PE Analyst Comp
Looking on behalf of an analyst, any idea for where to find PE Analyst Comp numbers? Am sure there must be a report like the one from Odyssey Search (doesn’t break out fund size) or Heidrich & Struggles (only shows associates) that shows this and breaks out comp by fund size (otherwise will skew mega fund).
Assume market floor for A1 in NYC/SF starts at: 100k base and 75% bonus with a bump to 200k all in for A2?
For example, base 75k and bonus 75k would be considered below market for a fund of any size, correct?
My FT analyst offer (5B AUM MM in NYC/SF) was 100k base and 50k bonus so I don’t think something less than 150k all in is entirely out of the question for a city outside of the major hubs. Would say the lower pay becomes more normal once you get to funds 5B AUM and you see a greater variance in pay bands.
Thank you for the color. Am I correct in assuming your offer was an An1 offer?
Based on that, would you say it’s fair to assume that the An2 getting paid a 75k/75k is under-market in NYC/SF if the firm is ~5bn AUM in PE?
Asking for clarification, as I have yet to see that low of a base in this market at 75k. Additionally, the dude is a second year and probs pays higher taxes on the bonus. Not sure if I’m missing something in thinking that’s off, even if the all-in is close to an A1. I know PE analysts outside of MFs take a discount to banking, but seems hard to believe the gap is that wide for second years.
Yep, An1. Agree the comp package seems a bit below market from the low base, especially for 5b AUM and NYC/SF. Haven’t seen a base that low either
Delete.
My offer for MM / UMM NYC/ SF was 120-130k base and 75-125k bonus. Have heard everything from 150k-250k as pretty normal from friends.
Got it - seems like the Analyst is on the low end of market but his base is what isn’t market and probs should be fixed lol
Assume the 150-250k numbers for An1?
Yeah A1s think they keep relatively in line with banking with a slightly bigger range between funds but less variance in bonuses year to year due to nature of PE
Sounds about right — at large cap tech growth/pe w ~200k TC
Very different market, but I made $100k all-in (75 base, 25 bonus) as an analyst at a LMM fund in TX
Wow - assume this is prior to 2022? Those numbers sound like pre-pandemic LMM and outside of T1 COL city only?
As if $100k to work at a small shop in your first year out of school is somehow peanuts. I think a lot of people on WSO need to realize that by far the largest factor driving salary/pay is fund size/AUM which is where management fees come from.
“Must be pre pandemic tier four COL city”. Maybe he just works at a smaller fund lol.
True, but he’s also writing as a second year associate so it suggests that the numbers were pre-pandemic and also informed by being located where COL must be lower than the other numbers quoted.
I wasn’t trying to jab but trying to get clarification as, again, analyst numbers are not very transparent. Fund size and AUM, of course, play a role, but so do other factors like pre/post pandemic, COL, individual performance, company performance, etc.
Each story/number quoted is helpful for the analysts as they don’t have a large sample set like the others. So if an upper or lower bound is quoted, they should have an idea of what factors went into that. To that extent, I hope this discussion is helpful for the analysts or gives them more data so they are informed.
100k is a lot of money - don’t get me wrong. However, the devil is in the details especially for folks on a lower base as living costs are fixed to an extent and inflation & diminishing relative spending power is likely making it harder for the guys on the lower end of the data set.
2020, TX, LMM fund. Associate went to $160k, then $200k as a second year (includes revamped payscale for industrywide salary increases)
Delete.
run away
Lower cash comp than market - but nice to have carry. Would say unless you are planning to stay long term, carry won’t be of much benefit. I would take a banking offer if you have one over this.
175-240K js standard excluding signon bonus
Interesting to see some of these analyst programs are paying more than LMM associates get at certain shops all in
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