Comments (48)

Jul 27, 2011

Time to start looking for a lateral out......

Jul 27, 2011

That would fall within the range for first year base from UG (if we consider the broad range of places out there) , but seeing as you have your MBA and you're chartered you have to dig deeper.

So answer some of these questions...
MBA from where? What region do you work in? What type of firm do you work at? Do you have any previous industry experience?

Jul 27, 2011

Apologies for being a bit cryptic, erring on the side of caution.

I had a bit over four years of pre-MBA work experience as an accountant, no industry experience. I work at a MM bank in Boston. I went to a top 30 b school that is very well regarded for finance.

Jul 27, 2011

I'd say area of finance might have more to do with it. Asset Management firms really like the CFA and certain ones perfer the CFA to an MBA.

Go where you're valued more. Managers at Walmart make more than that, same for a lot of F500 finance people.

Jul 27, 2011

Unless your bonus is nuts.

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Jul 27, 2011

Are your peers getting paid that? How well regarded is your analyst?

I'd start looking elsewhere and jump ship asap, dude.

Jul 27, 2011

The analyst is considered one of the best in the space. Hard to say what my peers do since I'm the only associate at the firm.

Jul 27, 2011

I agree, this is stupid. You are in Boston, you're a grown man probably getting closer to age 30 by now; that compensation is pathetic. Start networking your ass off. If they can't keep you, they should already know why.

edit: not sure if hiring has picked up in ER/equities/etc since the past couple years. Somebody else could chime in in that regard.

Jul 27, 2011

Hmm...I give up. That's definitely low...If you just cleared L3 in June, I would wait until you get your check (in February?) and find out if they'll change anything. If you don't want to wait, start looking for somewhere to move or act somehow.

EDIT

Didn't see the previous posts. If your analyst is one of the best in that sector and your firm is considered solid...there is no reason as to why you're being compensated that way. I agree with the above posters. Start networking and looking for where you will be better appreciated. I think I would still wait for the check though...That's just me.

Jul 27, 2011

To give readers perspective, what would be a "good" salary for a person in the OP's situation?

Jul 27, 2011

100 base + 60-100 bonus

Jul 27, 2011

In Boston?! At a MM bank?

I just cleared level II and signed up for level III. I've been hinted at a 20-25k bonus but it is just tough to make ends meet with student loans and rent. Was eager to make the career switch into the industry and got porked for it.

Ugh. Worst luck ever.

Jul 27, 2011

You need to move.

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Jul 27, 2011

Isn't the OP just lucky to have a job in this market?

Jul 27, 2011

That was the reason I was given for the low comp....and that it is a privilege to work in this field.

Jul 27, 2011
anjapower:

That was the reason I was given for the low comp....and that it is a privilege to work in this field.

I'm thinking flaming bag of poop on your boss's porch when you leave.

Jul 28, 2011
UFOinsider:

I'm thinking flaming bag of poop on your boss's porch when you leave.

+1

haha he called the shit poo!

Jul 27, 2011
anjapower:

That was the reason I was given for the low comp....and that it is a privilege to work in this field.

Hahah fuck that shit. Start looking to move while youre still working.

Jul 27, 2011

Did I mention I cover 33 names? My earnings season is brutality.

Jul 27, 2011

What is your bonus?

I know a couple guys in ER working for shitty salary but getting 150%-200% bonus. So it can make a huge difference.

Jul 27, 2011

Not surprised. For the most part, sell-side research does not pull in alot of money unless it's a BB, if you're working for a low-tiered boutique, that would explain alot.

"I respect your courage for coming this far alone! However, you are still going to die!"

Jul 27, 2011

Damn, now that's a shitty situation. Best of luck man, jumping ship will probably be best. And fuck your analyst, if he's an II-ranked analyst he's probably making close to 7 figures at least

Jul 27, 2011

it is low.. rmr that the real purpose of ER is to pull in business from banking and trading

in banking (esp mm), the bankers continuously pitch to mm companies for ipo, sell-side, other financing mandates and tout the fact they cover the company or their research analyst may potentially cover the company

in trading..well self-explanatory, the buy side talks to research and executes trades through the broker dealer

if its a low headcount, research driven investment bank that pulls in 1% economics on a couple of small to lower mid cap equity offerings and doesn't really provide any ancillary services, then pay is going to be low

most first year analysts in finance get 70K+ (at accounting firms, finance control, banking, research, s&t) so u are ridiculously underpaid as an experienced / MBA level hire

market right now is around $110k - $125k base + (conservative bonus prediction given lower profitability due to trading regulation) 25%-50% (of base) bonus

I'm making it up as I go along.

