Average age of analysts/associates
I was just wondering, what is the average age of analysts/associates? Are there unofficial upper limits?
I am considering getting into an MBA to transition into finance from economics background, and would be in early 30's upon completion of the program. Would that entail Associate level positions or more specific titles at completion? I am not very familiar with the titles in finance, e.g. controller, director, vice-president, etc.
If you came in with an MBA it would almost definitely be as post-MBA associate. After that there is VP, ED (sometimes), and MD.
Is there a difference between post MBA associate, and post analyst associate, or associate pretty much implies an MBA? Some people transition from analyst straight into associate without going through an MBA. Would that be something typical, or is a different kind of rank of associates in terms of pay and what they do?
just curios to know if you come from say marketing then go to mba, do you come into an associate role or only if you have finance background?
Well, some banks' culture fosters the analyst-to-associate promotion track, i.e. GS is huge about keeping its analysts right now. At MS, they have a specific title and program for A2s staying on for a third analyst year before jumping to associate.
Associates who were analysts tend to have greater technical knowledge out of the gate, for the simple reason that they spent years in banking already compared to someone who just finished their MBA and started that month. I don't know much about the pay structure but I imagine the base is the same but bonuses might differ a bit. That's a guess though. In short, title is the same, pay is the same (differs only by rating), but an analyst-to-associate would probably move up a bit quicker because it's clear he's chosen to say on the sell-side.
Thanks Posse, make it more clear now.
Analyst-Associate appears a sweet deal if you can get it, saves you 2yrs and 100k on an MBA program.
That's true, but you do miss out on the great 2 year vacation that is Bschool
Not only that, but going analyst-->associate-->b-school will make it way more likely you come out as an IP post MBA. Going analyst-->bschool-->associate will make it tougher to transition to IP at whatever firm you go to outta b-school. you'll likely have to go to another firm after a few years as an associate, and then leave for an IP role. Not always the case, but it's way more difficult to get promoted to IP from associate than to come IP from b-school.
IP? Apologies for my noob question
Analyst to Associate is a sweet gig if you can get it, but from my experience, alot of A2As burn out after a year or 2 as an Associate. There's just something tough about being in banking for 5 years and still getting sh*t on day in, day out.
Pay is identical with A2As actually having an advantage in the ratings process given that they don't need to spend 6-8 months getting up to speed like their post-MBA colleagues. However, A2As do get a little pigeonholed, in that it becomes much harder to do anything other than banking because of the lack of an MBA and the serious compensation cut one would have to take to leave.
The typical track I've seen is that A2As stay on for the first full year bonus (18 months after promotion) and then either head to bschool or the buyside (if possible).
Investment Professional. Like a Portfolio Manager, Product Manger, etc.
a
Thanks guys, very helpful discussion.
So when do professional titles start in banking, such as in risk, operations, compliance or other fields? Is there a split after an associate/vice president level and some stay in banking while rest move into PE/HF?
Sorry for a double post... making it triple now :)
Titles are the same across divisions, compensation differs though. In IBD, most people by far move to the buy-side after analyst. Some who began banking as post-MBA associates manage to make the switch as well, and some MDs get pulled as experienced hires.
Rarely an intentional double-post, but I knew I'd saved a discussion about this from awhile back. The guy is VP+ at a BB firm, his comments are pretty insightful. //www.wallstreetoasis.com/forums/mba-vs-direct-promotion
SB me for digging that up? :)
Actually, GK is an MD. Thanks for digging this up though, always a good read.
If you graduate from MBA in early 30's and become an associate you'll likely be on the older side of your associate class, but it's nothing abnormal at all--- as plenty of people get their MBA's after 30. From what I can tell it starts to get "abnormal" when an associate is around 36 years old. If you're 33 and going to be an associate though, you should be ready for the fact that there will be a number of 25 years olds around who were A->A hires and who will know a lot more than you do and basically have the same level of seniority (but in some ways more as they'll be more skilled at first).
Thanks posse and Pymp, great insights. That post was definitely worth digging for.
I wanted to drag the discussion a little bit into a different direction. Looking into longer term, do you think its necessary (or preferred) to have a sales/manager type of personality for an MBA? What GenghisKhan talks about in his post is how there is a large washout within banking after associate years, once people start to move into client facing roles; and consequently the criteria on which they are judged changes considerably. So as a result many people move into PE/HF. If you thought of an ultimate transition into PE/HF, how would you say an econ/finance PhD program at a solid school compares against an MBA? Does the network matter that much in PE/HF environment?
