Stat of the day: $12.2bn

The total payout by Goldman Sachs this bonus season. It may sound like a hefty whack, but this year the investment bank has sliced almost a quarter off its compensation packet due to falling profits.

by Rebecca Burn-Callander
Last Updated: 09 Oct 2013

Goldman Sachs may rule the world (click here for trader Alessio Rastani's now infamous BBC interview), but it's certainly not cashing in on its dominion. Profits are down 47% on 2010 and bonuses are shrinking too: the $12.2bn (£7.4bn) payout is down 21% on last year's figures.

Net income at the firm fell 58% year-on-year in the last quarter to $1.01bn and there's no short-term fix: the continuing uncertainty around sovereign debt in the eurozone is still placing stress on Goldman's balance sheet.

Goldman chief executive Lloyd Blankfein spoke candidly of the decine: 'This past year was dominated by global macro-economic concerns which significantly affected our clients' risk tolerance and willingness to transact,' he said.

And Goldman's bankers aren't the only ones missing out. The investment bank has cut its charity pot by 75% too, from $500m in 2009 to $78m last year.

Elsewhere in banking, it's a mixed bag. US firm Citibank had quite the year in 2011 (all thing's considered), posting profits of $11.3bn, up 6% on the previous year. But over at JP Morgan, fourth-quarter profits told a dfferent story: earnings are down by almost a quarter on its 2010 performance to hit £7.3bn.

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