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Do unknown boutique investment banks pay anywhere near the bulge brackets?

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    Seems like there are loads of small investment banks scattered all over the UK and USA, I'm not talking about Greenhill, Jeffries etc. they obviously pay well, but do the pretty much unknown banks pay salaries + bonuses comparable to the more known IBs?
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    (Original post by bmqib)
    Seems like there are loads of small investment banks scattered all over the UK and USA, I'm not talking about Greenhill, Jeffries etc. they obviously pay well, but do the pretty much unknown banks pay salaries + bonuses comparable to the more known IBs?
    Do tell...
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    Yes, small iBanks can pay equal to or more than a big investment bank. However, it can be harder to make money. In investment banks, the front line people - traders, salespeople and corporate finance folk are paid according to how much revenue they bring in for the bank. This is the same no matter what the size of the firm is. With a well-known iBank, money is easy to make. You don't have to work so hard to convince the client. In a smaller shop you do. Everyone knows this so to make themselves more attractive small iBanks usually pay you a much larger percentage of what you earn.

    I almost took a job with a small iBank that was going to commit to paying me 30% of all revenue that I bring in.

    In a large iBank they would never commit to any sort of fixed percentage correlation between what you bring in for the firm and your comp. Typically, the best payers pay you c.5% of what you bring in because they know the money would have been made anyway regardless of who was sat in your desk, the brand sells.

    Hope that helps,
    (The) Girl Banker
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    (Original post by bmqib)
    Seems like there are loads of small investment banks scattered all over the UK and USA, I'm not talking about Greenhill, Jeffries etc. they obviously pay well, but do the pretty much unknown banks pay salaries + bonuses comparable to the more known IBs?
    Well the solid mid-market ones with a larger franchise, able to operate internationally will pay market rate. The smaller lower mid market or M&A arms of the lower tier banks (e.g. CA CIB or so) ones will likely pay below. Hours will be much better tho.
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    What happened to freedom of speech?
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    Depends, those that pay a lot also expect a lot out of you
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    I don't think career progression is as good, and not to mention exit opps won't be nearly as good.
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    (Original post by i_hate_teeth)
    What happened to freedom of speech?
    seconded
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    (Original post by [email protected])
    I don't think career progression is as good, and not to mention exit opps won't be nearly as good.
    Depends where you want to take your career. Some feed quite well into mid-market PE.
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    (Original post by girlbanker)
    Yes, small iBanks can pay equal to or more than a big investment bank. However, it can be harder to make money. In investment banks, the front line people - traders, salespeople and corporate finance folk are paid according to how much revenue they bring in for the bank. This is the same no matter what the size of the firm is. With a well-known iBank, money is easy to make. You don't have to work so hard to convince the client. In a smaller shop you do. Everyone knows this so to make themselves more attractive small iBanks usually pay you a much larger percentage of what you earn.

    I almost took a job with a small iBank that was going to commit to paying me 30% of all revenue that I bring in.

    In a large iBank they would never commit to any sort of fixed percentage correlation between what you bring in for the firm and your comp. Typically, the best payers pay you c.5% of what you bring in because they know the money would have been made anyway regardless of who was sat in your desk, the brand sells.

    Hope that helps,
    (The) Girl Banker
    just flat out not true re: percentages in IBD
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    Base yes. Bonus no

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