Thursday, March 10, 2011

Investment Banking Salary 2011

Time to talk about money again, as it’s bonus time for most banks.

Going into 2011, starting salaries for investment banking positions with a bachelor’s degree should range from $100,000 to $130,000 after bonus. Starting salaries with an MBA degree (associate position) range after bonus from $90,000 to $180,000. These salaries vary with firms and with the region of the country you are in.

Bonus checks in 2011 are generally smaller even for experienced bankers. For entry level bankers, don’t be disappointed if your pay is not that attractive. In fact some banks tend to pay less than others because they can get away with it. However at the entry level, the quality of experience you gain and the strength of the people you will work with are far more important than the money you receive. Maximize your present value and you’ll benefit from the great return of your future earnings. Don’t worry about taking lower pay now. Some ballpark figures available at this website:

Bank Bonus Outlook 2010/11
According to Eric Moskowitz of Korn Ferry Institute (Nov 2010) - Estimated bonuses will be flat to down 5 percent on average for the largest global financial services firms compared with 2009. Asset management, hedge fund, and private equity firms will receive slightly higher bonuses (10 to 15 percent), while fixed income and equity personnel will see the largest declines across the globe.

His report also include figures regarding
  • Global bank compensation and revenue analysis
  • Worldwide mergers and acquisitions activity in the banking sector
I have a copy of Eric’s full report. Email me at ibankingresumes(at)yahoo(dot)com with a headline "KF Bonus Outlook 2011" and I’ll email you a copy.

Investment Banking Salary 2011