Germany’s bonus ultimatum to bankers

German bankers could be forced to repay bonuses if it transpires they have taken unjustifiable risks when making deals, the country’s financial regulator BaFin warned as it unveiled a set of risk management standards in August 2009 in response to the excessive risk taking and false incentives, which policymakers agree contributed to the financial crisis. From the 1 January 2010 all German banks will be obliged to implement new pay structures that outlaw short-term incentives.

Website: BaFin http://www.bafin.de/cln_161/sid_B00C6DB229BC1287500DC905FDBC603F/EN/Home/homepage__node.html?__nnn=true

ESO: Background information: Berlin moots banks paying bail-out losses http://www.europeansources.info/record/berlin-moots-banks-paying-bail-out-losses/

ESO: Background information: Merkel faulted on banking supervision http://www.europeansources.info/record/merkel-faulted-on-banking-supervision/

ESO: Background information: Merkel moves on failing banks http://www.europeansources.info/record/merkel-moves-on-failing-banks/

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