Thanks to the increase in market volatility and merger and acquisition activity, Wall Street bonuses are expected to shine again.

Wall Street bonuses are expected to increase significantly for the second consecutive year, as market volatility drives trading demand and mergers and acquisitions activity sees a long-awaited recovery. A report released on Wednesday by compensation consulting firm Johnson Associates Inc shows that year-end incentive compensation for investment bankers, traders, and wealth management professionals is expected to increase. Among them, stock traders who assist investors in positioning their stock portfolios may see the largest increase, with their bonuses possibly rising by up to 25% due to market volatility. "All areas are showing exceptionally positive trends this year," said Alan Johnson, managing director of Johnson Associates, in an interview. "The overall performance of the economy and financial markets is good, and banks continue to benefit from market volatility."