UBS is said to reduce the 2018 bonus pool for its investment bankers in Asia after a slump in equity offerings last quarter hurt fees, according to various media reports.

Overall bonus pool for 2018 at UBS Group AG will be reduced by about 8 percent, as the fall in equity offerings in the last quarter affected fees. Managing directors will be the hardest hit, «Bloomberg» reported, quoting people familiar with the matter. More executive directors will get no bonus for 2018 compared with the previous year, one of the people said. 

The shrinking bonus pool for senior dealmakers in Asia has reversed from the gain seen in the previous year, when bonuses reflected a rebound in deals as well as efforts to retain junior staff focused on China. Junior bankers may still get raises for 2018.

Poor Sales in Fourth Quarter

Stock sales fell dramatically in the last three months of 2018, as the MSCI Asia Pacific Index suffered its worst quarterly performance since 2015. This added to the pressures on global investment banks as they faced tougher competition for deals.