A very tough year.
Bank of America cut the bonus pool for interest-rate traders by 15% to 20% as revenue fell, said two people with direct knowledge of the matter.
Bloomberg News reports that senior traders probably got larger percentage drops than lower-paid personnel, according to the people, who asked not to be identified because the awards are confidential. Employees across the firm’s trading units were told the size of their 2013 bonuses last week and will be paid February 14, the people said.
'Rates guys were among the worst hit last year', Michael Karp, CEO of recruitment firm Options Group, said in a phone interview. 'It was a very tough year in terms of keeping up with the markets and generating revenue'.
Interest-rates trading revenue at the 10 largest global investment banks fell 40 percent in the first nine months of last year, and probably dropped 42 percent for all of 2013, according to industry analytics firm Coalition Ltd.
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