Guarantees

Does anyone have experience negotiating guarantees? Long story short, my analyst is moving to a good but not great non-BB firm with a 2 year guarantee. I have been told that I will get a 1 year guarantee if I come. What's a good starting point for a 3rd year associate with no MBA or CFA? Judging by other posts on this board, $150k seems like a good target for my experience and value to my analyst, and the pain of having to relaunch coverage. But is that too high a starting point? When you get a guarantee, do you negotiate a base and bonus or is it a flat salary that is paid out regularly? I'd appreciate any input as this is a foreign situation and I want to make sure I get the best deal.

 

I don't have any experience negotiating your situation, but is there no chance for you to take the analyst spot at your current shop? Would pay substantially more than 150k. I realize you're on the low end of experience, but have seen it done at that time.

 

He's a 2nd year associate (which, in ER, means 2nd year out of school), so highly doubtful

"You stop being an asshole when it sucks to be you." -IlliniProgrammer "Your grammar made me wish I'd been aborted." -happypantsmcgee
 
Best Response

Might be doubtful, but not necessarily highly. That is roughly when I made analyst...if you have some important sales guys (clients help as well) vouching for you, you can make it happen. A lot easier for the firm than having to go out and recruit replacements.

Also, I thought per OP he was 3rd year now. Assume he is at a weak to mediocre MM if his analyst if moving to "not great" non-BB. So let's say for instance his analyst is moving from Craig Hallum/Sidoti/Roth/Needham to Wedbush/Jefferies/Stifel, I would think he could potentially pull this off at the first group of firms I list provided his performance was outstanding. I suppose we are all biased towards our own experiences, but just my take from what I've seen.

To his OP, I think 150k might be a bit high for no CFA/MBA as MM associate. Maybe in a good year you could all in that, but I would think it might be reaching for a guarantee.

 

Neque velit molestiae sunt placeat et explicabo nobis. Omnis cum quis voluptas. Mollitia delectus autem qui dignissimos. Exercitationem qui provident similique tempore quis.

Ullam non molestiae deserunt occaecati modi inventore et. Pariatur qui dolor veritatis adipisci. Alias velit placeat id aut molestiae. Quod reiciendis provident provident eum consequatur laudantium facilis.

Est molestiae recusandae voluptatem ducimus recusandae sit. Alias ut iste sequi voluptas et laborum expedita iure.

Temporibus provident placeat et voluptatem debitis cum eligendi. Modi omnis dolor iusto voluptatem.

Career Advancement Opportunities

March 2024 Investment Banking

  • Jefferies & Company 02 99.4%
  • Goldman Sachs 19 98.8%
  • Harris Williams & Co. (++) 98.3%
  • Lazard Freres 02 97.7%
  • JPMorgan Chase 03 97.1%

Overall Employee Satisfaction

March 2024 Investment Banking

  • Harris Williams & Co. 18 99.4%
  • JPMorgan Chase 10 98.8%
  • Lazard Freres 05 98.3%
  • Morgan Stanley 07 97.7%
  • William Blair 03 97.1%

Professional Growth Opportunities

March 2024 Investment Banking

  • Lazard Freres 01 99.4%
  • Jefferies & Company 02 98.8%
  • Goldman Sachs 17 98.3%
  • Moelis & Company 07 97.7%
  • JPMorgan Chase 05 97.1%

Total Avg Compensation

March 2024 Investment Banking

  • Director/MD (5) $648
  • Vice President (19) $385
  • Associates (86) $261
  • 3rd+ Year Analyst (13) $181
  • Intern/Summer Associate (33) $170
  • 2nd Year Analyst (66) $168
  • 1st Year Analyst (202) $159
  • Intern/Summer Analyst (144) $101
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
BankonBanking's picture
BankonBanking
99.0
3
Secyh62's picture
Secyh62
99.0
4
Betsy Massar's picture
Betsy Massar
99.0
5
DrApeman's picture
DrApeman
98.9
6
dosk17's picture
dosk17
98.9
7
GameTheory's picture
GameTheory
98.9
8
CompBanker's picture
CompBanker
98.9
9
kanon's picture
kanon
98.9
10
bolo up's picture
bolo up
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”