Sell Side Salary & Bonus Thread: 2007

Problem is that this is only for one year. It may just have been a ploy to give me 100% guaranteed as i had an IBD offer. If the typical bonus in industry is much lower than 80% then i would revert to the figure in the coming years. This is what scares me. If bonuses in ER are lower than 80% of ibd ones i wanna out. (My ibd offer was from top league think…GS/MS). Since i am interested in asset management in the long run, it was a good proposition if i got upto 80% of ibd bonus with better hours. Hence if for the first 3-5 years they could keep this level, i would have been ok. Only that now it seems that even over the short horizon, it would be difficult at best.

BTW the US figures were on parity terms at exchange rates in Dec,06. So the guys in US were not getting a raw deal, at least for the base. As fas as bonus is concerned, i may have been duped into thinking that average figure is 80% of base.

sharpin1008 Wrote: ------------------------------------------------------- > Problem is that this is only for one year. It may > just have been a ploy to give me 100% guaranteed > as i had an IBD offer. If the typical bonus in > industry is much lower than 80% then i would > revert to the figure in the coming years. This is > what scares me. If bonuses in ER are lower than > 80% of ibd ones i wanna out. (My ibd offer was > from top league think…GS/MS). > > Since i am interested in asset management in the > long run, it was a good proposition if i got upto > 80% of ibd bonus with better hours. Hence if for > the first 3-5 years they could keep this level, i > would have been ok. Only that now it seems that > even over the short horizon, it would be difficult > at best. If you really got an associate position at GS/MS in IBD, I’d think would have taken it if you had any real ambitions of getting into a top buy-side shop. I’d also would think that if you were savvy enough to get offers as an IBD associate at the two top shops, you would have done your diligence to know what the compensation/exit opportunities would be like for the two positions. Also, “first 3-5 years”? If you’re thinking about moving to the buy-side already, why would you think about being on the sell-side for 3-5 years? Anyway, something about your story just doesn’t really add up. I don’t mean to be a critic, but I have a lot of respect for people who can lock in an offer in banking or even in research at GS/MS and your whole presentation and delivery just seem strange to me. How do I know? Because I myself am of the GS/MS/ML ilk. Are you?

Numi, I have actually been meaning to shoot you an e-mail for quite some time. I’ll shoot you something later tonight. What is the best addy?

Numi - couldn’t agree more…something is fishy…i’m wondering if he purposly mistated his compensation to spur a conversation and maybe reveal what information he really is looking for. something doesn’t add up…

I’d imagine he’s a headhunter. Who else would so blatantly care about compensation and nothing else? However, I will state that I disagree with the numbers that you guys seem to be quoting - I work for a smaller boutique firm and I’m right in that neighborhood (+/- 5%) with four years experience and no MBA. However, I’m not in equity research either, so… [edit: plus, no signing bonus :(…]

FIAnalyst Wrote: ------------------------------------------------------- > Numi, > > I have actually been meaning to shoot you an > e-mail for quite some time. I’ll shoot you > something later tonight. > > What is the best addy? that sounds good…i can be reached at porcupines AT g.mail DOT com

Why would someone lie about his/her compensation on a forum like this? strikershank Wrote: ------------------------------------------------------- > Numi - couldn’t agree more…something is > fishy…i’m wondering if he purposly mistated his > compensation to spur a conversation and maybe > reveal what information he really is looking for. > > something doesn’t add up…

“Why would someone lie about his/her compensation on a forum like this?” Pretty sure it gives weak and/or insignificant people a feeling of power to pretend they’re better-looking/wealthier/tougher than they are in real life.

Or they could be lying for reasons i stated in my post above. I actually thought i explained fairly well why they might lie Mo34.

I read your logic. I am just not sure why would someone do anything in the real world based on information collected from a forum like this.

mo34 Wrote: ------------------------------------------------------- > I read your logic. > > I am just not sure why would someone do anything > in the real world based on information collected > from a forum like this. there’s good information on this forum - you just have to be able to distinguish between good and bad

