Hedge fund managers, investment bankers and commodity traders are among those set to receive seven-figure bonuses at the end of the year.

 

The scale of the payouts as Gordon Brown condemned the levels of remuneration among City firms and called on the financial community to show restraint.

 

"I'm angry at irresponsible behaviour," he said. "Our economy is built around people who work hard, who show effort, who take responsible decisions, and where there is excessive and irresponsible risk-taking that has got to be punished."

 

"I took a salary freeze and said there should be no rises for the cabinet."

 

However, an analysis by the Centre for Economics and Business Research (CEBR) found that City workers are likely to receive £3.553 billion in bonuses this year and £2.769 billion in 2009.

 

This is a sharp fall from the £8.5 billion received last year but still represents a generous windfall. Richard Snook, CEBR's chief economist said: "This is not the end of the bonus system. But there is a new culture of bonuses around. The million-pound plus bonuses are going to be few and far between."

 

Douglas McWilliams of the CEBR added: "Those bonuses that will continue to be paid this year are likely to be focussed on junior staff and on a few key individuals that companies wish to keep. Clearing banks are unlikely to pay much in bonuses if at all this year, though some hedge funds, particularly those who have done well out of the market turbulence, may still be in a position to pay out megabucks to a few star performers."

 

The Government is expected to curtail executive pay and bonuses at banks taking part in the £50 billion emergency bail-out scheme. Banks which are partially-nationalised under the scheme are likely to have to agree to limit or scrap bonuses to directors.

 

The Financial Services Authority (FSA), the City regulator, is also reviewing the bonus system. The structure of bonus payments is thought to have encouraged traders to take reckless short-term risks which has contributed to the current financial turmoil.

A number of secretive City traders are thought to have made tens of millions of pounds by betting that banking and other shares would fall this year. Regulators stepped in last month to ban short-selling - a technique used by traders to profit as shares fall in value.

 

Michael Spencer, the owner of City dealing firm ICAP, said: "It was like the last few years there was a big party going on and we knew somebody would have to pay for it….We're paying with an almighty hangover for our massive party."

 

But he added: "Bankers have dropped to pariahs…..It's a total over-reaction."

 

Source: Daily Telegraph

 

Have some people no shame!

A number of secretive City traders are thought to have made tens of millions of pounds by betting that banking and other shares would fall this year. Regulators stepped in last month to ban short-selling - a technique used by traders to profit as shares fall in value.

Those deserve a bonus, after all they are brighter then the rest that didn't see it coming.

But why are we rewarding the failures? :wacko:

 

A new high tax on bonuses would seem to be welcomed by the public at this time.

Those deserve a bonus, after all they are brighter then the rest that didn't see it coming.

 

Those who engage in "Short Selling" deserve bloody PRISON sentences if you ask me, they're doing the sort of stuff that Nick Leeson did, and he got banged up for it.... These people make the problem even worse, "short selling" does nothing to actually help the deeper crisis....

 

It doesn't half make me laugh when I hear about the Chief of Bradford and Bingley helping himself a nice 6-figure bonus... For what...? Abject bloody failure as far as I can make out.... The guy who moaned that bankers are dropping to Pariah level in our society should take note, that there's a damn good reason WHY we all hate them just now..... These buggers foreclose on the mortgages of ordinary folks, chuck them out of their homes, and then when they fukk up they walk away with a nice "bonus" or a "golden parachute"..... It isn't fair or just, and it needs to be rectified.... Before we see the sights of bankers and City Traders being strung up in the streets.....

Those who engage in "Short Selling" deserve bloody PRISON sentences if you ask me, they're doing the sort of stuff that Nick Leeson did, and he got banged up for it.... These people make the problem even worse, "short selling" does nothing to actually help the deeper crisis....

 

You mis-understand what short selling is. Reading those trash papers again have you? Whereever you are getting your information from it's p*** poor. A short sell is just a bet that the stock market will go down.

 

One of the biggest short sellers in recent times is believed to be 'George Soros'

http://www.pbs.org/moyers/journal/10102008/watch.html

This guy knows his stuff. I have respect for someone who know what they are talking about, much better then those you think they know what they are talking about but really don't have a clue.

 

You mis-understand what short selling is. Reading those trash papers again have you? Whereever you are getting your information from it's p*** poor. A short sell is just a bet that the stock market will go down.

 

One of the biggest short sellers in recent times is believed to be 'George Soros'

http://www.pbs.org/moyers/journal/10102008/watch.html

This guy knows his stuff. I have respect for someone who know what they are talking about, much better then those you think they know what they are talking about but really don't have a clue.

But by dealing in such large numbers of shares it becomes a one-way bet. The very fact that someone sells huge numbers of shares (which they have merely "borrowed") is bound to lead to a fall in price.

But by dealing in such large numbers of shares it becomes a one-way bet. The very fact that someone sells huge numbers of shares (which they have merely "borrowed") is bound to lead to a fall in price.

 

Exactly... It's a self-fulfilling prophecy innit....? And is especially irresponsible in a time of great financial uncertainty.... These idiots making these "bets" have absolutely no idea, or else couldn't care less about the very real effects upon the workers within that particular industry or company that they're "betting" is going to fail.... Speculators are c/unts, end of story, they're just a bunch of Gordon Gekko, "greed is good" types who dont give a damn about the consequences of their actions.. Still, Inifinity is in great company in thinking that these people are actually in some way "admirable", I read Boris Johnson's toadying to these City Types with much amusement.... :rolleyes: