'The battle ground is remuneration'.
'The battle ground is remuneration', Thiam said at a conference in Paris on Tuesday. 'The business is structurally quite profitable provided the pay can go up and down. It’s the ‘and down’ that they don’t accept;, he said, referring to bankers in the securities unit.
Bloomberg News reports that Thiam is shrinking the investment bank and increasing the lender’s focus on wealth management as regulators step up scrutiny of riskier activities and demand higher capital buffers. The securities operations that emerged from Thiam’s strategic overhaul in October posted the lowest return on capital among the bank’s units in the first nine months of last year.
'A business model where you have a cyclical revenue stream and fixed salary base does not work', Thiam told the audience'.
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