Economics Job Market Rumors » Private Sector Job Rumors

finance industry offers

(37 posts)
  • Started 7 months ago by Anonymous
  • Latest reply from anonymous
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  1. q36spacemodulator
    .edu Registered

    Right for all areas. 1st year associate base salaries (quant, MBA, whatever) are pretty standard across major banks (GS, MS, JPM, Barclays, CS, DB, etc) across all relevant areas (trading, research, ib, risk, etc). This year, first year base salaries have been around 100k USD in the US and on the 60-65 range in the UK (direct conversion without taking cost of living adjustments, sadly).

    That's quite a drop from even a couple years ago. I remember us discussing offers to make and having a canned speech because the 120k base was too low. That was nearly ten years ago. (For a trading group, so people knew there was upside.) $100k for a risk job where there will be little bonus (compared to other areas) sounds like a possible dead-end.

    Aside from what the market is paying, 65k GBP with the new tax plus London living costs is... well, untenable is the word that comes to mind. Even $100k in NYC is hard to live on.

    Posted 7 months ago #

  2. Anonymous
    Unregistered

    will u accept it?

    Posted 7 months ago #

  3. q36spacemodulator
    .edu Registered

    ^ Are you asking the person with the offer or one of the peanut gallery (myself included)?

    Posted 7 months ago #

  4. Anonymous
    Unregistered

    Sorry for the confusion. I am asking the person with the offer since I may interview with the same bank.

    Posted 7 months ago #

  5. Anonymous
    Unregistered

    q36spacemodulator or someone with knowledge of careers in banking:

    What is a typical base salary, e.g., 5 years down the line? Also, any ballpark %s on bonus (entry or at any point in the career)?

    Posted 7 months ago #

  6. q36spacemodulator
    .edu Registered

    Base generally doesn't move much to give them flexibility to reduce payouts in bad years. (I recall a few MDs who got 160k or 180k for base.) The growth is in your bonus. For non-trading-related researchers, it is not unusual for seasoned researchers to take home a total in the 300-500 range. If you can point to some cash that resulted from your research, you could see 400-800 (or more) a few years down the road; however, you will probably never get more than a few % of the profit. Banks are stingy.

    Now: this is all assuming things go well for you. On the other hand, you could end up like one guy we hired who never was able to understand the urgency of research nor the seriousness of losing money. He was stuck at somewhere in the 130-150 range (total) for years.

    Ways to up your bonus: get into a trading research instead of just plain research group; be part of an interdisciplinary trading group; or, got to a hedge fund or prop shop to do research. In fact, most people leave for hedge funds or prop shops because they are tired of the bank keeping 95% of the money they generate. (Or lately: because they don't like the salary troubles at large TARP banks.)

    Posted 7 months ago #

  7. Anonymous
    Unregistered

    Who did AQR hire?

    Posted 6 months ago #

  8. Anonymous
    Unregistered

    base salary becomes less important as you climb the ladder. if you are at c-level, the base salary is just 5-10 % of your total.

    Posted 6 months ago #

  9. Anonymous
    Unregistered

    ^ right, and if you are the Pope you get to wear those cool hats. The point is that few people make it to "C-level."

    Posted 6 months ago #

  10. Anonymous
    Unregistered

    ^ Doesn't matter. The C-level executives at an investment bank are not the highest paid employes. That's been the case for decades.

    Posted 6 months ago #

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