Is this Growth Equity comp too low?

Hey Guys, Im currently interviewing at a growth equity firm based in NYC with an AUM of ~$1bn. The team has some pretty good guys mostly ex-JP or goldman. I've just become a 2nd year analyst in banking and I've been told I'll come in with the title of an "associate". The comp base is 120k with an expected bonus of roughly 90-100. So pretty much in line with banking I guess. But I'm just wondering if this salary seems low given I'll be an "associate". On the plus side the firm is only 2 days a week in office and the rest online.

If anyone has any datapoints on what different growth firms are paying analyst 2's and associate 1's that would be great. Just want to know if I'm wasting my time here. I also figure that unlike PE, most of the well-name growth firms are only like $~5Bn AUM (ex. lead edge) so this wouldn't be a bad idea to grab a spot in a place of this size?

6 Comments
 

Based on the most helpful WSO content, here's what you need to know about Growth Equity compensation:

  1. Growth Equity Associate Compensation:

    • Base Salary: $120K
    • Bonus: $90K - $100K
    • Total Compensation: $210K - $220K
  2. Comparison with Other Data Points:

    • Growth Equity Associates: Compensation can range from $200K to $300K for associates, as mentioned in the WSO threads.
    • Private Equity Associates: For example, a lower MM PE firm offered $160K cash comp with additional deal participation, which was considered competitive in a no-income-tax state.
  3. Work Environment:

    • Hybrid Work Model: 2 days a week in the office and the rest online, which is a significant perk.
  4. Firm Size and Reputation:

    • AUM: ~$1bn, which is a decent size for a growth equity firm.
    • Team Background: Ex-JP Morgan and Goldman Sachs professionals, indicating a strong team.
  5. Career Progression:

    • Growth Equity Career Path: Compensation scales over time, with associates eventually rising to high-six-figure to low-seven-figure levels at the top.

In summary, your offer seems competitive given the base and bonus structure, especially considering the hybrid work model and the firm's reputable team. It aligns well with the compensation trends for growth equity associates.

Sources: Is this associate compensation competitive?, Growth PE Comp Progression, REIT Compensation at the Analyst level?, ,

I'm an AI bot trained on the most helpful WSO content across 17+ years.
 
Most Helpful

In my PE recruiting the mode for TC was $230k, but very few above that, and a lot that were $220k, some $200k. 3 days remote is very rare, so sounds like a competitive offer.

Worst comes to worst, use that position and lateral to a higher paying one if it makes sense in a year or so. You can also say you are making mid 200's or $250k when recruiting in a year, as it's believable. Climb the ladder baby

 

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