Comments (21)

Feb 20, 2012

Curious about this as well. I know someone getting a mixture of a base salary and an hourly rate which I thought interesting.

Feb 21, 2012

Also curious. My friend says its street or higher for younger guys, but that was before everything fell apart with street bonuses.

Apr 7, 2012

Entry-level analyst is a non-negotiable ~70K base.

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Apr 8, 2012

I can confirm that at least for the summer analyst role, and within BAI, their NYC comp will ultimately be much higher than street (70k base) at least for some because their being paid overtime for anything over 40 hours a week.

This person was told that they'd be working 60-70 hours a week over summer....(overtime is 1.5 hourly, or close to $50 per hour)

Jun 10, 2012

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Apr 13, 2012

Spoke to my buddy about this: Said that work is typically between 60-70 with 70 hours really more on the average side and 60 being if things are chill. If a deal is hot can get closer to 80.

65 hours a week (realistic average possibly) = 2,570 a week

80 hours a week = $3,320 a week

The comp structure is apparently different in his group than traditional PE firms in terms of HOW you are compensated but he said that the figures are identical to megafund and this was confirmed by someone higher up than him who did m&a at GS for two years and just joined this group. It's important to note though that Blackrock up until this year essentially ran fund of funds mostly but now has direct private equity groups - so they're quite new.

Thus, from what it sounds like, the anti-star culture may be due to more of your earnings being paid as normal salary and not as a bonus. After his summer is over he'll have more clarity of the specifics but from what it sounds like he said the bonus amounts are more fixed and correlated with how long you've worked there/long term value creation and your salary is a function of how many hours you work + excess hours (overtime).

It's interesting because this sort of incentive process really helps focus you on the longer term and also keeps you in a career much longer than other firms (if you feel burned out working crazy hours, you paycheck compensates you for those hours even if the deal doesn't necessarily work out, but don't let that happen a lot otherwise you'll be outed).

We spoke about it for a while and he was saying how during his super day he constantly met with people who had been with BlackRock for 5+ and 10+ years, with the exception of people in this newly formed group who mostly came from m&a and other fields.

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Jun 10, 2012

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Jun 14, 2012

Can you talk a little more about the new "direct private equity groups"? Where does that fit in to PMG?

Jun 14, 2012

Direct private equity groups do not fit within PMG. Direct private equity groups are funds that invest directly in privately held assets/businesses where as before BlackRock only offered a fund of funds investment product to their clients who wanted higher returns while taking higher risk.

These direct private equity groups, which mostly have been formed already, are designed to compete with outside hedge funds/pe funds etc and will become the main source of "alpha" offered at BlackRock. Thus, instead of our BAI division using fund of funds to give clients exposure to hedge funds/pe funds via fund of funds into places like Blackstone or Bridgewater, there can be in house funds to compete.

These groups are going to be the main source of alpha offered within BlackRock in the future, where as that historically has been PMG. If you talk to anyone in upper management in BlackRock, they are working incredibly hard to get the word out about BlackRock's new capability into alternatives - and with prop trading coming to an end in investment banks, those who don't form their own funds now are finding a new place to call home. Should be very interesting.

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Jun 15, 2012
ColumbiaKid123:

Direct private equity groups do not fit within PMG. Direct private equity groups are funds that invest directly in privately held assets/businesses where as before BlackRock only offered a fund of funds investment product to their clients who wanted higher returns while taking higher risk.

These direct private equity groups, which mostly have been formed already, are designed to compete with outside hedge funds/pe funds etc and will become the main source of "alpha" offered at BlackRock. Thus, instead of our BAI division using fund of funds to give clients exposure to hedge funds/pe funds via fund of funds into places like Blackstone or Bridgewater, there can be in house funds to compete.

These groups are going to be the main source of alpha offered within BlackRock in the future, where as that historically has been PMG. If you talk to anyone in upper management in BlackRock, they are working incredibly hard to get the word out about BlackRock's new capability into alternatives - and with prop trading coming to an end in investment banks, those who don't form their own funds now are finding a new place to call home. Should be very interesting.

That's really interesting. So I am curious, what is your role within BlackRock?

Also, I remember reading about a Bond Platform that BlackRock is developing (the "Aladdin Trading Network"), I was curious if knew anything else about that? Thanks

Nov 25, 2018

Simply out of curiosity how is the BlackRock direct PE world?

Jun 23, 2012

As far as I can tell, the PE group at BlackRock has been hiring kids directly from undergrad as opposed to looking for kids after their banking stint as other firms do. Can you confirm/disprove this Columbiakid?

Oct 21, 2012

I can confirm - my buddy is one of them.. i tried to follow him in there but it didn't work out :c/

Oct 21, 2012

Standard 70/10/10 AFAIK

Oct 21, 2012

Someone want to translate this?

Dec 27, 2012

Yea. He means 70k base. 10k signing and 10k bonus as far as he knows (AFKAIK)
No way pmg bonus is 10k though. Can't attest to what it is exactly, but theres no way front office AM's at Blackrock make a 10k bonus. He's way off there.

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Dec 28, 2012

Not to say $10k isn't low (it's probably a bit on the low side) --

However, bonuses in asset management for entry-level employees are typically a great deal lower than they are in banking. When you're starting out in AM, you're basically an apprentice -- you add little in the way of value. You're also not giving up your 23rd and 24th years of life, so they don't need to reimburse you for your lack of human contact, either.

Dec 28, 2012

I read on a previous thread that its 70k base+ 20-30k bonus for pmg. However I believe that BlackRock pays overtime so total comp would be a decent amount higher.

Dec 28, 2012
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Dec 28, 2012