Maybe you are shocked by the paycheck of Wall Street investment bankers. Last year, the CEO income of six American banks (JPMorgan Chase, Bank of America, Goldman Sachs, Morgan Stanley, Citigroup and Wells Fargo) was $9,665,438+million, exceeding the $86.3 million in 20 12 years, which is also the level since the financial crisis.
However, the combined salaries of these six CEOs are not as good as those of a hedge fund trader, James Levin, who is 3 1 year old.
He is the global credit leader and executive managing director of hedge fund company Och-Ziff Capital. Last year, his salary reached an astonishing $65,438+0.10.90 billion.
According to SEC documents, almost all of Levin's salary last year came from stock awards. In the past, the founders of hedge funds were paid * *, but with the escalation of competition for talents, hedge fund companies must increase their chips to attract excellent traders.
Levin was a blockbuster because of a star deal on 20 12. The Wall Street website mentioned earlier:
In 20 12, Levin bet $7.5 billion on structured credit bond instruments. This investment alone, if the fund fee is not included, his 14 credit team will make a profit of $2 billion for the company, while the total annual transaction income of 468 employees in the company is only $3.4 billion.
Based on this calculation, Levin made a profit of about 27% by investing in such credit products last year. Structured credit products include all kinds of securities, and all kinds of creditor's rights with cash flow, such as housing mortgage loan, credit card, car repayment, company loan, etc. Divided into different securities such as MBS, the risks and corresponding yields are also different.
With the recovery of the American real estate market, investors began to favor these high-yield claims, and the prices of these products have risen sharply in the last two years. To some extent, Levin's investment strategy is riskier than his competitors, because he seldom hedges. According to a person familiar with the matter, Levin's team is a super buyer of housing and commercial MBS-related investment products.
The Wall Street Journal reported that Levin got a computer degree from Harvard University, but before he got his bachelor's degree, he knew his current boss, Daniel Och, one of the founders of ——Och-Ziff, many years ago. Because Levin once taught Och's son to learn water skiing in summer camp.
Before joining Och-Ziff Capital in 2006, he worked for Sagamore Hill Capital and Dune Capital.