Analyst Comp

Based on the most helpful WSO content, here’s a breakdown of recent compensation trends for Analyst and Associate roles in investment banking:

Analyst Compensation

1. First-Year Analyst:

   • 2023 Data: Average total compensation (base + bonus) is $168,000.
   • Historical Trends:
     • 2017: $121,000
     • 2018: $126,800
   • Top Boutique Banks:
     • PJT Partners: $179,900
     • Piper Jaffray: $158,200
     • Perella Weinberg Partners: $156,000
   • Top Bulge Bracket Banks:
     • Wells Fargo: $142,800
     • Bank of America/Merrill Lynch: $141,500
     • Credit Suisse: $133,500

2. Second-Year Analyst:

   • 2023 Data: Average total compensation is $169,000.

3. Third-Year Analyst:

   • 2023 Data: Average total compensation is $187,000.

Associate Compensation

1. 2023 Data: Average total compensation is $260,000.
2. Historical Trends:
   • 2017: $218,000
   • 2018: $223,000
3. Top Boutique Banks:
   • Houlihan Lokey: $311,800
   • Moelis & Company: $310,100
   • Evercore: $278,000
4. Top Bulge Bracket Banks:
   • Citigroup: $238,400
   • Credit Suisse: $235,500
   • Morgan Stanley: $233,300

Key Observations

• Compensation has steadily increased over the years, reflecting market demand and inflation adjustments.
• Boutique banks often offer higher bonuses, leading to more competitive total compensation compared to bulge bracket banks.
• Location (HCOL vs. LCOL cities) can influence base salaries, but bonuses often level the playing field.

Let me know if you'd like further details or insights!

Sources: 2018 Investment Banking Report: 8 Trends in the Industry, https://www.wallstreetoasis.com/forum/investment-banking/2017-investment-banking-report-8-key-trends-to-know?customgpt=1, 2017 Investment Banking Report: 8 Key Trends to Know