Deal makers and employees at private equity firms are expected to receive the biggest bonus increases this year on Wall Street, according to a forecast by compensation consulting firm Johnson Associates.
Overall, however, year-end incentive payments on Wall Street are expected to be broadly flat compared with last year, the consulting firm said.
Advisers for mergers and acquisitions can expect a 10-20 percent rise in bonuses this year, and private equity employees can expect a 10-15 percent increase, Johnson Associates said.
Global M&A activity hit $2.64 trillion by the end of July this year, up 41 percent from the same stage last year, led by a 66 percent surge in the United States, a 74 percent jump in China and a more than two-fold increase in deals in Britain.Equity traders can expect bonuses to remain flat or rise by as much as 10 percent this year, while professionals in the volatile and risk-heavy business of fixed-income trading can expect bonuses to remain flat or fall by as much as 10 percent, according to the forecast.
Bonuses for asset managers are also expected to remain flat or rise by as much as 5 percent.
Bonuses for investment banking underwriters could remain flat or decline by as much as 10 percent, Johnson Associates said.