Informed sources reveal that executives at leading Wall Street investment Banks are finalizing plans to increase bonuses for traders and trade matchers to the highest level since the pandemic, with many departments expected to increase by 10% or more.
Anonymous sources indicate that this level will be the average increase for investment bankers and equity and fixed income product traders at Bank of America. At Morgan Stanley and JPMorgan, bonuses for traders will increase by more than 10%. For JPMorgan's investment bankers, the payouts will rise by about 15%.
Senior industry executives generally expect some trading teams at Goldman Sachs to receive even higher bonus increases. Spokespeople for all banks declined to comment.
The entire industry had previously maintained restraint on payouts for the past two years due to investment banks struggling to sustain the trading and matching volumes seen at the peak of the COVID-19 pandemic. Just a year ago, the relatively moderate bonus increases for most bank teams were still unable to keep pace with inflation.