Here’s a graph showing dividend and share price performance for Barclays shareholders normalised to 2005. Contrast this performance with the pay:income ratio at Barclays Capital, again normalised to 2005. This is not a graph you’ll find in a Barclays annual report or a Bob Diamond presentation.
As an interesting aside, when cantankerous was at business school, half of those offered places by Barclays on its ‘Global Leadership Programme’ had failed either their Corporate Finance or Accounting exams (and in some cases both). It was pretty hard to fail those exams but Barclays was either too incompetent or disinterested to check. Now these same people, some of whom couldn’t perform a simple NPV calculation or create a balance sheet for a second-hand car dealership, are supposedly masters of the universe worthy of six-figure salaries and similar bonuses. Bizarre.