Are you a junior banker? Why not work for…Barclays? It may be in the process of making 7,000 of its investment banking staff redundant, but Barclays loves its junior staff. It’s doing its utmost to ensure they’re not overworked and bullied by senior bankers and it’s just granted them a pay rise.
We’ve reported on Barclays’ policy of placating juniors before, but the pay rise for juniors at the British bank is all new. Bloomberg reports that Barclays is raising pay for its junior bankers by 20-40% and the increase will apply to salaries and bonuses, implying that the overall package is being hiked by this amount (as opposed to be salaries being hiked and bonuses being reduced to compensate).
Why is Barclays being so generous with its juniors? Bloomberg says it’s because they were in danger of leaving for elsewhere. We suspect that it may also have something to do with the fact that US investment banks have already hiked juniors’ salaries and European banks are catching up.
While Barclays’ juniors are being lavished with pay rises and special powers to report upon senior staff who are nasty to them, senior bankers at Barclays are being lightly throttled. Managing directors have reportedly been informed that their entirety of their bonuses are being deferred (again) and they will therefore receive nothing this year at all.
Separately, HSBC is in big trouble over its efforts to help the likes of Joan Collins, Phil Collins, Elle Macpherson and others to avoid taxes by using offshore Swiss bank accounts.. The dubious goings-on included advising clients to send themselves bricks of $100,000 in notes by post in order to avoid alerting the US authorities. The bank points out that it has reduced its Swiss client base by 70% since 2007.
People on the Most Wanted list of Interpol, the international police agency, such as the diamond dealers Mozes Victor Konig and Kenneth Lee Akselrod, are among the HSBC account holders — and so is Elias Murr, who is president of the board of Interpol’s Foundation for a Safer World. (ICIJ)
Credit Suisse has been the worst performing bank this year outside Greece. It’s under pressure to cut more costs from its investment bank. (Bloomberg)
Cantor just hired two mortgage-backed securitization traders from BAML. (Global Capital)
If you’re a research analyst, now is the time to quit an investment bank and join a research boutique. (Financial News)
There is money to be made photographing hedge fund managers. (Bloomberg)
Wells Fargo’s ‘happy;grumpy’ employee ratio is a silly thing. (Financial Times)