JPM: Private Bank vs. Investment Management
What is the difference between these two groups? A friend just got an offer from JPM PWM but he can't really articulate on what each group does.
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the private bank serves clients in the 5-80 million range. I was offered a role at JP - PB and learned a lot in a short about program. They have small teams assigned to each client and you play a nice role in getting face to face with clients very fast. The pay is flat but you dont take much risk. Lots of 8-6 days...
Investment management actively manages portfolios, whose composition depends on the group--it's the second largest banking asset manager out there (behind Barclays). You might compare it to a more diverse BlackRock outfit (ie. the equity and fixed income groups at the least). It's composed of the strategies as listed here: http://www.JPMorgan.com/pages/jpmorgan/am/ia/investment_strategies.
In terms of an easy analogy, PB is, as far as I can tell, a classic private wealth management arm, Asset Management is a more diverse than usual asset manager.
What do you mean by "the pay is flat?"
How is the pay?
Asset Management at JPM has three divisions: private client services (PCS), private bank (PB), and investment management (IM).
PCS handles clients worth approx 5-25M dollars. Classic wealth management. Boring work, operations range pay (60k, 5k bonus).
Private bank handles the 25M+ clients. As far as PB's go, JPM is #1 (for what it is worth). The product groups are interesting and are great for economics majors who want to do market analysis. The banking groups are awful. Pitchbooks are your main task, but there merely for rich people, not corporations (feels like a 2nd-tier IB).
Investment management is where you ultimately want to be. Their analyst class takes in only about 25-30 people. They deal ONLY (a few exceptions) with INSITITUTIONS (pension funds, etc). Great product groups all around, and great exit ops to other buy-side positions. In fact, I would say IM is probably the only port of AM that gives any exit ops at all.
Re: pay is flat. He means that (at the analyst level), you won't experience huge growth in pay. While IM probably pays the best (PB right up there, PCS way down), it only gives abut 60k base, 10-25k bonus. 5k base raise, 15% bonus raise approx annually. All in all, the higher you get the more you money grows (esp at the portfolio management level), but you can def. leave to other buy-side spots from IM and significantly grow your income.
what's the base+bonus for IM? -what sort of experience would they look for? -how competitive is it compared to say, PWM? -Would accounting majors be welcomed?
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Investment Management vs Private Banking (Originally Posted: 01/25/2012)
Can anyone give me just a few basic details as to how these differ? I have an interview with both and it's hard for me to find the difference...
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