IB Compensation outisde of the US
Hey everyone,
I had the chance to talk to one of the exchange students at my university from Australia. He worked as a Summer Analyst at Citi in Sydney and the topic of compensation came up out of curiosity. After telling him that typically analysts in the States make 70-80k base and anywhere from 35k-60k, he responded that in Australia analysts make 110k base and 20-40k bonus.
After this conversation it got me wondering how the compensation structures are in other countries/regions like Latin America, UK, Germany, Hong Kong, etc. With this I was wondering what are the salary structures like for a 1st year analyst in other regions outside of the US?
I heard the salary for Citi IBD for Sydney was $100k AUD. But it is misleading, for example in Australia the minimum wage is like $16 AUD the highest in the world, but honestly is way lower if you take into account the actual purchasing power parity. In terms of purchasing power Australia is like 40% more expensive than the US so if you do the math and take into account the 40% and the FX difference then it all makes sense. http://en.wikipedia.org/wiki/Purchasing_power_parity If you work in ibd for a top player (Citi, CS, JPM) in LatAm they will pay you the same as NY ~ 70k but they will pay in local currency.
UK seems to be roughly 43k base, 25k-30k average bonus. Bonuses range from 20k to 50k. Taking into account the FX rates it's not too bad. I'm not how the cost of living of New York to London compares.
London is more expensive than NY, especially housing is ridiculous.
to the OP; If you've ever been to Australia you'll realize the guys there are underpaid lol. Everything there is mindblowing expensive.
Rent in Sydney is definitely on par with NY. The best thing about IB is that you rarely leave the office and that meals are all paid for and since you get no weekends, you don't really spend anything.
The thing with Australia is also that we have very high tax rates as well so you'll be lucky if you're paying just 40% of your comp into the tax man's pocket.
I know this is a positive spin on something negative, but the "best thing?"
you should go outside more often.
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