Investment Banking / Corporate Law

Give criteria.

Reply 2

max_e_muscle

2

I think the op is interested in pay packets as the differences between being an IB and a corporate lawyer are quite obvious

Reply 3

nayiseda

Does anyone know the differences / similarities between IB and corporate law at a Magic Circle/US firm? (trying to decide between a career in either)

Thanks

I presume by IB you mean IBD/Corporate Finance? In a nutshell, the bankers originate the deal, then the lawyers do all the documentation and make sure that the deal can take place legally.

I'm still deciding between both...I did a workshop at a MC firm the other day, and most of the work does seem to be preparing documentation for deals, trying to help the bankers and their client do the deal in the most efficient way. They're also involved in a lot of the negotiations.....In many cases, the bankers hire the lawyers and boss them about.

Although corp lawyers and bankers work on the same types of projects, the roles are very different and career structures are also quite different, not to mention the job security and potential for earning.....so I recommend that you do a few vac schemes at MC law firms, and then do an internship in a bank........

Reply 4

Christian87

"As junior bankers, whenever we were feeling low, we'd watch the junior lawyers and start feeling better . . ." p. 182, The Monkey Business... :~)

Reply 5

footballhead

4

who gets paid more - do u need a law degree to work for a magic circle firm

Reply 6

Bankers. No.

Reply 7

footballhead

who gets paid more

In the early years, definitely bankers. But if you make it to partner in a silver/magic cirlce law firm (lawyers are usually made partners after 8-10 years qual i think), or a good US firm, then you could get paid more than a banker with 10 years experience. For example, a partner in Slaughters gets over 1m p/a, but someone with 10-12 years in a 2nd tier, possibly BB bank is probably an Executive Director, and likely doesnt earn as much. But it seems easier to make ED in a bank than partner in a law firm.

Reply 8

Christian87

"As junior bankers, whenever we were feeling low, we'd watch the junior lawyers and start feeling better . . ." p. 182, The Monkey Business... :~)

I think this is more applicable to corporate lawyers in the US.....this is less the case with corporate lawyers in the UK.

From what I've seen (admittedly, this isn't very much!), analysts work harder than junior laywers in the City. My ex was a newly qual at a MC firm and was working on a really big deal. During the execution, she only pulled one all-nighter and was out of the office by 10pm most nights at the latest, but the analyst at Goldman was still sending emails at 2am all throughout the execution!!! I've seen similar situations with other friends....

Reply 9

You take 3 years to qual in law, afaik. Many bankers with 12 years behind them (ie. average age 33 or 34) will be pulling a million. 12 years in, MD is definitely possible.

Most bankers are not in IBD and thus not working the long hours.

Reply 10

President_Ben

You take 3 years to qual in law, afaik.

Two of which are paid, at 30k (eg Linklaters) to 35k (Shearmans), with bonus, you could make 40k p/a for each year. A first year IBD analyst in retail and consumer might only get 45-50k in their first year. So two of these three years you mention aren't *that* bad.

President_Ben

Many bankers with 12 years behind them (ie. average age 33 or 34) will be pulling a million. .

Where did you get this info from?

President_Ben

Most bankers are not in IBD and thus not working the long hours

True, but I was posting on the basis that if the OP was comparing Corporate law to IB, they'd more likely be referring to corporate finance, than, say, trading.

Reply 11

I know some who have pushed past 50k in year and accelerated at skipping pace for the next two such that they are 6 figures for their first year of associate pay - which is the first year after a lawyer qualifies.

You can find lots of earnings and bonus news in something like Traders Monthly. My other source of information is from doing pre-employment screening covering finance clients including some investment banks. Being able to scrutinise their CVs, pre-emp screen forms and tax records to double check their salaries (since they form the salary negotiation for the new firm they join) has given me quite a wide source of info :smile:

I saw people scoop over a million from the age of 27 in all front office divisions.

On that last point deciding to do the comparison with IBD, fair enough :cool:

Reply 12