HF Comp Out of IB - Current Figures

vs997's picture
Rank: Monkey | 57

Does anyone have numbers on current base / bonus rates for HF analysts out of IB programs (1-2 years out of college)?

Since HF pay is less uniform than banking / PE gigs, it'd be useful to collect some data points.

Given the variability in HF pay, it would be great if you could include AUM / fund size as well as a description of the fund if possible (single vs multi manager, long vs long/short, etc) so we can get a sense of what the current figures are like across the board.

Comments (6)

Oct 16, 2018

Bumping this - anyone have any input?

Most Helpful
Oct 16, 2018

I am not currently on the public side, but interviewing for public side roles. I'm going to be honest, I've reached out to a lot of friends at HFs and the ranges are absurd. Did my best below:

SALARY

  • If you fully completed your 2-year IB program, 95-125k base salary is probably reasonable
  • If you did 2 years of IB then 1-2 years of PE, 125-150k base salary is possible

BONUS

  • Structure 1: You get allocated a $ amount of the portfolio and get to keep a % of that PnL
  • Structure 2: You get allocated a % of the total PnL for the entire fund
  • Structure 3: Completely discretionary per what your managers think you are worth and how the fund is doing
  • Summary: $0 to no limit on the upside, but being two years out a bonus of ~75%-125% of your salary is probably about the starting range

All of this is through informal conversations with friends and varies with geographic location, fund size, and most importantly fund performance. I hope somebody in the industry, especially with a few years of experience, will chime in to add some thoughts. Hope this helps!

    • 5
Oct 16, 2018

Very helpful, thanks for the input!

Oct 16, 2018

Anyone have numbers for roles after 1 year of banking?

Oct 17, 2018

Just a reminder that we have a Hedge Fund industry report with hundreds of data points (actually thousands now) of HF compensation...

And you don't have to pay or get WSO Premium to access it...all you have to do is contribute to the database (salary from an internship or interview insight from any interviews you had) and you get 1 week (for intern submissions) to 1 month (for all others).

Good luck!
Patrick

Nov 3, 2018
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