This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Lose the Drama and Give Markets Their Due

But the lead in the article is buried. In fact, it's worse than buried, it's not even there. To wit: With UBS the first firm to take such drastic measures to limit its traders and investment bankers to such (comparatively) subsistence level bonuses, how many might bolt?

An executive search firm official is quoted as saying that other firms might follow suit, but if they don't or if they keep the cash ceiling higher, what does this mean for UBS? Doesn't a central issue in the future of talent retention for Citigroup (C), UBS, Merrill Lynch (MER) and Morgan Stanley (MS) in these troubled times stand as this: Are the firms with the most constricting bonus crackdowns going to lose top-tier people to those still giving cash out with a ladle?

After all, that is what happens in a dynamic system.

Well, just as we did not read any anticipatory writing about what people might do instead of going to Broadway, still spending money, we don't hear what capped-out UBS traders and investment bankers might do instead of accepting such meager rewards. Remember, in capitalism, there are never offers you can't refuse.

But the Journal just told us what Wall Street usually does during market slumps, how $750,000 is a lot in other fields, how they will receive two kinds of stock. They refer to "morale" at the firm suffering without mentioning that those will low morale might see it lifted by jumping to a firm that caps cash bonuses in the million-dollar range. Instead they quote an analyst saying that if you are getting a $750,000 bonus, you are only bringing home $350,000 after taxes anyway. But, uh, if you get a $1,000,000 bonus, you are bringing home $550,000.

3 of 4

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,030.21 +6.04 0.03%
S&P 500 2,081.88 -0.29 -0.01%
NASDAQ 4,773.4720 +8.0480 0.17%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs