sirajoman

100 hour work weeks, lack of sleep, zero free time, stress, lack of food, lack of life.

Instead you get 150K -1 MM.

All that money sounds great. But whats the point if you never have a chance to use it????



?_?

student14x

Retire early.

WFBanker08

i'm greedy

asinine

Ask the same thing to doctors and researchers. It's the same for a lot of jobs.

HARVtoWALL

Family friend retired at 35 and now just makes his living off personal investments spending 3-4 hours a day.

For me:
I m doing it for 2-3 years and then weighing my exit opportunities which will be endless (PE, HF, Top 5 MBA program)

tetrishead

"Instead you get 150K -1 MM."

No, not really. A tremendous amount of the salary earned by people in IB comes in the form of bonuses, which are tied to the productivity of the employer. I suspect this year many bankers will, in the context of an hourly wage, make less than many, many other professions. It's cyclical. I'd agree with the poster above me that the best thing about working in IB for several years are the exit opportunities.

CesareBorgia

Yeah, a lot of people will probably be offended by this comment, but at the beginning the money (150k-1MM all in) isn't anything great. After you make MD (or exit to a 2 & 20 shop), you can make as much in a year as you did in your first 10 combined. Of course, the odds are heavily against you, and 1/10 (or less) make it to MD.

kmzizzle

whats MD (medicine doctor??) and 2&20 shop? can you elaborate how you would make a mil the first year?
and if it is medicine doctor what does this have to do with business?

ijreinsn

MD is managing director. He is at the top. From what I know about banking, he will look like he is 70 when he is only 50. There are very few of these.

2/20 is probably referring to these sort of scheme where some rich old guy manages your ****ing money and takes 2% whether or not he earns **** and then take 20% of your profits if he does earn anything. You can earn a lot like this.

tongchen1226

wait... i didnt know this forum existed!
pretty cool...
i dont know, i think i want to do something lucrative (of course) with my life but id rather not follow the physician path that so many chinese people do. plus, i cant let my passion for math go to waste.

kmzizzle

Well isn't an MD just a position you get after you keep moving up?
I don't think you can start off as an MD, but you can start off as an ibanking analyst.
I mean MD is pretty close to CEO range too, leaving them surely with a high salary
But then you could say being a CEO of any company is more profitable than ibanking, but I dont think you can start off at an MD (can u?)or CEO for that matter (unless you start ur own business of course)

Majayiduke09

kmzizzle,

Managing Director -- from a general ranking perspective -- is the highest.

Think of it as: Analyst --> Associate --> Vice President --> Managing Director

The titles can vary by firm, but this is the general set-up.

It is premature to say that MD is pretty close to CEO range, as an individual could in fact develop a tier within the MD rank.

For example, an MD that runs the entire IBD division clearly has more sway than the MD who runs a group within IBD.

Additionally, at Goldman Sachs, they have what is called PMD (Partner Managing Director) which is essentially a Managing Director but who gets a larger piece of the firm's profits. A normal MD is referred internally as "MD Light."

Finally, 2/20 refers to how private equity and hedge funds charge fees.

2% management fee and 20% performance fee.

kmzizzle

But isn't MD a position you cannot start out as?
CesareBorgia stated "at the beginning the money (150k-1MM all in) isn't anything great"
You can start out as an ibanking analyst and move up to associate within 2-3 years, but can you start out as an MD?
And he is talking like MD is an easy position and easy to get into, which I find hard to believe if they make 1m a year+ according to CesareBorgia.

Majayiduke09

You do not start off as an MD. You start off as an analyst if you are entering the business from an undergraduate program or as an associate if you just attained your MBA.

Attaining the MD level is not easy.

Investment Banking ranks essentially work as a pyramid -- fewer individuals reach the next level as they progress.

Also, I believe Cesare's comment: "at the beginning the money (150k-1MM all in) isn't anything great" was referring to total compensation for Non-MD investment bankers, hence the follow-up about moving to the buy-side.

kmzizzle

well ibanking analysts at bb can make 60k + 60k bonus or more first year
That's pretty damn good for just graduating out of a 4 year
and you can move up within 3-4 years to 800k-1m
I think thats incredible, rather than "isn't anything great"