Top buy side shops (hedge funds) primarily go for top traders or equity research guys. IBD doesn’t figure too high in the list because the knowledge gained as a junior banker is not really of any value. IBD is great if you wish to make 1-10 MM but you give away your life for it and for an amount that does not do wonders. I am indifferent between 2 MM and 20 MM. 200 MM and i am interested. Principal investing is the key. Which is why i wanted to get an individual brand. Something you can do in first three years post MBA in ER but not in IBD. My research told me that upto the VP level in BB the bonuses can be as high as 200%. At least that’s the rationale for my short-term decision. And remember this was 2007 when being in IBD was not that hot !! BTW would you be surprised if i told you that over 30% of full-time offers at one of these two were rejected last year in IBD, London. I have no intention to prove my credentials. I just wanted to check the range of bonuses to verify my understanding. I have no intention to boost my ego or collect stats. Else i would not have been posting test scores last june :slight_smile: numi Wrote: ------------------------------------------------------- > sharpin1008 Wrote: > -------------------------------------------------- > ----- > > Problem is that this is only for one year. It > may > > just have been a ploy to give me 100% > guaranteed > > as i had an IBD offer. If the typical bonus in > > industry is much lower than 80% then i would > > revert to the figure in the coming years. This > is > > what scares me. If bonuses in ER are lower than > > 80% of ibd ones i wanna out. (My ibd offer was > > from top league think…GS/MS). > > > > Since i am interested in asset management in > the > > long run, it was a good proposition if i got > upto > > 80% of ibd bonus with better hours. Hence if > for > > the first 3-5 years they could keep this level, > i > > would have been ok. Only that now it seems that > > even over the short horizon, it would be > difficult > > at best. > > > If you really got an associate position at GS/MS > in IBD, I’d think would have taken it if you had > any real ambitions of getting into a top buy-side > shop. I’d also would think that if you were savvy > enough to get offers as an IBD associate at the > two top shops, you would have done your diligence > to know what the compensation/exit opportunities > would be like for the two positions. Also, “first > 3-5 years”? If you’re thinking about moving to the > buy-side already, why would you think about being > on the sell-side for 3-5 years? > > Anyway, something about your story just doesn’t > really add up. I don’t mean to be a critic, but I > have a lot of respect for people who can lock in > an offer in banking or even in research at GS/MS > and your whole presentation and delivery just seem > strange to me. How do I know? Because I myself am > of the GS/MS/ML ilk. Are you?

“I am indifferent between 2 MM and 20 MM. 200 MM and i am interested.” Not to set your sights too high. "IBD is great if you wish to make 1-10 MM but you give away your life for it and for an amount that does not do wonders. " Were you already driving a Ferrari in school? Sure 10 MM won’t cure AIDs but Jeez bud, your perspective is jacked.

doworkson Wrote: ------------------------------------------------------- > “I am indifferent between 2 MM and 20 MM. 200 MM > and i am interested.” > > Not to set your sights too high. > > "IBD is great if you wish to make 1-10 MM but you > give away your life for it and for an amount that > does not do wonders. " > > Were you already driving a Ferrari in school? Sure > 10 MM won’t cure AIDs but Jeez bud, your > perspective is jacked. Yeah that is pretty messed up. Money begins to have rapidly diminshing utility beyond say $10M a year. At least it would for me

I could live on $10mm for the rest of my life and would.

Could I live in your guest house and pick up the $20s you drop and don’t have the time to pick up??

I think you’re wrongly restricting the buy-side to quant HFs whereas other vehicles such as PE/VC shops do have utility for the banker skill-set. Even Merger arbitrage HFs could use some banking experience. So, banking isn’t quite as useless as you make it out to be, though I do agree that relative to Quants HFs, the work is pissing in the wind. But then again, so is ER (relatively speaking). sharpin1008 Wrote: ------------------------------------------------------- > Top buy side shops (hedge funds) primarily go for > top traders or equity research guys. IBD doesn’t > figure too high in the list because the knowledge > gained as a junior banker is not really of any > value. IBD is great if you wish to make 1-10 MM > but you give away your life for it and for an > amount that does not do wonders. > I am indifferent between 2 MM and 20 MM. 200 MM > and i am interested. Principal investing is the > key. Which is why i wanted to get an individual > brand. Something you can do in first three years > post MBA in ER but not in IBD. > My research told me that upto the VP level in BB > the bonuses can be as high as 200%. > At least that’s the rationale for my short-term > decision. And remember this was 2007 when being in > IBD was not that hot !! BTW would you be surprised > if i told you that over 30% of full-time offers at > one of these two were rejected last year in IBD, > London. > I have no intention to prove my credentials. I > just wanted to check the range of bonuses to > verify my understanding. I have no intention to > boost my ego or collect stats. Else i would not > have been posting test scores last june :slight_smile: > > > > > > numi Wrote: > -------------------------------------------------- > ----- > > sharpin1008 Wrote: > > > -------------------------------------------------- > > > ----- > > > Problem is that this is only for one year. It > > may > > > just have been a ploy to give me 100% > > guaranteed > > > as i had an IBD offer. If the typical bonus > in > > > industry is much lower than 80% then i would > > > revert to the figure in the coming years. > This > > is > > > what scares me. If bonuses in ER are lower > than > > > 80% of ibd ones i wanna out. (My ibd offer > was > > > from top league think…GS/MS). > > > > > > Since i am interested in asset management in > > the > > > long run, it was a good proposition if i got > > upto > > > 80% of ibd bonus with better hours. Hence if > > for > > > the first 3-5 years they could keep this > level, > > i > > > would have been ok. Only that now it seems > that > > > even over the short horizon, it would be > > difficult > > > at best. > > > > > > If you really got an associate position at > GS/MS > > in IBD, I’d think would have taken it if you > had > > any real ambitions of getting into a top > buy-side > > shop. I’d also would think that if you were > savvy > > enough to get offers as an IBD associate at the > > two top shops, you would have done your > diligence > > to know what the compensation/exit > opportunities > > would be like for the two positions. Also, > “first > > 3-5 years”? If you’re thinking about moving to > the > > buy-side already, why would you think about > being > > on the sell-side for 3-5 years? > > > > Anyway, something about your story just doesn’t > > really add up. I don’t mean to be a critic, but > I > > have a lot of respect for people who can lock > in > > an offer in banking or even in research at > GS/MS > > and your whole presentation and delivery just > seem > > strange to me. How do I know? Because I myself > am > > of the GS/MS/ML ilk. Are you?