    • 1
Jul 27, 2011

Nice. SB

Jul 28, 2011

I don't mean to be a dick but you'd Make more at a F500 in a first year analyst rotational program...even without a bonus.

You're making literally a third of what you could/should be.

If I had asked people what they wanted, they would have said faster horses - Henry Ford

Jul 27, 2011

If you work at State Street, there is your reason why.

Jul 27, 2011

Haha, not at State Street. I don't think they have an ER arm.

Jul 27, 2011

This sh*t must be real depressing to think about during earnings season...especially when you're covering those 33 stocks and have 4+ companies reporting at once. Hope you figure it all out and get properly rewarded soon.

Jul 27, 2011

You nailed it man. Have 5 reporting tonight. This is just straight up wrong and super demoralizing to say the least.

Jul 27, 2011

From what I heard, 30+ stocks is a relatively large coverage. I can only think of the REIT team at my bank that covers that many names.

Jul 27, 2011

That is possibly what is most frustrating as there is just far too much going on, especially considering that I'm covering two rather disparate universes (2 analysts). So my rate of compensation increases is tied to how much industry or company knowledge I possess and my ramp is horribly elongated because of the sheer number under coverage. It is as if the associate is destined to fail here by design.

Jul 27, 2011
anjapower:

That is possibly what is most frustrating as there is just far too much going on, especially considering that I'm covering two rather disparate universes (2 analysts). So my rate of compensation increases is tied to how much industry or company knowledge I possess and my ramp is horribly elongated because of the sheer number under coverage. It is as if the associate is destined to fail here by design.

I interned in a situation like this [2 analysts=hell] and got the f*** out as soon as possible. They waved the "we want you to grow your career here" flag, but I wasn't biting. The one good thing about this is that wherever you move to will seem like heaven by comparison, but start looking now: 1 year is enough experience to justify looking for a lateral.

Jul 29, 2011

Get out now. I work at a MM bank and our associates in ER definitely get paid much more than that. Hell, the base analyst pay here is 66k now. I would get out if I were you; several of our ER associates have moved on to solid buyside jobs in NYC.

Jul 30, 2011

Well how good are you OP what is your % correct vs % wrong?

Jul 31, 2011

Don't leave without bringing this up to your analyst first. Lay out to him your concerns and frustrations and ask him to go to bat for you. If nothing changes, then he can't fault you when you leave. It's very important to keep a close relationship with that analyst because his positive (or negative) reference is very important.

Jul 27, 2011

I've brought it up to the analyst. He really didn't have much to say besides that it will (slowly) go up, and this bank just pays 40% lower than average.

Jul 30, 2011

well if you only have 20% correct then you don't even deserve 60k

Jul 27, 2011
blastoise:

well if you only have 20% correct then you don't even deserve 60k

I have no clue what you're talking about...

Jul 27, 2011
anjapower:
blastoise:

well if you only have 20% correct then you don't even deserve 60k

I have no clue what you're talking about...

Yeah what is he talking about? He thinks you're the lead analyst or something and wants to know how many good calls you've made? I don't think he knows how this shit works.

Jul 30, 2011

ok where do you see the gdp of the usa going in 3 quarters

Aug 1, 2011
blastoise:

ok where do you see the gdp of the usa going in 3 quarters

You may find a flaming bag of doodoo butter on your porch in the morning.

Jul 30, 2011

what if he is good he should be able to predict it with in 15% of error

Aug 1, 2011

I can tell you that a Research Associate at my place has a range of 120-150 base. I don't know what their bonus is though. I think you should leave as soon as you can and also think that an experienced person can move in ER pretty easy right now (comparatively).

Jul 27, 2011
Something Creative:

I can tell you that a Research Associate at my place has a range of 120-150 base. I don't know what their bonus is though. I think you should leave as soon as you can and also think that an experienced person can move in ER pretty easy right now (comparatively).

Where are you located?

Aug 1, 2011
anjapower:
Something Creative:

I can tell you that a Research Associate at my place has a range of 120-150 base. I don't know what their bonus is though. I think you should leave as soon as you can and also think that an experienced person can move in ER pretty easy right now (comparatively).

Where are you located?

Do you want my SSN too?

j/k

I am on the West side, RA's are in NYC.

Jul 27, 2011
Comment
Aug 1, 2011