Liquid credit shop PM compensation?

PM compensation at liquid credit shops can vary significantly based on performance, firm size, and AUM. Based on the most helpful WSO content:

1. Compensation Range for PMs:

   • PMs at liquid credit shops typically earn between $800k to $5M+ annually. The upside depends heavily on their P&L performance and the firm's structure.

2. Comp Progression:

   • The progression to PM is challenging, as PM seats are limited. It often takes 8-12 years to be considered for a PM role, depending on performance and firm dynamics.
   • Once in the PM role, compensation scales with performance. There is no ceiling on PM compensation, as it is often tied to a share of the profits generated.

3. Key Notes:

   • Senior analysts aiming for PM roles can earn $600k+ with upside to $1M+ before transitioning to PM.
   • The trajectory for PMs can lead to 7-8 figure earnings, but competition for these roles is fierce, and the top positions are rarely vacated due to their stability and lucrative nature.

Let me know if you'd like more insights!

Sources: Q&A:Commercial Banking SVP Ask Me Anything, Credit funds, What I've Learned About Hedge Fund Structure and Compensation, LO Asset Management Comp Update (At Top 10% Shops), Q&A: VP in LO Public Credit