Compensation experts say the recent credit crunch could cause employee bonuses on Wall Street to drop 5% to 10% from last year.

“With the way markets are going, banks are going to be careful about the way they compensate people,” Michael Karp, chief executive of executive search firm Options Group, told The Wall Street Journal.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.