The Committee of European Banking Supervisors (CEBS) has adopted guidelines which it believes is a response to answers public anger about outrageous bankers’ bonuses. Under these guidelines, the cash part of bonuses will be restricted and the shares part will be increased, so as to discourage shortsighted and risk-taking behavior by bankers. However, Even if banks are none too happy with these measures, there are serious doubts that they will prevent risky investments being made and in any case, the size of the bonuses remain unaffected.
