Morgan Stanley plans plans to cap cash payouts at $125,000, the WSJ says, citing people familiar with the matter. Some top executives will receive nothing now, deferring their 2011 payouts until the end of this year. The bank will defer the portion of any bonus past $125,000 until December 2012 and December 2013, according to one of the people, and chief executive Gorman and the other nine members of Morgan Stanley’s operating committee will defer their entire bonuses for the year. The changes to the structure of compensation at Morgan Stanley are in line with forthcoming rules on compensation in the US, the FT reports, which will require banks to emphasise clawback provisions and to defer bonuses. However, to the chagrin of some European bankers and regulators, the US rules are less prescriptive than in Europe.

This entry was posted by Kate Mackenzie on Tuesday, January 17th, 2012 at 4:49 and is featured in The 6am Cut London (17 Jan 2012), The Lunch Wrap (17 Jan 2012) . Tagged with bankers bonuses, morgan stanley. Edit this entry.