Despite causing the financial meltdown that crashed our economy (leading to the Great Recession), only to be bailed out by everyday hard-working taxpayers for their illicit practices, Wall Street is about to receive their bonuses for 2013.
That’s right. Those same wheeling and dealing Banksters that caused the financial meltdown that brought the economy to the brink of destruction, of which no senior-level executive has yet to be prosecuted for causing, will be reaping their rewards to the tune of $26.7 billion in bonus money.
Even worse, this is just the bonus pool for securities employees who actually work in New York City. The average bonus to be paid to securities industry employees grew by 15 percent to $164,530 in 2013. Obviously, the senior-level Banksters shares will be magnitudes larger than the average bonus.
Another prime example of Extreme Income Inequality.
Wall Street informational tidbit:
There is a misconception that Wall Street is composed of rich people gambling with other rich people’s money, but this couldn’t be further from the truth. The secret that Wall Street doesn’t want anyone to know is that hedge funds comprise less than 5% of assets in the stock market. The real big players in the market are individual households and the pension funds, mutual funds, university endowments, charities and foundations that are entrusted with your savings, donations, retirement funds and 401(k)s. They are the owners of trillions and trillions of dollars invested with Wall Street banks. So, in effect, you are the big player in the market. And when a Wall Street bank overcharges a teacher’s retirement fund or a charity on a complex product, or misprices the Facebook IPO, causing billions of dollars of wealth destruction, or helps the governments of Greece and Italy cover up their debt, or rigs interest rates affecting trillions of dollars of loans, it ultimately affects you directly and comes out of your pocket. After all, it’s not their money they are risking on a daily basis.
New York State Comptrollers Office | http://www.osc.state.ny.us/press/releases/mar14/031214.htm
How Wall Street Rigs the Game | Greg Smith | http://business.time.com/2012/10/22/viewpoint-how-wall-street-rigs-the-game/