Equity Research hierarchy and salary range?

What is Equity Research hierarchy and salary range? Salary range for Analysts (the senior ones) I've seen ranges for Associates not the Analysts. Is there a potential to make millions like in IB and Consulting?

 
Best Response

Not an expert, but know quite a few people on the sell-side or I-banking in their late 30s and don't know one who earns more than $1MM. I think that's reserved for those who reach managing director level. Big money is in the buy-side. We all know how much HF traders can earn. I had a gossipy recruiter friend who tried to place an MF manager of a medium-sized intl fund, and the firm he represented offered a $700k base. A mutual friend of ours runs a bond fund and his bonus alone was $1.2MM in 2010. Both were in their early 40s.

 

it's shitty at the MM banks b/c bonuses can't be backed by deal flow. It's still very important and as research is linked more to trading than IB, you'll see things rise again. Still lots of money to be made.

 

You have NO idea what you're talking about. Top bucket pharma ER guys are on 7 figures in pounds. Remember, there is an 80/20 rule at most BB's as well.

Remember, ER is now tied to trading/sales, not banking.

 

Fine, so what's your source: Vault? Gossip? Wishful thinking and why are you pointing esp. at Pharma ER as if this would be something special? ER is a poor professional route and that there might be outliers in compensation (which I heaviliy doubt) will still not change the picture: Max 200 k USD all in. Of course you can make a lot in trading, but then you need to be directly involved in trading...as a trader... A researcher is a support function.

 

have you completely lost your mind? ER as support? The whole equity desk would collapse without ER - it's the variety that keeps people selling and traders trading.

I know 3rd analysts pulling 200k in.

Also, I think you have much better exit options to the hedge fund and asset management world when you're in ER - it's not what it used to be, but 200k all-in, that's a fucking jopke.

And, who do you think hedge fund managers dish out votes for? Execution guys? Fuck no, it's ER/sales and S/T

Seriously man, you have no fucking clue what you're talking about.

 
ratul:
have you completely lost your mind? ER as support? The whole equity desk would collapse without ER - it's the variety that keeps people selling and traders trading.

I know 3rd analysts pulling 200k in.

Also, I think you have much better exit options to the hedge fund and asset management world when you're in ER - it's not what it used to be, but 200k all-in, that's a fucking jopke.

And, who do you think hedge fund managers dish out votes for? Execution guys? Fuck no, it's ER/sales and S/T

Seriously man, you have no fucking clue what you're talking about.

He is trolling. And you took the bait.

 

haha, what a noob. I know ER guys who easily make your salary and more. Congrats on being 32 btw and posting here - you're a cool guy.

And because your client defines ER as support totally means it is right? You're not even in banking, how could you have any clue? You think traders make trades just randomnly without understand of the specified stock? Hedge funds trader through a desk after recommendation from ER - that's how it works. Good job on being in your mid 30's and having no clue how a bank works.

200k USD all in?! What a jopke.

 

Well, coming back to your points... Maybe I don't know about banking, but my client certainly knows better than you: support function! But to help you out of your ego problem: ER is the coolest place and they earn more than MDs and cetainly more me.

I am 32 and posting here because I am bored and came across that board when doing a recruitng strategy for another client; I am getting my 3k USD daily but have fortunately nothing to do except a board meeting next week which is prepared and I am really running out of web sites to surf through. Unfortunately I am stuck in this country 4 days a week and there is not much to do / need to be around in the bank during the day... In the end I don't give a shit how banking works as long as I am making my 500k and still can do my 4 months of holiday/year and only work 4 days a week...

 

tomtom, i do not think you have too bright of a future in consulting if you can afford to take 4 months off each year! what if this client is out? how are you gonna get the next one? you should use that 4 months to network or something cause now you make 500 000 but i would be careful cause you might have to live off of this money for the next 4-5 years to come...who knows you might even have to beg for an ER job at this BigBank client ;-)

ps: what do you mean by recruting strategy? since when have strategy consultants dealt with this?

ps#2: which MBA did you go to? probably HBS, right?

