Prime Brokerage Sales

Hi All, I am considering a sales/origination role in Prime Brokerage at a BB (top 5) - can anyone shed some thoughts on exit options and comp? and how does the comp compare to other product sales roles such as FX/rates?

I read another post on WSO which was good, but there wasn't specific information about comp (at associate/vp/D levels) and exit options. I am joining as Associate and hope to get my own clients in 6 months time.

Would appreciate comments from people who have actually worked in or dealt closely with PB. I found too many loose comments on the lines of 'PB is like operations' from people who hadn't worked in and had no real clue of the business.

Any well informed views will be great!

thanks.

 

PB is the operations of trading. It's very important and well paid. But it IS LIKE OPERATIONS. If you want to make it out to something more glamorous you can try -- but that's it's considered and it is. Noob.

anamerican
 
anamerican:
PB is the operations of trading. It's very important and well paid. But it IS LIKE OPERATIONS. If you want to make it out to something more glamorous you can try -- but that's it's considered and it is. Noob.

Prime Brokerage is not the operations of trading. Prime brokerage is the part of an ivestment bank that serves hedge funds...providing them systems, financial statements, clearing and in some cases helping with capital introduction. In the "glory days" it was a highly profitable part of the business...definitely not a cost center ike operations. You are awful smug for someone who has no idea what he is talking about.

I am not sure what exactly the PB sales job would be...most likely selling your firm's products to hedge funds and trying to get them to PB with you.

 
Bondarb:
anamerican:
PB is the operations of trading. It's very important and well paid. But it IS LIKE OPERATIONS. If you want to make it out to something more glamorous you can try -- but that's it's considered and it is. Noob.

Prime Brokerage is not the operations of trading. Prime brokerage is the part of an ivestment bank that serves hedge funds...providing them systems, financial statements, clearing and in some cases helping with capital introduction. In the "glory days" it was a highly profitable part of the business...definitely not a cost center ike operations. You are awful smug for someone who has no idea what he is talking about.

I am not sure what exactly the PB sales job would be...most likely selling your firm's products to hedge funds and trying to get them to PB with you.

Thanks for the informative post. What's compensation like for PB nowadays? I've seen some describe themselves as working within "hedge fund sales". Is this within the realm of PB?

 
anamerican:
What the fuck? How is that not operations? You're basically just conduit for hedge funds? The comp is as much as S&T with the massive bonuses.

Its not operations because its not operations...there is a whole department dedicated to trading operations and its not prime brokerage. Back in the day when PB was making a ton of money guys did make good money there, but I didnt say the comp on the high-end is the same as in trading, but that doesnt mean its an ops job. Banks have many many employees and very few (none) get bonuses as big as high-performing traders...that doesnt make them all operations employees.

 
Best Response
anamerican:
Trading Operations.

You just said it. It's Operations.

How is it operations if you're client facing? Do you even know what the fuck front office means you pimply little shit?

In fact most of the PB Sales guys are more front office than most of the traders I've met.. they're client interacting 10x as much and entertaining like institutional sales people.

Just because you're 'selling' the operational part of the business doesn't mean you're in operations. There's more to the industry than the investment side of the business.. hedge funds and money managers actually need services from PBs to run their business. This is a business like, client facing role and front office to the fullest.

 

thanks for the comments so far. From what I understand, PB sales involves selling your PB capabilities to hedge funds: which includes services such as capital intro, securities lending, synthetic leverage and securities financing in addition to execution and clearing. So not just Ops like someone seems to suggest. The PB desk at my BB also has it's own trading desk. They also share the EV for equities with the delta one desk within equities.

So like I had mentioned in my first post, pls refrain from loose comments unless you're aware.

Thanks Bondarb for your views.

Anyone got any ideas about comp in recent years? I heard PB sales were very well paid around 2008, but I have no clue how (if?) that has changed now.

 
archieandrews33:
thanks for the comments so far. From what I understand, PB sales involves selling your PB capabilities to hedge funds: which includes services such as capital intro, securities lending, synthetic leverage and securities financing in addition to execution and clearing. So not just Ops like someone seems to suggest. The PB desk at my BB also has it's own trading desk. They also share the EV for equities with the delta one desk within equities.

So like I had mentioned in my first post, pls refrain from loose comments unless you're aware.

Thanks Bondarb for your views.

Anyone got any ideas about comp in recent years? I heard PB sales were very well paid around 2008, but I have no clue how (if?) that has changed now.

I dont know about comp. I know PB has shrunk alot since the crisis, and i know alot of people who have been fired, but dont know comp numbers.

 

get the vault guide on hedge funds and the other on S&T (focus on sales)

********************************* “The American father is never seen in London. He passes his life entirely in Wall Street and communicates with his family once a month by means of a telegram in cipher.” - Oscar Wilde
 

I'm assuming that this position is for the capital markets sales side. PB Sales is all about convincing hedge funds to use your investment banking services. For sales, yes, its most likely all fit but you should have an understanding what type of services PB provides. For example, global custody and clearing of trades for HFs, financing, and at the value-added end of the chain, capital introduction and risk management. Most likely given your ops background, you'll be a good fit for the custody/clearing component of the job since you'll interact with middle/back-office on client EOD reporting. Best to understand the business model and how PB generates revenue.

 

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