Our comp to revenue ratio for the fourth quarter was 82%, which was impacted primarily by the company’s decision to pay year-end bonuses in the form of cash. And making this determination, the company considered a variety of factors including the dilutive effects of granting stock-based compensation when trading at a significant discount in relation to tangible book value, which is currently up 60%. Compensation also includes $1.2 million of compensation guarantees principally incurred in the MBS & Rates division in connection with the division’s rebuild.
While we continue to target a 60% ratio, it will be meaningfully higher and in excess in 70% when measured based upon current run rate revenues in our remaining businesses post the ClearPoint sale. Our non-compensation expenses were $20.6 million for the fourth quarter and included $700,000 of professional fees incurred in connection with our strategic review. Year-to-date costs incurred were $3 million. Non-compensation expenses excluding these costs improved by approximately $1.5 million and are related to reduce consulting expenses in connection with the company’s asset management initiatives.
Full disclosure -- last summer or spring, I spoke w/ a co. officer who stressed that painful measures had to be taken to cleanse the co. of an old culture, one top heavy with incentive compensation and benefits. He thought that it would take 12-18 months of executing the new plan before the stock price would recover and trade at a fair value. We talked again about two months ago -- at that time he claimed the co. had at least a few good options before itself, inferring that though an R/S might be put before shareholders, that would not happen until May, meaning, as I filled in the blanks, plenty of time for a deal to be cut. Well -- now what do we have -- first a warning about compensation being 70% of revenues, then a warning about declining revs due to 20 people leaving GLCH. My God -- what a sad mess and what a fool I was.