What’s the starting salary at a HF? Ballpark is good, but let’s say qualifications are straight out of college. Let’s say location is NYC.
And how do analysts make like 400-600k in 2 years at a HF?
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I’ve heard it is similiar to banking
To answer 2nd question if base is 150 and bonus 100% then year 1 is already 300k. If they do that again then they have made 600k over 2 years
Wow so you Guys are saying salary is this high? Straight out of college?
My recruiter told me 55-80k with bonuses between 20%-90%.
Who is your recruiter?
And yea these numbers seem reasonable and fair to me…
It all depends on the fund, the role, etc. The “top” (hard to get into) funds that hire analysts straight from undergrad are $200-400k all in first year. Yes that’s a large range, $400 is an extreme outlier, you are usually looking at closer to 200-250kfor most, with potential for big signing bonuses and quants will pay higher.
Sounds reasonable
Just curious, which HFs (SMs specifically) fit the $300k+ bill out of undergrad?? Could you share some examples of funds/typical characteristics? Thanks
Somewhere like p72 will give you ~200k starting in first year out of undergrad. Obviously will grow with time but you need to become an analyst contributing real PnL. Promotion to that depends how good you are. Or maybe you get fired along the way.
Wow okay guys. Just to make sure, I am referring to power trading hedge funds in NYC. They’re also in Houston. Does that change anything?
Wow okay guys. Just to make sure, I am referring to power trading hedge funds in NYC. They’re also in Houston. Does that change anything?
I’m not sure if I understand what you mean by power trading
I’m sure you heard of commodity trading? So I’m referring to electricity? Like FTR,CRR,etc
Yes slightly. I think the numbers of half a million referenced above were for the major hedge funds where the founders are making millions/billions a year and have plenty of money to pay juniors. Maybe your situation is not so comparable even though it is still a hedge fund firm
The range you gave is reasonable for the role and location. Power trading is unusual in the context of hedge funds, although they do exist. Would expect pay to generally be below street unless you're at a top team
This sounds fair / good to me too
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The average age of poster on this thread must be below 20. Do kids not have anything better to do these days?
100%. Also, my recruiter who has broad market perspective told me this is the comp range, but let me ask online a bunch of unknown randos so they give me the 3stdev datapoint I'm looking to validate. Surely they know better!
Lol. Funny take on this thread
Sorry if I piss you off with my naive post my man. I just graduated with EE and never even thought Of working for a HF, but getting interviews now. Came here solely to seek help 🙏
I’m with you man. Questions and asking for help is good
85-150k is market assuming less than $1bn AUM. Analysts at large funds may pay more and pay scales rapidly at top tier funds.
Wow okay. Damn there’s a vastly different range. Do all HR file SEC? Any way I can find out what their revenue is?
Wow okay. Damn there’s a vastly different range. Do all HR file SEC? Any way I can find out what their revenue is?
Wow okay. Damn there’s a vastly different range. Do all HR file SEC? Any way I can find out what their revenue is?
Wide range. At least expect 150
I would expect a very broad range. The size of the fund is an obvious variable. Another is what you bring to the table. In a fundamental strategy, it can be very hard to know if an analyst will develop into a moneymaker and it's hard to make a concrete case why one candidate is better than the other untrained people you could hire. In quant funds it can be somewhat different. You can rank candidates with a bit more precision based on say, a coding interview or how they do on the Putnam. Like comparing NFL prospects based on 40 yard dash times, it isn't a perfect predictor of success in real competition but you'd be willing to pay more for someone with better scores.
In any case, getting an offer with a fund is a great outcome. You should focus on the learning opportunity above all since if you become a highly skilled professional you will be able to earn many multiples of your starting comp. By contrast, careers in this industry can end pretty early if you don't get good. I took lower cash comp offers to work for places where I thought there would be more intellectual growth, and that paid off for me.
Congratulations.
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