UK
Given that M&A is at a 40 year low, it would be churlish to assume that M&A bankers might be well rewarded this year.
Alan Johnson, the Wall Street compensation guru, has already decided as much: in his recent analysis of advisory bankers’ 2009 bonus prospects he forecast a 10-15% decline.
This may be optimistic. As the graph below from the Wall Street Journal reveals, advisory revenues at most banks are less than half their levels of 2008.
The worst hit will be investment bankers at BofA Merrill Lynch, who have been leaving in droves in possible anticipation of the size of this year’s payouts.
Source: Wall Street Journal
Sarah – of course the overall M&A activity has dropped and the fees are lower – but so has the overall headcount in this business. On a fee per headcount basis, i dont think the picture is as bad as your graph reflects.
anyone got a view on associate and VP total comp for 2009?