Analyst vs Associate at an IB

[prisonMike]

I have seen a lot of people getting recruited as an Analyst and some as Associate at IB's(Like GS, Barclays,....) after MFE.
I wanted to know is there is a definite differentiating factor in terms on student's profile for this difference, and what would be the difference in terms of work and seniority for these 2 roles.

 

[Yevgeniy]

Analyst is out of college. Associate is 2-3 years after that.

 

[prisonMike]

Thanks for the reply. I saw some MFE graduates being hired at Associate level. And all the MBA grads start at Associate level. Does it make a difference in terms of career progression, work and pay?

 

[lolalin]

Well pay is definitely more as an associate. In traditional IB (I'm talking M&A advisory, ECM, DCM) analysts earn around 85-95k, and Associates 150-200. No idea on the rest. I suspect it varies firm to firm.

 

[prisonMike]

Well pay is definitely more as an associate. In traditional IB (I'm talking M&A advisory, ECM, DCM) analysts earn around 85-95k, and Associates 150-200. No idea on the rest. I suspect it varies firm to firm.

Thanks for the reply. If you have some insight about Quant roles regarding the same, please do share that as well.
My main concern is the disparity of some MFE joining in as Analysts and some as Associates. I want to know if there is something that I can do improve my profile.

 

[lolalin]

Unfortunately, I don't know too much about the quant space, since my background (internships) were all in IB. But i've heard from friends that top shops pay ~150k+, and around 100 ~ 130k for banks? If anyone can corroborate that would be appreciated.

Could it be that those who join as an associate already had prior experience? So maybe they went Structuring > MFE > Quant Researcher or something like that. Because honestly, outside of MBAs hired into associates at IB, i've rarely, if ever seen anyone hired straight into associate.

 

[prisonMike]

Unfortunately, I don't know too much about the quant space, since my background (internships) were all in IB. But i've heard from friends that top shops pay ~150k+, and around 100 ~ 130k for banks? If anyone can corroborate that would be appreciated.

Could it be that those who join as an associate already had prior experience? So maybe they went Structuring > MFE > Quant Researcher or something like that. Because honestly, outside of MBAs hired into associates at IB, i've rarely, if ever seen anyone hired straight into associate.

Thanks. My research could be skewed as well. Most of my research is done on LinkedIn. But anyways appreciate the info.

 

[MLV]

Could it be that those who join as an associate already had prior experience?

In my experience - this is it! Analyst hires generally don't have any [relevant] experience, while Associates have a few years under their belt.

Well pay is definitely more as an associate. In traditional IB (I'm talking M&A advisory, ECM, DCM) analysts earn around 85-95k, and Associates 150-200. No idea on the rest. I suspect it varies firm to firm.

Can confirm - with the addition that bonuses as a % of base are also similar for Associates and Analysts (~80% to ~120% or a bit lower / higher if you're bottom / top bucket). VP / Director / MD salaries range a lot more widely given they are compensated according to the bank's P/L as well as their team's and individual performances. VPs should be making ~$500 to $600k on a given year and Directors ~$650k+. Lastly, just to provide an idea, MD bonuses are capped at $10 million in my firm (plus base of ~$350 to $500); that's obviously if you had a stellar year.