Nomura’s full year results came out today, and it’s frankly a little difficult to see what the addition of all those Lehman bankers has done for the company. Nomura posted its fifth straight quarterly loss and the largest annual loss in its history.

Most interesting though, is what’s happened on a quarterly basis to Nomura’s global markets and investment banking businesses following the Lehman acquisition. Although global markets revenues turned positive in the recent quarter, income in both business areas was significantly negative, and in investment banking it was even more negative than in the three months to December.

It therefore looks like suspiciously as if the costly Lehman bankers aren’t paying their way. Following the addition of the 8,000 Lehman bankers in October, compensation costs at Nomura doubled to 161.8m for the quarter and remained at a similar level in Q109. All things being equal, this implies average compensation per head for Lehman bankers of 10m or around 70k for a single quarter. It may even be higher than this, given that Lehman’s let go of 2,100 people since October.

The bank is clearly a little concerned by its elevated cost base. Accrued bonuses were down 30% year on year in the first quarter. And according to Reuters it intends to eliminate jobs in the UK through voluntary retirement. Whether any of the highly paid Lehman bankers, some of whom are on two year guarantees, will opt to take this route is questionable.

HSBC closing equity research and trading in Japan. (Bloomberg)

Profit down 28% at Greenhill. (Reuters)

Morgan Stanley eyeing changes to its biggest prop trading desk. (Reuters)

Why Morgan Stanley made a loss and Citi didn’t. (LOLFed)

There exists a large body of anecdotal evidence that all says the same thing, that the survivors at Citi aren’t the most effective employees, but rather are the most politically savvy employees. (Clusterstock)

Brussels wants bonus reform. (FT)

Stressful day for the stress tests. (FT)

There’s a definite sensation of ‘what’s next?’ The message is that high earners are not welcome here. (FT)

57% support the 50p tax rate. (FT)

At least you’re not Spanish. (Alphaville)