Peter Tannenbaum quoted in NY Post January 25, 2015

Bonuses could jump 50 percent for top traders

The top performing money- managers will devour the largest slice of this year’s reduced bonus pool, their overall compensation worth multimillions of dollars.The top traders on the most profitable trading desks will see their bonuses skyrocketing by as much as 50 percent from 2013 levels in a new formula that sees fellow traders with smaller trading profits being docked a similar stunning proportion, according to a Wall Street recruiter.“The No. 1 thing I have noticed is the spread between the haves and have-nots this year,” said Peter Tannenbaum, CEO of Ramax Search, which places professionals at banks, brokerages, hedge funds, private-equity firms and other parts of the Street.“In the past, maybe 30 out of a 50-person team, for example, would share 70 percent of the bonus pool. That’s changing — firms recognize the need to keep the top 10 percent to 20 percent really happy, and then kind of figure out what to do with the rest.”

Tannenbaum says it’s tough love for the underdogs. “Those second-tier guys are going to leave anyway,” he told The Post. “Their compensation could be down as much as 50 percent.”