One Of The 'Most Dangerous Bankers In The World' Is....

Josef Ackermann

Deutsche Bank CEO Josef Ackermann.

That's apparently according to German Daily Die Tageszeitung's interview with former IMF chief economist Simon Johnson, who is said to believe that Ackermann was 'dangerous' as he encouraged his bank to aim for excessive profit targets (a return-on-equity of 25%), knowing that Deutsche would have to take big risks to achieve this target, and that should it run into trouble it would be bailed out by the German taxpayer.

Johnson has long said that banks need much tigher capital controls if we are to avoid another financial crisis, while Deutsche has always rejected the notion that its 25% ROE is unrealistic (or dangerous), given that German industry as a whole has generated average returns on equity of over 30% between 1994 and 2007.

In the meantime, The Wall Street Journal reports that, according to SEC calculations, Morgan Stanley CEO James Gorman ended up with a $15.2m total compensation pot for his work in 2010. This included a bonus of $3.9m ($1.6m in cash), and $10.2m in restricted stock. Walid Chammah, head of the firm's international operations, also bagged $15.2m, while former COO Thomas Nides got $14m and asset management head Greg Fleming received a total of $13.2m. CFO Ruth Porat got $11.7m.

Finally, Bloomberg reports that Citi, Credit Suisse and Morgan Stanley are to co-manage Glencore International's London IPO, which could end up raising $11bn. Goldman Sachs isn't one of the nine banks which will work on the deal, as it has never had a close relationship with the commodities firm.

Sources - , Bloomberg, The Wall Street Journal

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