 

IBW..., I primarily care that I have a great future in my life and the 4 months of holiday are an integral part of it:-) To be able to do that is a part of the success. Of course I could make 800k this year and work all the time, but then I wouldn't enjoy life as much (by far). My current client really has deep pockets and I know so many MDs and alike here and some of them I also would consider kind of friends that my fear is more to get out of that client than to stay in. I have another client waiting to start a project with him and some other options so for the next 2-3 years I could easily "sell" my time twice. Of course that's also very much due to the strong market. I have savings of aroung 750 k USD invested in securities and I debt free own the appartment I am living in (have to admit my parents bought it for me) so I am in a comfortable position anyway. I am saving around 200 - 250 k USD per year so my capital increases and in the worst case there is no more business in 3 years then I am left with around 1.5 Mio USD which gets me net 100 k USD so I really don't care, but ER I couldn't do anyway. But in the end money doesn't matter really anyway...I use to think on the surfboard in Ibiza.

Recruiting strategy means that the "War for Talent" gets fiercer and fiercer and in a people business as banking those are the reâl assets. So how to get the best people? What you then do is kind of defining the EVP (Employment Value Proposition) which is similar to a brand positioning in the consumer manrket and then you have to communicate (Marketing) and also live up to expectations of the employees (kind of operations, I would say). It's a hot topic in consulting and easily replicatable with different clients. I also did a thing on that when being with McKinsey, they are for sure strategy consultants;-) HBS is a great school and marketing tool if you've been there, isn't it?
By the way, what are you up to?

 

How hard is it to start your own boutique after qutiting the Firm or any other top shop? This exit opp really sounds good to me and would like to have when I am "grown up"! So what is required to start your own consultancy? What do you have to pay attention to while at the firm? Contacts,.....what else.....???

 

research has definitely taken a hit in the last few years but like any other business function in a bank it has a cycle.

the government has tried to tear down the entire sellside research industry, putting more focus on independent research shops and the buyside's own research. but i think it's pretty clear that sellside research will continue to exist and prosper.

many view sellside research as a cost center but that's only because it does not generate direct revenue. without research the entire investment community would crumble. research is where ideas are generated both for the bank and the investors. research at big ibanks have the resources and manpower to provide that entire package.

it's impossible to deny that analyzing companies and their securities is a fundamental part of wall street. it seems like sellside research has hit and gone past the lowest part of the cycle and ibanks are already beginning to regrow all aspects of their research business....er, fi, strategy, emerging markets etc.

 

Qui ut porro maxime vel provident quas temporibus quos. Incidunt alias perspiciatis animi in dicta animi soluta hic. Tempora praesentium quaerat qui velit animi.

 

Neque veritatis facere dolores ducimus. Impedit totam modi tenetur.

Sint magnam architecto alias fugit. Tempora sunt voluptate soluta et nemo. Qui voluptas consequatur ad. Vitae dolorum odit commodi non. Temporibus eaque est tempora reiciendis saepe omnis. Illum doloribus vel rerum sed aspernatur voluptatem. Voluptatem recusandae magnam necessitatibus est sit numquam.

Career Advancement Opportunities

March 2024 Investment Banking

  • Jefferies & Company 02 99.4%
  • Goldman Sachs 19 98.8%
  • Harris Williams & Co. (++) 98.3%
  • Lazard Freres 02 97.7%
  • JPMorgan Chase 03 97.1%

Overall Employee Satisfaction

March 2024 Investment Banking

  • Harris Williams & Co. 18 99.4%
  • JPMorgan Chase 10 98.8%
  • Lazard Freres 05 98.3%
  • Morgan Stanley 07 97.7%
  • William Blair 03 97.1%

Professional Growth Opportunities

March 2024 Investment Banking

  • Lazard Freres 01 99.4%
  • Jefferies & Company 02 98.8%
  • Goldman Sachs 17 98.3%
  • Moelis & Company 07 97.7%
  • JPMorgan Chase 05 97.1%

Total Avg Compensation

March 2024 Investment Banking

  • Director/MD (5) $648
  • Vice President (19) $385
  • Associates (86) $261
  • 3rd+ Year Analyst (13) $181
  • Intern/Summer Associate (33) $170
  • 2nd Year Analyst (66) $168
  • 1st Year Analyst (199) $159
  • Intern/Summer Analyst (144) $101
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”