NAB’s Clyne takes a $1 million pay cut

Despite having delivered a 9% increase in cash profit for the year to $5.94 billion, National Australia Bank’s (ASX: NAB) CEO Cameron Clyne’s annual pay fell by more than $1 million to $7.76 million.

Whilst it is still an impressive sum, it was a lower figure than what was recognised by the CEOs of NAB’s primary rivals. Westpac’s (ASX: WBC) Gail Kelly received $9.2 million in cash and shares and Commonwealth Bank’s (ASX: CBA) Ian Narev gained $7.8 million. ANZ’s (ASX: ANZ) chief executive Mike Smith was the highest paid out of any of the big four banks, recognising $10.1 million for the year.

Although Clyne’s cash salary increased from $2.37 million to $2.63 million, his allocation of shares declined from $5.06 million in 2012 to $3.92 million this year. His cash bonus also fell from $1.2 million to $1.08 million for the year.

Foolish takeaway

Each of the banks recorded record profits for last year, however, investors may want to think twice about buying shares in any of the big four as they have become overpriced and stand little chance of delivering market-beating returns in the long-run. The good news is that the banks are not the only high-yielding corporations out there.

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Motley Fool contributor Ryan Newman does not own shares in the companies mentioned here.

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