VP questions

I cant comment on the bonus part, but you definately will not be getting a guaranteed 350k a year in base

May I ask how old you are?

May I add, if you have an VP offer, why hasn't your Bonus expectation and base salary had detailed discussions. First node of advice would be to discuss with them, and a headhunter to see if its in line with market.

I am 30.
Limited discussion as I have been dealing with the MD at that bank that we usually deal with to help us on some deals... he just told me that if I was interested he could get me on his department as a VP. No specifics about incentives at this point.
I will not give up my current job unless I can reasonnably make $6/700K all in, given that I can clintch an MD role in my current company within 2/3 years - which will get me $6/700K as well risk-free.
thanks for your answers.

I don't want to hijack your thread, but would you mind telling us how you got into your current position and what your background is?

Well, in banking your bonus levels (which will be 100% or more of your base) will be much more volatile from market conditions and bank performance. I don't know specifics about base/bonus break out, but I do know that 1st year VPs that I was close with last year told me they cleared 600 easily last year (remember though, it was a boom year in M&A) including cash and stock comp. A 2nd year VP I was close with cleared 700. And a third year VP that left my bank for another BB got a gauranteed promotion to director and all in comp "starting with a 9." Bonus intel this year is that we are flat to 15% down from last year.

(not Ivey) through recommendations into the company financial leadership program, then joined the internal audit team (which is what 60% of our C-level 3 vice-chairman went through). That basically put me on the fast track and allowed me to choose any job when I "graduated" from this program. I chose their Corporate BD department as an associate and got bumped to VP after 2years.
To be honnest, no BB bank would have look at my resume when I started given my average pedigree.. even if my GPA was 3.9. They would have never given me a chance to showcase my critical thinking, leadership & execution skills.
Now that I have proven to be risk-free for them, I really need some green to leave what I have.
Fair, isn't?

1. base for a first year VP is probably between $125 and $135.
2. i don't know '07 numbers but i believe '06 bonus were in the neighborhood of $400-450 for first year VP. 3. bonuses fluctuate more the higher the position. yes, there are good and bad years and your bonus will fluctuate accordingly. the only way to have a guaranteed bonus is to negotiate it before you sign. you can ask for a 2-yr guarantee. given the market, its probably tough to even get a 1-yr guarantee since you are new to banking but if they like you enough, you may have a shot.
4. average VP probably works 60-70 hours with fair amount of travel. You may work longer your first year since you are new to banking and need to get up to speed.
5. given the current climate, nobody's job is secure. being new, you are always at a disadvantage because you haven't built up any political capital.
6. the VP to SVP/Director promote is relatively easy. You should spend 2-3 years as a VP. SVP to MD is a little tougher but frankly not that hard either.

someone please correct me if my numbers aren't right.

hope this helps a bit.

Just judging by your questions, it sounds like you are a bit concerned with the stability of the career and the work/life balance. Also judging by your questions, you should probably be MORE concerned than you already are. Yes, you will be cut in a downturn QUICKER in IB than in Corporate. The bonuses fluxuate more than you probably think. I also know the environment is alot different in banking than in corporate (having spent time in both), and alot of people have difficulty adjusting once they are used to one way of thinking / acting.

Im sure things will work out for you either way, but I would definitely find out a bit more about the group / bank / compensation expectations at the BB.

Stay where you are mate.

(although I normally do anyway).

If you move, you will be one of a large group of investment banking VPs and business will slowdown with the economy - meaning either redundancy or cyclical trough earnings.

As you said, staying where you are will get you to MD position in 2/3 years - that's pretty young to be in such a senior position and puts you on the fast track for senior management (either in your present company or CEO of a smaller company).

Quite frankly, the money should be irrelevant to your decision at this stage.

Thanks for all the details and perspective. I indeeded needed a sounding board. As far as exit strategy, I agree with John Mack -- I have some good opp'y to get a $1B company CEO within my group within 5years. Hence money would become irrelevant- even though the thought of living in NYC is definitely more attractive.
I really thought IB were making more than that - at least at VP level
Thanks again

...I speak from experience.

ex-banker's point list is the closest overall, with the exception that Game Theory has the better all-in salary estimate, and also I think its considerably harder (politically and professionally) to exponentially move up the ladder once you're past VP.

You've obviously done well for yourself at your firm and it sounds like you're still on the fast track. Jimbos right, stay where you are.

PM me if you want more specifics.

I would not move to IB if I am in your shoes.
Lifestyle sacrifice is not worth the marginal increase in pay that you will get..

best.

If you like where you are now, you should definitely stay.. seems as a safer bet and easier to move up the ladder..

IB is quite rough lately, and they would certainly promote someone who has been around the company than a newbie after 2 years..

Ling~

It sounds to me that you work at GE (though the comp seems to have gone up a lot...), and if that were the case, you'd be way better off sticking with the job security there for a few more years and wait for a slight rebound in the market before heading for something in banking.