Goldman Sachs' boss to be big time rewarded
Goldman Sachs, one of the most influential investment banks on Wall Street, gave to Lloyd Blankfein, General Director, a bonus of $6 million in cash, to be paid over the next three years, if the company will meet certain performance criteria, according to Bloomberg.
Blankfein (59 years) received a compensation last year of $23 million, mainly constituted of bulk bonuses in shares.
The 'long-term incentive' of $6 million promised to Blankfein depends on the financial performance of the bank, namely the achievement of targets for return on equity and asset value.
In 2012, Blankfein received a similar bonus scheme worth $5 million, and in 2011 the value was of $3 million.
Blankfein is, for the second consecutive year, the highest paid CEO of a major U.S. bank.
Goldman Sachs recorded last year a return on equity of 11%, exceeding Wall Street's main rivals, mainly because of the lower wage costs in the context of maintaining similar levels of income.
Bank's shares rose by 39% last year, while the financial sector equity index from the S&P 500 composition rose by 33%.
Taking into account the compensation in 2013 and the long term incentive, we can say that Blankfein earned $29 million last year. Managing Director of JPMorgan Chase, Jamie Dimon (58 years), received $20 million, the head of Morgan Stanley, James Gorman, $18 million, the Director of the Bank of America, Brian Moynihan, $14 million, and the CEO of Citigroup, Michael Corbeau, $14.5 million.
