any guidelines from forum members? i’m thinking/guessing it should be around $100 base + up to half in bonus considering 1st year isnt far off from that? agree / disagree?
seems a tad high I think
Second the thought that your figures sound high - way high, in my opinion. Base of maybe 60-80k. Bonus could be anything from 20-50% from what I’ve heard/seen. More in a great year for your fund/company/department/whatever you work for. Assuming you’re a dynamite analyst who does dynamite work for a dynamite fund in a dynamite year…You might hit 150k, or more. But it wouldn’t be with that mix of salary/bonus that you suggested (I think most of it’d have to be bonus) and heading into an interview with the idea that $150k is a median figure sounds like an excellent way to price yourself out of a lot of jobs. Head over to glassdoor.com and take a look; let us know how it works out.
If you’re talking about the sellside, I doubt you’ll get 50% bonus as a 2nd year. 2010 was not a great year for the equity cash business. My guess is cash bonus for sellside will be smaller then last year but adjusted with higher base.
supersadface Wrote: ------------------------------------------------------- > Base of maybe 60-80k. Bonus could be anything > from 20-50% from what I’ve heard/seen. More in a > great year for your > fund/company/department/whatever you work for. > These were the numbers I was thinking. The ER Analyst can pull 100k+ and 50% bonus. But the Associate? highly doubt it as a 2nd year.
Yeah, $100k ++ is a bit too high. Consider that kids less than 2 years out of school can hold this position. I would guess something like $70k plus bonus in an expensive city.
Completely depends where you’re located and the industry you’re covering.
ohai Wrote: ------------------------------------------------------- > Yeah, $100k ++ is a bit too high. Consider that > kids less than 2 years out of school can hold this > position. I would guess something like $70k plus > bonus in an expensive city. i dont think its too high. i know someone who made that much in their first year.
$100k salary or total compensation? He/she must have been a very good candidate. Also, I’m sure that this is an outlier.
100k base , he was not an extraordinary candidate, and i am sure this is not an outlier. what industry are you in? this is not unheard of.
I’m in derivatives. The question is what industry is this person in?
SuperiorReturn Wrote: ------------------------------------------------------- > > i dont think its too high. i know someone who made > that much in their first year. to counter this fine and compelling argument, i know someone who has a friend who made much less in his third year. HA!
Not sure about current numbers, but I know Citi was paying $180 all in a few years (pre-crash) ago for someone with 2-3 years of experience (this is an offer I personally received but did not take – base was somewhere around $85 I think – obviously this was a high-end bonus estimate and was subject to performance). I had passed the CFA exams at that point. The title was Associate, but I think it was not considered a first year or strictly entry level Associate role. I assume other firms were in a similar range, and I would further assume it is lower now on the bonus. I can’t really agree with supersad’s comment about a dynamite analyst making $150 in a dynamite year on the buyside. $150 seems pretty low and nothing to get that excited about. I’m not sure about the OP, but I’d feel a bit low balled at 150 if I had 2-3 years of experience and a good background. The fact is, if you are in a highly competitive opportunity, you are going to be work six or seven days a week most likely, and definitely over 60-70 hours a week. $150K in the cities these sort of jobs are located in is not THAT much, and frankly, there’s no reason a good fund on the buyside shouldn’t pay more than one on the sellside, given much more favorable economics in most buyside opportunities. Obviously, the hiring environment is still garbage, so there’s no reason to be too picky ($150 definitely beats sitting at home hating life, that’s for sure). At any rate, someone with 5-7 years of experience and CFA and/or MBA could easily do $300+ (and maybe a lot more) with the right opportunity (buyside), although those are rare and competitive. I’ve seen good analysts do more than that at good funds in a mediocre returns year. Anyway, just my opinion from what I have seen – not trying to hate on anyone who accepts less than that, as frankly, things in finance can change pretty quickly and you can go from being underpaid to very well paid in a heartbeat if the right opportunity comes your way, so simply getting through the door (even at a low(er) rate) is of paramount importance. I would be more concerned with looking at things on a long-term NPV basis rather than a short-term cash flow basis over a couple of years.
SuperiorReturn Wrote: ------------------------------------------------------- > 100k base , he was not an extraordinary candidate, > and i am sure this is not an outlier. > what industry are you in? this is not unheard of. I work on the sellside and this is unheard of unless your friend is a 1st year with an MBA.
bromion Wrote: ------------------------------------------------------- > things in finance can change > pretty quickly and you can go from being underpaid > to very well paid in a heartbeat if the right > opportunity comes your way, so simply getting > through the door (even at a low(er) rate) is of > paramount importance. I would be more concerned > with looking at things on a long-term NPV basis > rather than a short-term cash flow basis over a > couple of years. The above is key. Experience matters. Experienced people who also perform get paid. Whether your 2nd year analyst job pays you 70k or 100k base is just not that relevant in the grand scheme. If not in NYC, so you drive an Acura instead of a Benz, if in NYC, so you take the subway instead of a cab and don’t eat out much…big whoop.
bromion Wrote: ------------------------------------------------------- > I can buy this. Actually, the boss who hired me out of college tried to entice me with similar projections. I must say though, that you have to be on a certain path and certainly must come across the right opportunities early in your career.
For a second-year associate coming out of undergrad, $100K for all-in comp is very good and in this economy, you’re generally considered a top performer or have some other special circumstance. If you’re coming out of MBA, your base is close to or above $100K so factoring in the bonus, you’ll make more than that. Generally speaking, people are more interested in all-in compensation as opposed to base alone – just thought I’d point that out if we are to have an informed conversation about what “people on the Street” care about. This is based on compensation reports I have received from both clients as well as personal contacts from the leading investment banks, including HR/payroll.
What’s the bonus range for someone who starts as an associate out of MBA or moves to ER after doing a couple of years of banking? I have a friend who worked in DCM as an associate (3 yrs exp) and moved to equity research and is making $110K at a bulge bracket.