But then again, what's the retention rate in analyst classes? Probably half of the classes quit after their analyst stint, either for greener pastures, business

But then again, what's the retention rate in analyst classes? Probably half of the classes quit after their analyst stint, either for greener pastures, business school, or complete career changes. Some stay for their associate roles, or come back for associate or VP after business school - if they even bother with investment banks. Adjusting bonuses like that seems like a cruel way of enforcing "up or out". If for whatever reason you don't like some subordinate, or think they're cut out for future promotions, just hand out mediocre bonuses until they jump ship. I think that in banking (and many other businesses), it's entire possible to be a good / well-performing junior banker, but not necessarily have the skills of succeeding in more senior roles, where your job is very different. (e.g mostly dealing with clients)