Bankers at Goldman Sachs were paid an average of $373,265 (£245,500) in 2014 after profits at the highest profile firm on Wall Street rose 5%.
Some $12.7bn (£8.35bn) was set aside to pay its 34,000 staff, who will learn the size of their individual payouts in the coming days. Some of them will receive far more than the average; data for 2013 showed that the most senior executives in London received an average of £3m.
But taking the fourth quarter separately, profits at Goldman Sachs were down 7% on a year earlier after revenue fell in each of its four divisions – investment banking, client trading, lending and fund management.
Data compiled by Bloomberg showed the amount of annual revenue from trading activities reported by Goldman was the lowest since 2005 and half the record amount reported in 2009.
Even so, Lloyd Blankfein, chairman and chief executive, said: “We are pleased with our performance during a year characterised by mixed global economic and financial conditions... Looking ahead, we see evidence of a continued pick up in momentum for the global economy that will improve the opportunity set for 2015.”
The firm attempted to maintain its profitability by marginally reducing the proportion of revenue set aside to pay staff to 36.8% from 36.9%. In 2013, the average payment was $383,000.
Revenue generated by the bond trading division – known as fixed income, currencies and commodities (FICC) – fell by nearly a third, knocking the overall result as it the traditional powerhouse of the business.
Profits for the year were $8.5bn and revenue $34.5bn.
Unlike some of its rivals it avoided major costs for litigation and legal expenses. Goldman said: “Net provisions for litigation and regulatory proceedings for the fourth quarter of 2014 were $161m compared with $561m for the fourth quarter of 2013 (both primarily comprised of net provisions for mortgage-related matters).”
