| Business is booming for Wall Street investment banks. Most had a record first quarter; many are forecasting that 1996 will be a bumper year, perhaps even on a par with 1993. But the mood among a lot of investment bankers is one of gloom. The past two months have seen more finance professionals switching jobs that at any time we can remember. There is a general dissatisfaction among investment bankers with the size of their compensation, particularly with the meagreness of the bonuses many received in March and April to reward them for their efforts last year. There are times when, almost unconsciously, Euromoney reflects the mood of the financial markets by a coincidence of the subjects we choose to cover. Many of the articles in this month's Euromoney reflect the upheaval of personnel in New York and London. A number of factors have come together to produce the current mood. Investment banks are probably more tightly managed than ever before. After the down-turn in 1994, when profits plummeted, many banks cut staff drastically and pared bonuses. Employees found it hard to complain: they could see the poor profitability and, besides, had nowhere else to go. |