Reuters - Video

EDITION: U.S. | U.K. | IN

Top News

Breakingviews: BofA's A on pay

Thursday, February 21, 2013 - 03:11

Feb 21 - Jeffrey Goldfarb and Agnes T. Crane explain why the specific financial targets that BofA boss Brian Moynihan must achieve to be paid in full make the bank something of an industry leader in this particular area.

▲ Hide Transcript

View Transcript

Bank of America for. For all its problems may actually be an industry leader of one particular art and that's in the way he's its CEO Brian went ahead. He got a big rays which may seem unusual given the lingering problems that it. But Agnes has a different perspective on things and. You can't say a couple of things bank excuse me what -- just put into context. Of and how they're fortunate -- -- based in -- last year. He they're stock up beaten down so badly in 2011 and 2000 when under which -- Size doubled and that also that their return on Massa also. I mean a lot of from a days having visited this is the issue right -- and -- return to Europe. There's nothing tonight. About. -- much bigger program. And the bottom line obviously instilled and restrained lives overhang of bad loans. Some legal worries. Definitely it's now a lot of outstanding. Liability here. Urged the country what is what is currently in service the speaker because. -- got into the big pay -- obviously the real problems. James Gorman Morgan Stanley also doubled the last one yeah. I think it's better and I I do think like things and pick them there are rights I mean that's where he's gonna get. You summit in a fatter paycheck and that's pretty to -- in the one thing to kinda keep an eye on now is that about half. Twelve point 19 when he got four. 2012. But half that is going to be tight future performance now they were they didn't give a whole lot of details about what kind of hurdle rate than -- they -- to return on some. So they're really specific targets that he'd that the bank needs to hit before he gets any exact and if you -- -- that's why. Exactly and so and they're tying it to return on assets and -- -- Just. Little unclear what that means it's also unclear what kind of targets that we look at levels the Pakistan but not everybody accepts these kinds of specific target. And this is a good thing I think this is -- good thing. Because of basically you know it gives him a bit of care to stay hungry to it basically make sure the -- and not just stock switch back you know. It also includes -- -- -- yeah let's face it. A lot of the a lot of the increased last year was also due to how badly beaten down on things that were beyond its control and I'm. I live was doing -- -- with a lot of -- accident proceeded and the concern I guess is that the hurdles -- -- ultimately what we saw with the current and that's what it turned out to the color really not a high. -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- If they're going to be hard numbers that aren't going to be able they're -- and -- at bats. Right into the thick of you know closer look we get more details about to see if these are really strong enough to but the path as a good -- that is the point there that. And it will leave it there we'll keep an eye out for these details would back war. Britain used.

Press CTRL+C (Windows), CMD+C (Mac), or long-press the URL below on your mobile device to copy the code

Breakingviews: BofA's A on pay

Thursday, February 21, 2013 - 03:11

Top News »

Editors' Picks »

Most Popular »

Business »

Moving Pictures »

Images of October Images of October

Mon, 03 Nov, 2014 - (0:57)

The world in a city The world in a city

Fri, 31 Oct, 2014 - (1:30)

Real-life superheroes Real-life superheroes

Tue, 28 Oct, 2014 - (1:44)

Dance of the northern lights Dance of the northern lights

Mon, 20 Oct, 2014 - (1:08)

Images of September Images of September

Thu, 02 Oct, 2014 - (1:00)

Still missing – MH370 Still missing – MH370

Fri, 05 Sep, 2014 - (2:05)

Burning Together Burning Together

Mon, 01 Sep, 2014 - (2:23)

Mending dolls, teddies and hearts Mending dolls, teddies and hearts

Fri, 22 Aug, 2014 - (3:12)

Images of August Images of August

Fri, 29 Aug, 2014 - (1:00)

"Old timers" sail the Chesapeake Bay "Old timers" sail the Chesapeake Bay

Mon, 11 Aug, 2014 - (2:27)

Oddly Enough »

Buffalo on a rampage injures 14 in China Buffalo on a rampage injures 14 in China

Tue, 25 Nov, 2014 - (0:30)

Thailand hosts the largest gathering of Santa's Elves Thailand hosts the largest gathering of...

Tue, 25 Nov, 2014 - (0:54)

Yellow-spotted turtles rescued from trafficking Yellow-spotted turtles rescued from...

Mon, 24 Nov, 2014 - (0:44)

Deadly Japanese pufferfish discovered in Crimean waters Deadly Japanese pufferfish discovered in...

Mon, 24 Nov, 2014 - (1:37)

Birds around the world take flight Birds around the world take flight

Sat, 22 Nov, 2014 - (2:00)

Calling all men: here's your chance to experience labor pains Calling all men: here's your chance to...

Thu, 20 Nov, 2014 - (1:43)

Annie Leibovitz showcases historic "Pilgrimage" Annie Leibovitz showcases historic...

Thu, 20 Nov, 2014 - (1:38)

Block-long billboard lights up Times Square Block-long billboard lights up Times Square

Wed, 19 Nov, 2014 - (1:19)

Japan’s military gets sexy Japan’s military gets sexy

Tue, 18 Nov, 2014 - (1:30)

Reuters Investigates »

Where the sea is closing in Where the sea is closing in

Thu, 20 Nov, 2014 - (3:41)

Re-homing victim: "I could have been dead" Re-homing victim: "I could have been dead"

Wed, 19 Feb, 2014 - (8:24)

Cops and loggers in the Amazon rainforest Cops and loggers in the Amazon rainforest

Fri, 10 Jan, 2014 - (4:01)

"Passed around like a dog" "Passed around like a dog"

Thu, 29 Aug, 2013 - (6:32)

Adopted, then abandoned online Adopted, then abandoned online

Thu, 29 Aug, 2013 - (13:22)

How the DEA keeps its secrets secret How the DEA keeps its secrets secret

Mon, 05 Aug, 2013 - (1:36)

How education lost its role as the great equalizer - Reuters Investigates How education lost its role as the great...

Mon, 17 Dec, 2012 - (7:52)

Jihad Jane: From abused child to American jihadist - Reuters Investigates Jihad Jane: From abused child to American...

Sun, 09 Dec, 2012 - (10:02)