A number of hedge funds are hiring talent from Wall Street as investment banks cut back on salaries and bonuses. As reported at Bloomberg, many traders, bankers, and analysts are giving up the once preferred bonuses and prestige of investment banks for the potential to cash in with hedge funds as the security once offered by investment banks decreases. As investment banks perform less underwriting and reduce leverage by selling assets, less money is being generated by Wall Street, translating to less bonuses come year end. Pay packages are expected to fall by 20% or more this year alone. Private equity is also benefiting from the dissatisfaction as they too are scooping up investment banking talent. Given the recent closures of small hedge funds, which in many cases are either shutting down entirely or simply being absorbed into larger funds, it looks as though the deck chairs of Wall Street will continue to shift over the summer as the market looks to right itself after the recent credit problems and current commodity and inflation issues.