Morgan Stanley has reserved $4.19 billion during the first half of the year to compensate investment bank employee wages, bonuses, benefits, which is 10% over the budget from last year.
The pay for those who are working at the institutional securities unit went up by 39% compared to last year. The allotted funds for these traders and bankers were 48% of the revenue. However, the revenue of the unit was down by 11% to $8.78 billion during that period. In general, compensation and benefits for the whole company amounted to $9.01 billion which is 9% higher than last year’s.
Morgan Stanley reserved more cash for employees despite the criticism from Wall Street on the company’s declining revenue. According to Ruth Porat who is the chief financial officer, “The firm planned a three-year program to cut annual expenses by more than $1 billion.” In the same light, this week, Goldman Sachs Group Inc has announced that they will take away 1,000 jobs due to their plans of decreasing their operational costs by $1.2 billion.
Companywide compensation is the company’s biggest cost was just right to pay each of the 62,964 employees $143,066 for six months which is a higher amount compared to $133,994 for their 61,958 employees back in the second quarter of last year. There are 17,638 financial advisers in the brokerage division and they are all receiving a part of the $4.28 billion reserved for them which is about 9% more than what was allotted for them a year ago.
Tags: investment bank, Business Finance, compensation and benefits, Pay Pool, institutional securities unit, Goldman Sachs Group
"Goldman Sachs' unofficial blog"?
From the linked website
"This website has NOT been approved by Goldman Sachs. This website was designed to provide information about Goldman Sachs to demonstrate how destructive this company is to our lives and the hopes and dreams of our children."
So why do you characterise the blog as "Goldman Sachs' unofficial blog"?
There are too many sequels and I never saw the original 'Wall Street' so the sequel is pretty low on my films to see list.
second quarter because 25% is a quarter and 50% is 2
There is no such thing as an average rain storm. Further, you don't specify over how big an area. However, it's been estimated that a standard thunderstorm (which I'm assuming means moderate intensity) will drop 1,620 trillion raindrops. That number divided by 1 billion yields 1,620,000. As such, it wouldn't take very long at all for an entire storm to produce 1 billion raindrops.