Who Are the Most Overpaid CEOs On Wall Street?

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Lloyd Blankfein, Chairman and CEO of Goldman Sachs speaks outside of the White House.
AlamyLloyd Blankfein of Goldman Sachs is the highest paid of the big bank chiefs, but he's only No. 2 on the list of most overpaid.


As of May 31, the highest-paid CEO in banking was Lloyd Blankfein of Goldman Sachs Group (GS), with $26 million a year. He made this sum despite seeing Goldman's revenues drop this third-quarter by 22 percent from the second-quarter and 20 percent from a year ago, while presiding over a share price drop of 2 percent.

No one is surprised any longer by exorbitant amounts made by the top men at banks. In 1965, the average CEO made 20 times as much as his average employee, whereas today's CEOs make roughly 270 times as much, according to a study by the Economic Policy Institute, a liberal think tank.

From 1978 to 2011, the gap between executive salaries and regular pay has grown by around 876 percent, but who is really worth that sort of money?

Bloomberg ranked the 20 biggest North American banks by assets on whether their CEOs were overcompensated or undercompensated.

Methodology

First, the banks were ranked on three measures to assess their results and size at the end of each one's 2012 fiscal year: stock performance, return on common equity and total assets, including cash and investments. Then the average of the share performance, return on investment and asset scores for each bank was calculated to establish an average rank. Each CEO's compensation was subtracted from his or her bank's average rank. (Total compensation includes salaries, stock awards, bonuses and long-term incentive awards given to CEOs for their performance in 2012, which is not always the same as the figures that appear in proxies' Summary Compensation Tables.) The CEOs with the biggest difference between the two rankings were regarded as the most overcompensated.

Bloomberg


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joey

Who are the most over PAID sports figures............So whats your point!!!!!!!!!!!!!!!!!!!!!!!!

October 23 2013 at 10:36 AM Report abuse -6 rate up rate down Reply
willypfistergash

So now all you people are screaming for merit pay? Hilarious.

October 22 2013 at 8:53 PM Report abuse -1 rate up rate down Reply
billybuttlooker

Like Congress they are all over paid

October 22 2013 at 8:02 PM Report abuse +2 rate up rate down Reply
wurkinman1

All of 'em ,God Damnit

October 22 2013 at 7:44 PM Report abuse -1 rate up rate down Reply
Jose Ahmed

The way it looks is for white coller crimnal that steal in the hundreds of millions, the more you steal the less time you get and you get royal treatment at club fed, lobster, steak ,tennis and a gate pass to get lay, money talk bullshit watches,

October 22 2013 at 6:46 PM Report abuse +4 rate up rate down Reply
summerchaser

funny as hell...........all banks that got handouts from the stupid Americanos......

October 22 2013 at 5:39 PM Report abuse +4 rate up rate down Reply
riedcap

Overpayed according to who? Overpayed liberal politcians?

October 22 2013 at 5:18 PM Report abuse -6 rate up rate down Reply
1 reply to riedcap's comment
napajack

Overpaid due to poor company performance. No politics involved.

October 22 2013 at 6:19 PM Report abuse +2 rate up rate down Reply
555555

Jessie Ventura for pres in 2016 ........or we will continue down this path of destruction.

October 22 2013 at 4:49 PM Report abuse -4 rate up rate down Reply
1 reply to 555555's comment
willypfistergash

Minnesota was enough.

October 22 2013 at 8:48 PM Report abuse -5 rate up rate down Reply
Larry

Any company whose performance declines while the CEO's pay doesn't, is overpaying the CEO. After all, they get big awards of money when things go well, so the opposite should happen.
And IF a company is consistently hammered with fines and penalties, the CEO should see a big portion of their compensation disappear, too, since they set the tone.
Hear THAT, Jippy Morgan & Goldman Sucks???

October 22 2013 at 4:05 PM Report abuse +3 rate up rate down Reply
nuck7859

Can't we just sum it up by saying "all of them"

October 22 2013 at 3:51 PM Report abuse +4 rate up rate down Reply