What happens to those that don't make it further than IB associates?

I can only assume not every IB analyst becomes an associate, and not every associate becomes a VP, then an MD or goes into a lucrative buyside career.

What happens to those people that don't successfully climb the ladder then? Are they a majority or minority? Where do they end up working and how does the pay look?

WSO Elite Modeling Package

  • 6 courses to mastery: Excel, Financial Statement, LBO, M&A, Valuation and DCF
  • Elite instructors from top BB investment banks and private equity megafunds
  • Includes Company DB + Video Library Access (1 year)

Comments (11)

Apr 19, 2016 - 2:54pm

The majority of analysts do not climb the ladder for the simple reason that they have no desire to do so. The vast majority of analysts come into IB with one goal: to leave for PE after two years.

I think for associates and above it really depends on individual experience. I have seen associates leave for PE or corporate development, directors and MDs leave for CFO positions at former clients, VPs leave for controller positions, etc.

Apr 19, 2016 - 3:50pm

how many analysts actually get into PE? maybe 5% or less? there are simply too few slots.

associates go into strategy, corp development or work in smaller shops, fintech etc.

Make Donald Drumpf again
  • 2
Apr 19, 2016 - 11:22pm

I want to say at least 50%+ of those who want to do PE (and put in some effort) will get a job (higher for top BB and maybe lower for the top MMs, and big drop off after that). Obviously KKR vs. a sub $1 billion shop are very different.

  • 1
Learn More

300+ video lessons across 6 modeling courses taught by elite practitioners at the top investment banks and private equity funds -- Excel Modeling -- Financial Statement Modeling -- M&A Modeling -- LBO Modeling -- DCF and Valuation Modeling -- ALL INCLUDED + 2 Huge Bonuses.

Learn more
Apr 20, 2016 - 12:11am

i've never seen someone get counseled out at associate to vp level or heard of it unless it was something like cultural issues. executing as an associate/vp is honestly not that hard as long as your analyst isn't out to fuck you.

Apr 20, 2016 - 10:15am
"Son, life is hard. But it's harder if you're stupid." - my dad
Start Discussion

Total Avg Compensation

May 2021 Investment Banking

  • Director/MD (9) $911
  • Vice President (35) $364
  • Associates (193) $233
  • 2nd Year Analyst (109) $151
  • Intern/Summer Associate (96) $145
  • 3rd+ Year Analyst (26) $145
  • 1st Year Analyst (397) $132
  • Intern/Summer Analyst (327) $82