Morgan Stanley plans to cut Asia-based investment bankers’ annual bonuses by as much as half, Reuters reported Monday.
Citing two unnamed sources, the wire service attributed the bonus drop to overall cost-cutting measures to mitigate challenges in the market.
Similar cuts may be on deck for Morgan Stanley’s U.S.- and Europe-based investment bankers, the sources said. A third unnamed source, meanwhile, said bonuses are expected to dip about 30% for its investment-banking teams and markets.
The latter figure would mirror plans Citi, Bank of America and JPMorgan Chase are considering, according to Bloomberg.
Rumors are circulating, however, that Goldman Sachs may be cutting its bonus pool for senior employees by as much as half.
Morgan Stanley did not return Banking Dive’s request for comment and declined to comment to Reuters. The expected bonus cuts follow news last week that the bank would trim its workforce by 1,600 employees. Morgan Stanley reportedly cut 50 investment bankers in the Asia-Pacific region in November.
Morgan Stanley’s top earners got an extra 20% in their annual bonuses last year, by contrast, Reuters reported.