What is the average age of a first year M&A analyst:?? (Originally Posted: 06/02/2007)
DO BB´s only hire for first year analysts recent undergraduates... or this is not such an strict parameter..
is it normal to apply for this position being 25??
I'm 21 .. I think I'm at the bottom of the range .. I'd say average is 22-23. The reason alot of hires are out of undergrand is because most come in from on-campus recruiting.
25 certainly isn't too old .. you'll probably have a harder time getting interviews unless you have a good set of contacts in the industry .. submitting your app through the websites is useless. Also, assuming you can get an interview, you're going to have to explain exactly what you've been doing since you graduated.
OK keebler thx a lot for your feedback....
and what do yu think of having an MSc in Finance before entering as an analyst..???
depends on where you have it from
Age is much less relevant than graduation date, experience post-graduation, etc.
21-22
yea, i hear it is quite common in the UK to have an MsC finance prior to doing an analyst stint...not as commin in North America though and I don't think banks even recruit from Ms Finance programs in the US for their M&A practice
Age sometimes comes into play because banks prefer that you don't have too many commitments outside of work. The average 25 year old will usually have more life responsibilities than a 21 year old. With that being said, the average starting M&A analyst is fresh out of undergrad, so usually 22.
Curious - Average age of ER Analyst (Originally Posted: 06/12/2014)
Just out of curiosity, considering the hurdles to breaking into ER (CFA, MBA, marketable experience, etc.), what is the average age of a ER analyst?
I graduated a year ago and currently work in middle office support at a MM bank in Chicago. Eventually getting into ER is very appealing but I would like to consider life outside of work. Currently, I'm studying for the CFA and working with a small startup on the side just for the heck of it. I'm considering an MBA in the future if necessary. Overall, these are long-term tasks.
In short, I'd like to know how much time ER analysts sacrifice prior to obtaining the actual role. I understand answers may vary quite a bit.
Any ER Analysts/Associates on the forum feel free to throw out a number.
Huh?
Average age? Probably low 40s. Average age of obtaining coverage? 30-40.
People with responsibility for coverage at my shop range from about 30 to 60+. Average age is probably 35-40.
I was under the impression associates are hired for 3 years and if they make direct promote they'd be an analyst with coverage at 25. Even with an mba it'd be late 20s, no?
It can be late 20s definitely, After 3 years you normally still know nothing but that also happens. It's very ad-hoc when it comes to transitions to Analyst role as it depends if your boss leaves, if your boss is well respected, if you managed to gain the respect of your clients, if other banks are desperate for a new Analyst to fill a gaping hole and so forth. The path to becoming an Analyst is much less structured, you may become one quite quick, you may never become one, even having some coverage of your own is very Analyst-dependent.
I agree with 30-60 and average of 40-45. Occasionally late 20's guys will get coverage but usually it's just a handful of SMID names that banking wants covered. It's hard for young, new analysts to get respect from the sales force. See more young analysts at bucket shops because they're cheaper.
Will age matters to getting a job as equity research analyst? (Originally Posted: 11/29/2007)
I want to build a career based on equity research. However, I am 25 years old now, and have no previous experience in anything closely related to the financial industry. Do they care about the age so much that mine will be an impediment?
Your age will absolutely not be a hinderance but you will still need all of the pre-requesites to get your foot in the door (i.e. strong academic background). I would apply everywhere you can and take advantage of your alumni database. good luck.
age isn't as much a problem as the motivation and the lack of finance experience
I wonder where ur now
How old is everyone here that is in ER? (Originally Posted: 03/10/2014)
Hi Guys, long time lurker, posting for the first time.
I'm currently working in an Asset Management firm working on the sales side, I want to eventually get into ER. All the people in my ER department is pretty old it seems like (40-55). I'm 24 now. Just wanted to know the average age of ER on this forum, just for my curiosity. I want to start planning my career path and just wondered if 24 would be too early to even get considered for ER as it seems it takes quite a bit of industry experience.
Average age of this type of role in your opinion?
Thanks for any feedback!
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