MiFid II (+3 years later) ER Comp Outlook

Since it's been ~3 years since MiFid II, curious to hear insights into the outlook in comp for ER roles.

Right now it seems that for most BB/MM/Ebs, first year Associates comp is in the $110k range; VPs 200k - 250k and MDs clearing $500k to $1m

Mergers & Inquistions.com has a 2019 article explaining that people should avoid ER due to potential for compensation to fall with the unbundling. Wondering how accurate/representative this is compared to what the Street is seeing.

Has anyone seen this happen 3 years later? Are these comp ranges accurate? And what are your thoughts on ER comp outlook moving forward?


Comments (16)

  • Associate 1 in ER
Aug 3, 2021 - 5:43pm

Think we need some clarification if you mean associate in the ER sense (Analysts at the top and associates at the bottom) or in the total IB hierarchy system (post MBA / first promotion level). In the latter sense, you'll make more than $110k on base. In the out of college role, $85k base/$25-35k bonus is probably in the ballpark.

Not sure ER comp has really declined that much post MIFID like it did from the ER glory days in the 2000s, but it hasn't kept pace with IB comp growing and that seems especially true these past couple weeks. The job is also getting busier, you cover more stocks for stagnant industry comp. In the grand scheme of things, still not bad comp (associates will be in the $175k-$225k range), just becoming a relatively worse value proposition.

  • Intern in ER
Nov 4, 2021 - 6:26am

Analysts (out of college) and associates get paid at the same base as IB at my bank. So out of college everyone is getting 100k + bonus.

  • Associate 1 in ER
Nov 4, 2021 - 12:08pm

Unfortunately that does not hold true across all banks, not even all the BBs. Though I continuously let our directors know we are lagging the market.

  • Associate 1 in IB - Cov
Nov 3, 2021 - 11:27pm

What's impressive. What do you think market would be for someone lateraling as an ib associate?

  • Associate 1 in IB - Gen
Nov 4, 2021 - 9:12am

Mergersandinquisitions.com could be the most pro-investment banking site of all time.

They literally bash every other field except for IB/PE because that's where they get their money from kids who are already in the herd mentality

Most Helpful
Nov 4, 2021 - 9:22am

I couldn't +1 this more, but seriously. It's hilarious as kids nowadays are like sheep just all blindly following each other. I had a call with a prospect the other day and he just sounded soo out of touch, I got the sense he felt like he was ontop of the world, interned at MS, got return offer and will then recruit for PE, then I grilled him on why he wanted to even go into it and he couldn't really give me an answer? Like seriously how do these kids even get recruited?! I'm convinced they are all just following the herd mentality trotted out there by M&I and the like.

Nov 4, 2021 - 10:53am

Ea qui quibusdam numquam ipsa iste alias distinctio voluptatem. Consequatur et fugiat corporis soluta perferendis voluptas laborum. Vel minus consequatur rem qui id. Aut sunt sit ipsum necessitatibus reiciendis excepturi repudiandae.

Sint expedita quae molestias sapiente soluta. Sit odit qui est ipsa cupiditate repellendus sapiente. Iure ad architecto et omnis culpa architecto explicabo tempora. Saepe id sit voluptatibus facere accusamus excepturi ea. Recusandae sit quis ipsa sunt pariatur in culpa. Explicabo reiciendis ab eius accusamus eum corrupti.

Qui sequi voluptatem dignissimos voluptatibus. Est consequatur ullam totam pariatur fugiat et magnam.

Aut esse reprehenderit odit. Quaerat et est dolores possimus est consequatur. Provident et deleniti aspernatur sint.

Start Discussion

Total Avg Compensation

December 2021 Investment Banking

  • Director/MD (10) $853
  • Vice President (40) $360
  • Associates (237) $235
  • 2nd Year Analyst (146) $155
  • 3rd+ Year Analyst (34) $154
  • Intern/Summer Associate (107) $146
  • 1st Year Analyst (516) $136
  • Intern/Summer Analyst (397) $84