Citigroup is said to have paid its equity researchers some very disappointing bonuses. JPMorgan, for one, is hiring equity researchers. Is this why, having banked their allegedly poor payouts, Citi's equity researchers are making for the door?
We can't say. But what we can say is that more of Citi's equity researchers have escaped.
Following the recent departures of Alastair Johnson, Adrian Cattley and Ruchi Malaiya from Citi's equity research team, we now understand that Dominik Frauendienst (a director on the chemicals team), Dimitri Kallianiotis (a VP on the telecoms team) and Jonathan Beake (a VP on the medical technology team) have all left too. Their destinations are unclear. Other Citi equity researchers are also said to be working up to their resignations.
Citi declined to comment on allegations that its bonuses were disappointing. However, the US bank points out that it's still investing in equity research and has been hiring to compensate for the departures. A spokesman said: "Delivering market leading equity research is an important part of Citi's overall client offering. We continue to invest in the product, with the goal of delivering the highest quality company, sector, economic and geographic insights to our clients globally."