The average bonus for a Wall Street employee rose 17 percent in 2017, according to data released by the New York accountant Monday.
New York traders and analysts have taken home an average bonus of $ 184,220 last year as stock prices exploded during President Trump Donald John Trump McCaskill: Clinton Should Be More Cautious, as she describes Trump's voter Stormy Daniels Attorney criticizes critics who say that "nothing new" in "60 Minutes" Interview Costello Will not Seek Re-election in Pennsylvania MORE 's First Term
Increasing corporate profits, economic optimism and Bank profits spurred the stock market massively over the past year. Securities firms based in New York City increased their profits in 201
"The sharp increase in profitability over the past two years shows that the industry can flourish with regulations and consumers taking protective measures that were adopted after the financial crisis," said Thomas DiNapoli (D) of New York State.
The surge was the biggest increase in Wall Street bonuses since 2006, a year before the onset of the financial crisis that shook the world and collapsed the global economy
Banks and stock traders were among the biggest beneficiaries of Trump's tenure a broad deregulation of the financial sector and a withdrawal of strict rules after the financial crisis of 2007-08.
While legislators are arguing over a two-party bill to remove much of these rules from the Dodd-Frank Act, Trump-appointed regulators have begun to propose ways to rein in the bill through federal rules
Trump's promise Cutting the corporate income tax rate also led to steady stock gains in 2017. The President signed the bill just before the New Year and lowered the corporate interest rate from 35 to 21 percent.
While the new tax bill will cost banks billions of dollars in a one off cost it is expected to increase profits in the financial sector over time.
Wall Street compensation has been a focus for financial sector critics who argue that lucrative bonuses encourage traders and managers to make riskier investments without considering the implications for the economy as a whole. Democrats and liberal watchdogs are demanding penalties for bank executives and investment firms whose failed, risky bets are causing economic damage.
Dodd-Frank demanded from major banks that they disclose how high their senior executives are relative to their average employee. The 2010 law also called on supervisors to limit pay for executives who earned excessive salaries or caused large losses to their bank, but competent authorities have not yet laid down these rules.
William Dudley, the outgoing president of the Federal Reserve Bank of New York, said on Monday that the Fed should consider reducing managerial salaries at banks that violate federal regulations.