I don’t have expensive tastes and i can live in South East Asia by 500,000. Hence indifferent. Not because i was born with a Ferrari but because i have no desire for one. With 200 MM i can do some things i dream of and that’s interesting. Life is equally interesting with 1 or 10 MM otherwise. I saw how so many of these IBD associates and VP’s looked like…zombies. Erstwhile beautiful girls turn to dehydrated mushrooms. This thread seems to have gone bonkers anyway. Chuck it.

Agree that was my assumption. PE/VC have a great fit for ex bankers. Banking is great as a senior banker, as a junior there is little you learn. Again that’s my blighted view Straci Wrote: ------------------------------------------------------- > I think you’re wrongly restricting the buy-side to > quant HFs whereas other vehicles such as PE/VC > shops do have utility for the banker skill-set. > Even Merger arbitrage HFs could use some banking > experience. > > So, banking isn’t quite as useless as you make it > out to be, though I do agree that relative to > Quants HFs, the work is pissing in the wind. But > then again, so is ER (relatively speaking). > > > > sharpin1008 Wrote: > -------------------------------------------------- > ----- > > Top buy side shops (hedge funds) primarily go > for > > top traders or equity research guys. IBD > doesn’t > > figure too high in the list because the > knowledge > > gained as a junior banker is not really of any > > value. IBD is great if you wish to make 1-10 MM > > but you give away your life for it and for an > > amount that does not do wonders. > > I am indifferent between 2 MM and 20 MM. 200 MM > > and i am interested. Principal investing is > the > > key. Which is why i wanted to get an individual > > brand. Something you can do in first three > years > > post MBA in ER but not in IBD. > > My research told me that upto the VP level in > BB > > the bonuses can be as high as 200%. > > At least that’s the rationale for my short-term > > decision. And remember this was 2007 when being > in > > IBD was not that hot !! BTW would you be > surprised > > if i told you that over 30% of full-time offers > at > > one of these two were rejected last year in > IBD, > > London. > > I have no intention to prove my credentials. I > > just wanted to check the range of bonuses to > > verify my understanding. I have no intention to > > boost my ego or collect stats. Else i would not > > have been posting test scores last june :slight_smile: > > > > > > > > > > > > numi Wrote: > > > -------------------------------------------------- > > > ----- > > > sharpin1008 Wrote: > > > > > > -------------------------------------------------- > > > > > > ----- > > > > Problem is that this is only for one year. > It > > > may > > > > just have been a ploy to give me 100% > > > guaranteed > > > > as i had an IBD offer. If the typical bonus > > in > > > > industry is much lower than 80% then i > would > > > > revert to the figure in the coming years. > > This > > > is > > > > what scares me. If bonuses in ER are lower > > than > > > > 80% of ibd ones i wanna out. (My ibd offer > > was > > > > from top league think…GS/MS). > > > > > > > > Since i am interested in asset management > in > > > the > > > > long run, it was a good proposition if i > got > > > upto > > > > 80% of ibd bonus with better hours. Hence > if > > > for > > > > the first 3-5 years they could keep this > > level, > > > i > > > > would have been ok. Only that now it seems > > that > > > > even over the short horizon, it would be > > > difficult > > > > at best. > > > > > > > > > If you really got an associate position at > > GS/MS > > > in IBD, I’d think would have taken it if you > > had > > > any real ambitions of getting into a top > > buy-side > > > shop. I’d also would think that if you were > > savvy > > > enough to get offers as an IBD associate at > the > > > two top shops, you would have done your > > diligence > > > to know what the compensation/exit > > opportunities > > > would be like for the two positions. Also, > > “first > > > 3-5 years”? If you’re thinking about moving > to > > the > > > buy-side already, why would you think about > > being > > > on the sell-side for 3-5 years? > > > > > > Anyway, something about your story just > doesn’t > > > really add up. I don’t mean to be a critic, > but > > I > > > have a lot of respect for people who can lock > > in > > > an offer in banking or even in research at > > GS/MS > > > and your whole presentation and delivery just > > seem > > > strange to me. How do I know? Because I > myself > > am > > > of the GS/MS/ML ilk. Are you?