The Big Six boosted the amount set aside for bonus pay by an average 12.2 per cent for the 2024 fiscal year than the previous year. Bonus pay at Royal Bank of Canada, CIBC and National Bank rose the most. (Bloomberg)

Talking point: A large portion of take home pay for investment bankers, analysts and traders is typically comprised of bonuses, which are usually paid in December. The past year was a tough one for dealmaking, marked by sluggish M&A activity and a long drought in initial public offerings that only ended with Groupe Dynamite’s IPO last month. Capital markets profits at Canada’s largest banks have been increasing overall since 2022, however. CIBC’s net income in its capital markets division was flat, but it grew its bonus pool by 19.1 per cent, the most of any of the large lenders. The bank’s spokesperson Tom Wallis told Bloomberg the bank considers non-financial metrics such as environmental, social and governance progress in determining payouts.