Bulge Bracket IM Research Compensation

I've tried searching for this topic everywhere, but I can't seem to find it.

Does anyone know what the first year compensation is like for a buy-side research associate position in a Bulge Bracket's (GS/JPM) Investment Management arm? Basically, this is a first year out of undergrad position, where you would be doing fundamental research on equities for their funds.

Thanks in advance!

 

Yeah, i sort of figured that's what the base is. Do you know roughly what the bonus structure might be like? Is it comparable to sell-side first year analysts at ~30-40% base? Also since it's a three year program, do you know what compensation might be in years 2 and 3? Thanks for your help!

 

The BB that I'm planning on joining has a 3 year program for its research associates, where you do fundamental equity research working under a research analyst, and then at the end they basically kick you out and tell you to go get your MBA or get another research job a hedge fund, etc. By sell-side, I meant sell-side research associate vs what i would be doing, buy-side research for their mutual funds.

Btw, I would never consider doing ibanking, just to spend 100hrs a week making powerpoints no one is ever going to look at. Plus, picking stocks is just too much fun.

 
Best Response

I have a general question in regard to nytrader's last comment. Why would a BB IM program kick you out at the end of the 3 years. Wouldn't they want to retain those that have the potential to further contribute to the firm? Also, he mentioned that afterward one would likely either get an MBA or take a different buy-side job (research, hedge fund, etc). From my limited experience, I have been under the impression that AM / HF's don't value an MBA all that much, at least compared to IB or PE. Is my understanding of this wrong? I've always thought that when going into AM you entered with the intent of making a career out of it as opposed to IB where many go for the "exit opps."

 

Some firms look for analysts for only a 3 year period because they're not trying to get in your good graces and plan on working your ass off. You get great experience, though.

"You stop being an asshole when it sucks to be you." -IlliniProgrammer "Your grammar made me wish I'd been aborted." -happypantsmcgee
 
D M:
Some firms look for analysts for only a 3 year period because they're not trying to get in your good graces and plan on working your ass off. You get great experience, though.

haha D M - yeah, that's essentially what I'm expecting. However, I'm currently only signed on for the summer, but there's a very good chance that I will be offered a full-time position. Therefore I was asking about the bonus/compensation the first few years, because if compensation isn't comparable to more traditional asset management firms / hedge funds, I'll probably focus more on these places for full time. As such, if anyone has information on this, that would be awesome.

 

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