Middle Office Close to 100% Bonus?

One of my buddies is a quant(first year, base is at around 150k) working in the middle office (model validation/ risk management) and they just had a meeting and his boss told him that their year end bonus is targeted at 96% ?! Can quants in other BBs confirm this?(and this dude works less than 40 hours a week!) I'm a bit shocked. 

 
Most Helpful

Why are you considering model validation/risk management a MO role? I think it’s actually part of the core business of quantitative finance and the people working in that division are as qualified/have similar backgrounds to the other quants. From my understanding, as people get more senior in quantitative development they tend to move toward model validation a lot more since it requires more experience in model development. The YouTuber Dimitri Bianco has a lot of videos on the subject and is an example of that since he’s quite senior now and works in model validation. The most senior quants I met (~5) started in model development and moved to model validation too.

It’s not the same as risk management roles in other fields of finance. Someone working in model validation/risk management will be considered a real quant the same way someone working FO in IBD will be considered a banker. At least, that’s how I understood it from Dimitri’s videos on quant finance and talking with a few quants, I am in no way an expert.

 

I have actually talked to model val/risk quants at my bank(C/JP/MS) and it seems that everyone who is VP or below there is dying to move into FO to be a desk quant, also at my banks' MO quants will get bonus more like 60% max. My friend who's got 96% bonus works in WF, according to him, WF hires quants more selectively(almost everyone is a Phd), the pay gap between MO and FO is minuscule.

 

Id sint quidem consequuntur quidem minima. Et quis qui quisquam omnis. Qui culpa minima ipsam aut ab. Vero reiciendis odit nesciunt officia earum aut sunt aut.

Officia consequatur laudantium et praesentium sed ut cupiditate. At suscipit rerum nesciunt qui quam. Corporis ea culpa tenetur cum non a.

Career Advancement Opportunities

May 2024 Investment Banking

  • Jefferies & Company 02 99.4%
  • Lazard Freres No 98.8%
  • Goldman Sachs 18 98.3%
  • Harris Williams & Co. New 97.7%
  • JPMorgan Chase 04 97.1%

Overall Employee Satisfaction

May 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

May 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

May 2024 Investment Banking

  • Director/MD (5) $648
  • Vice President (20) $385
  • Associates (91) $259
  • 3rd+ Year Analyst (14) $181
  • Intern/Summer Associate (33) $170
  • 2nd Year Analyst (68) $168
  • 1st Year Analyst (205) $159
  • Intern/Summer Analyst (146) $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...”