Firm Compensation
Now that recruiting is coming to a wrap, does anyone want to begin compiling how much firms are offering in terms of first year comp? (Base-Signing)? This could apply to both banks (S&T) and prop trading.
Now that recruiting is coming to a wrap, does anyone want to begin compiling how much firms are offering in terms of first year comp? (Base-Signing)? This could apply to both banks (S&T) and prop trading.
Career Resources
JSC: 125K SIG: 100K IMC Optiver DRW: 85K
Don't forget 125K in NYC = 85K in Chicago in terms of COL. But first year comp really doesn't matter in prop shops. You can easily pull out 200~300K in your second year in these prop shops (for IMC and Optiver, where you can start trading after 3 months).
Where do you get that number from? I finally got in contact with someone at one of the 3 shops you mentioned, and I don't hear anyone "easily" pulling in those numbers. Not to say it's unthinkable, but by what you're saying, you're saying it's normal.
I've also talked to people at some other shops and they don't seem to be rolling in money either. I'm not saying it doesn't happen, but I think that's inaccurate saying that normally kids who go in are making 300 grand right off the bat. I know from speaking to several people in these places that they're not - at least not consistently
I work at one of those shops. Unlike SIG and DRW where you are an assistant trader for more than a year, you start trading much faster in IMC and Optiver. If you are good and not fired, you can make shit loads of money. Traders who worked there more than 3 years literally made a million post-tax at 2008 crisis (their bonus is paid by euros).
Heightened volatility brings more opportunity on condensed time frames, which is why traders bring in outsized compensation when shit goes sideways. The opposite is also true, volatility compression is bad for business.
Maybe not constantly, but you should be able to make 200-300k after 2 years easily. Optiver and IMC had a good year. I wonder how SIG is going, I have the feeling they are not doing so well.
Where did you get DRW compensation from, out of curiosity? That doesn't match with the numbers I've heard.
Heard they raised from 60ish, but not confirmed.
Yeah, and apart from the questionable drw comp, I know for a fact IMC pays 100 base as well.
So how is each of the BB desks paying in comparison? I heard DB is 85 this year.
I think every BB is paying 85k base, 10k signing. I know for sure that JPM, Goldman, MS are all getting that. bonuses are up in the air I suppose.
"easily" after 2008 does not exist. More like if you are good and generate P&L you have potential to receive XYZ salary.
Don't have any bananas so +1
Not sure if it was "easily" but average salary for all 619 imc employees was 285k euro over 2013. IMC has maybe a little bit more skewed distribution compared to optiver. See also: http://www.amsterdamtrader.com/2013/03/details-bonus-at-imc-chicago.html
I never trust anything like this that's just randomly posted. It could be complete BS
I think the main takeaway is this: If you're looking to make tons of money, I don't think trading is necessarily the best path. Things like real estate, business ownership, or others can have higher success rates. This isn't the early 2000's where you see 24 year old kids driving Maseratis because of all the money they made trading. For every person that even actually MAKES it into one of these groups, even much fewer still break into the high levels of income. And when you think about it that way, is it any different from going and working at a bank or getting a corporate job? There, too, only a certain portion will ever get up into the upper brackets. That being said, I think trading is absolutely fascinating, I read tons of books on markets, and try to study to learn as much as I can. But is it probably the best path if you just want to make loads of money? I think there's more sure paths that are more easily tread...
I've heard of guys my age making money in tech, heard of guys making money in real estate, heard of guys making money in businesses....I hear more of these stories than I hear today of young traders that get into the business and make tons of money. Is there really a reason to fight an uphill battle (trading)?
I completely disagree. Trading is one of the few endeavors that is designed to give you and your team a revenue generating platform from inception, which is the basis for any role that brings in outsized compensation. Trading gives you access far earlier than other career paths.
Secondly, being successful at trading is just like being successful in life. It is boring, tedious, monotonous work that is built upon a sound foundation day after day. I've found nothing glamorous or enchanting about trading but many give it this mystical/mythical aura. It is a job/profession like any other but it is a results and performance based business. If everyone in the world that had a job were paid for performance most people would starve. Trading gets a bad rep because "trader" is a very vague title that ranges from the Ivy league educated professional with 15 years of work experience who just landed a PM role to the unemployed waiter that joined an "arcade" prop shop. The ease of entry skews results, you'll notice the higher the bar of entry of different "trading" roles, the higher their respective success rates.
Don't romanticize about opening a business, competition is thick, margins are low and it is incredibly difficult with just as high of a failure rate. Though you'll see a higher success rate among professionals with decades of experience who branch out on their own vs a techie at a "start up" or the 7-11 owner. In short, the successful people in any industry are all cut from the same cloth and must overcome similar levels of adversity. The only way to improve your odds of success is to find out which platform is suited to your skill sets.
Sorry dude, bit confused by your response. This thread has all US firms from what I can see, you are talking euros. Then your link has the #20 employee making 400k usd in 2012, being #20 employee ain't exactly easy at a super competitive firm full of smart folks. I would say even 2012 salaries were higher and better than 2013/2014.
I've been trading since 2006. 2008 was insane in every way. People were selling $100 bills for $20. Making mid-6 to 7 figures that year wasn't all that special. It's also not at all relevant to 2014.
You can either beleive me or not, I don't care, I have given my opinion. I heard that the 1st year bonus at Optiver is often around 40k usd. Making 1st year salary already 125k. Btw, Amsterdamtrader is an interesting well up to date blog about (dutch) prop trading firms. Quite interesting to read if you are interested in the industry.
Optiver's bonus primarily depends on how the firm does as a whole. Not sure if you guys have heard of Optiver's "marble" system. Each "marble" is determined by profits in euros, so some it also depends on the dollar/euro exchange rate.
Trainee bonus is around $40k.
Hey do you know which office (Chicago/Europe/Sydney) your friend was at and those numbers are representative of? Also do you know if he did screen or execution/wholesale trading?
Hey do you know which office (Chicago/Europe/Sydney) your friend was at and those numbers are representative of? Also do you know if he did screen or execution/wholesale trading?
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