Compensation

  • 23 Oct 2014 at 5:54 PM

Janus Warns Shareholders On Effects Of Hurricane Bill

bill_gross_mustache3Luring the Triple Crown of Newport Beach to Denver comes at a cost. Read more »

  • 17 Oct 2014 at 4:33 PM

Compensation Watch ’14: Fed Chairs

Screen Shot 2014-10-17 at 4.32.03 PMJanet Yellen apparently needs to sit her boss down for a frank talk re: how much she’s valued by this organization. Read more »

Figures from Emolument.Com, the real time pay data company, suggest that pay for young people in front office investment banking jobs increases rapidly between the ages of 25 and 30. When the investment banker salary and bonus are combined, Emolument puts average total pay for 25 year-old bankers at ‘just’ £67k ($109k). Five years later, it puts average pay for 30 year-old bankers at £196k ($320k) – an increase of 193%, or an average of £25.8k a year. If you’re a 25-year-old who works in investment banking, it clearly makes sense to hang around for another five years – at least. After 30, Emolument says average compensation in investment banking continues to increase, but at a slower rate. Between the ages of 30 and 35, the average banker experiences another 80% increase in total compensation, to £354k ($578k). Between the ages of 35 and 40, total pay increases by another 48%, to £430k ($702k). [eFinancial via Matt]

…in which case, better luck next time. Read more »

  • 21 Aug 2014 at 11:49 AM

Pay Hike Watch ’14: Raises For Everyone (Under 25)!

Well, raises for everyone at Goldman Sachs, Morgan Stanley, and Bank of America. JP Morgan and Citi are still pondering this one. Read more »

  • 20 Aug 2014 at 12:53 PM

Pay Hike Watch ’15: The Youth Of Goldman Sachs

The youngest members of the House of Lloyd are said to be in for a nice little salary bump. Read more »

But the factor the book did not predict…was the decline in pay, after the financial crisis. “I think we misdiagnosed the problem,” says a banker who has worked on how to retain young staff. “It’s not that the junior guys are working too much. It’s that the value proposition changed.” Not long ago, it used to be clearer cut – the work-life balance was skewed towards work but made more easy to swallow by large amounts of cash and stock. “It’s a terrible time to be a banker,” says the bank employee working on staff retention. “You are on the road three days a week. You are getting paid substantially less than you were getting paid five years ago.” Another senior banker admits he enjoyed his first $1m year before he was 30 – which was a realisable ambition for young analysts entering the trade a few years ago. Today, it is a long-shot. [FT via Lauren LaCapra]