Hedge-Fund Pay May Fall 25%

Bloomberg:

March 25 (Bloomberg) -- Compensation for U.S. hedge-fund employees may drop as much as 25 percent this year as the firms try to recoup last year's investment losses.

The decline will cut hedge-fund paychecks to about half the record levels of 2007, according to estimates by Alan Johnson, founder of Johnson Associates Inc., a New York-based compensation-consulting firm whose clients include financial- services companies.

Read the whole story: Bloomberg

Comments

[jerrypl]

Am I supposed to cry now? They can be retrained under a government plan.

http://eye-on-washington.blogspot.com

[Ratfink1]

Great! Now they will only be 65% too high.

[Sarahmay57]

They had certainly better fall AT LEAST 25%. Time to let one of the gardeners go...

[FORLOMC]

It should fall 80% and stay their permenantly. These human sponges do nothing to make the money. They make billions if their clients lose money. That is rediculous. They should get paid only if their clients make money. They just launder money and make billions. Totally INSANE. We need to regulate their pants off and tax the h.e.l.l. out of them.

[cobobs]

Exactly!
This is not capitalism. They do not make anything, they do not give any services. It is the minting of counterfeit money.

[YankinCanada]

Loosely regulated. For the wealthy. Gee, really? Regulate and tax the heck out this segment of leaches. Regulate derivatives until they choke on their ill gotten gain. When Jim Cramer's face is about to explode, choke them some more.

[PlayTOE]

When people are earning over a billion dollars in a year .. but don't want to pay taxes and let their country prosper ... then they get no sympathy from the ones who make a pittance but do pay taxes.

[Irmanator]

New tax brackets:
over $1 million, 50%
over $5 million, 70%
over $10 million, 90%

[Irmanator]

The industry’s top earners last year were James Simons of Renaissance Technologies Corp., who took home $2.5 billion; John Paulson of Paulson & Co., $2 billion; John Arnold of Centaurus Energy LP, $1.5 billion, and George Soros of Soros Fund Management LLC, $1.1 billion, according to a survey published in the April issue of Institutional Investor’s Alpha magazine.

[toddag]

Just taxing these guy's income as income instead of the lower capital gains rate would be an improvement.