cuts (Bloomberg)
Nomura Holdings’ reorganization effort (read: cost-cutting) has reportedly reached U.S. shores. The Japanese brokerage house is expected to cut as many as 30 jobs in its Americas equities division before the week’s end.
New Head Looming (Financial News)
HSBC is said to be on the verge of signing the first big name to its corporate broking unit. Simon William Alexander, who left a similar position at Citigroup last month, is earmarked as the new head of the growing business unit.
Another Management Change (Financial News)
Khawar Mann, co-head of Apax Partners’ healthcare-focused private equities business, is the latest top exec to leave. Mann is set to become the chairman of Russian healthcare business Medsi, and will be replaced by Apax partner Steve Dyson.
A Short Stay (FIN Alternatives)
Two prop traders, hired by Tandem Global Management in June to launch a new mortgage fund, left the firm after only a month, and are now bringing their $100 million worth of commitments to New York-based TIG Advisors. Stuart Lippman and David Liu plan to launch their fund on October 1.
Stab in the Back (Reuters)
Kweku Adoboli, the rogue trader who cost UBS $2.3 billion following a series of unauthorized deals, says his former colleagues showed him the way and then “stabbed him in the back” when he came clean.
||Buzz Around the Office
You’re My Dog! (Kid Dynamite’s World)
The phrase “happy as a bulldog jumping on a trampoline” isn’t part of anyone’s lexicon. At least not until now.
List of the Day: Public Speaking
Being able to speak in front of a large audience is critical in making the leap to the executive level. Here are the traits you’ll need to excel.
- The ability to tell a good story.
- The self-awareness to know your strengths and weaknesses.
- The honesty to tell people why, not just what.
(Source: The Daily Muse)