stealth_writer
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#1
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Hi guys,

In your opinion

1) Which has the highest starting salary?

2) Highest long-term Salary ceiling? ie Best banker vs best trader- who could earn more?

3) Worst hours?

4) Most competitive

5) Best exit opportunities ?

6) Your preference?
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Oschene23
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(Original post by stealth_writer)
Hi guys,

In your opinion

1) Which has the highest starting salary?

2) Highest long-term Salary ceiling? ie Best banker vs best trader- who could earn more?

3) Worst hours?

4) Most competitive

5) Best exit opportunities ?

6) Your preference?
1) Very little difference in starting salaries.

2) Best trader would tend to have the highest salary ceiling because of a larger potential bonus.

3) IBD definitely has worse hours.

4) Both extremely competitive. Arguably s&t requires greater mathematical ability.

5) Depends which part of IBD you are in, M&A has better exit opportunities than ECM for example.

6) My preference is IBD



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KLL
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(Original post by stealth_writer)
Hi guys,

In your opinion

1) Which has the highest starting salary?

2) Highest long-term Salary ceiling? ie Best banker vs best trader- who could earn more?

3) Worst hours?

4) Most competitive

5) Best exit opportunities ?

6) Your preference?
1) Most will panther same base, but bonuses tend to be higher in IBD early on, unless this has changed
2) a few years ago S&T would have won hands down., with stricter compensation rules the ridiculous bonuses for traders are out of the window, so I couldn't tell ya
3) Tendto Be IBD, though there are a few markets roles with silly hours too
4) Trading
5) IBD without a question. It's perfect for people who don't know what they want to do with their life or know they want to do something else later on
6) None, banking sucks - stay away - it's full of sociopaths and you will die a little inside every day unless you become one aswell. That said, I started out wanting to go into S&T, realised it wasn't for me and went into IBD instead cause I wanted to go to the buyside and do something else later in life. It's a great experience
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stealth_writer
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Very interesting indeed. Any more thoughts fellow TSR members?
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SW1X
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1) Both pay the same

2) Impossible to say, simple on a best trader vs. best IB'er, I know guys on certain trading desks on the sell side pulling in north of £10mn p/a, wouldn't say that any head of a team in IBD is pulling in that much, unless global head etc.

3) IBD. Though in markets you have to be on the desk very early.

4) equal amounts, then again some teams/desks will be more competitive than others

5) IBD, though plenty of opportunities for S&T folk, depends how you market yourself in life

6) Trading.
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stealth_writer
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For someone who prefers ultra long nights instead of early mornings , which is would be better IBD or S&T?
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Boy_wonder_95
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Why does IBD have better exit opportunities than S&T?
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Commercial Paper
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(Original post by stealth_writer)
For someone who prefers ultra long nights instead of early mornings , which is would be better IBD or S&T?
IBD - every night is an ultra long night in IBD

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stealth_writer
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(Original post by will2348)
IBD - every night is an ultra long night in IBD

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Haha. I always see you on these forums. Tell me a bit about yourself. Are you a student? Whats your dream role within IB?
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SW1X
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(Original post by stealth_writer)
Haha. I always see you on these forums. Tell me a bit about yourself. Are you a student? Whats your dream role within IB?
creepy.
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Anonynmous
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(Original post by stealth_writer)
Hi guys,

In your opinion

1) Which has the highest starting salary?

2) Highest long-term Salary ceiling? ie Best banker vs best trader- who could earn more?

3) Worst hours?

4) Most competitive

5) Best exit opportunities ?

6) Your preference?
1) Similar

2) "Star" traders can net in huge amounts, Probably higher than "Star" deal makers.

3) IBD - M&A, LevFin etc. Long hours are common

4) Similar

5) IBD - PE, HF or completely outside of finance is possible, traders are usually specialized, have their own niche, so HF will be the most likely exit opp or just hoping between banks

6) Interested in trading
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Anonynmous
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(Original post by Boy_wonder_95)
Why does IBD have better exit opportunities than S&T?
Skills such as Excel and Modelling through IBD is useful - Can go to a Hedge fund , Private Equity firm or elsewhere even outside of finance (i.e: CEO of a multinational corporation like McD's or something)

Traders are usually specialised (e.g: Trading CDOs) - Hedge funds would like it, Not going to be useful for a Private Equity firm as you lack the necessary excel modelling and corporate finance experience for LBO transactions. Outside of finance, there's pretty much nowhere to go (unless you completely change direction), bank hopping is possible.
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gr8wizard10
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I chose to pursue IBD rather than S&T for some of the reasons mentioned above. Provides better exit opportunities and I don't think I would want to do IB for over 10-15 years, given I even get in in the first place :lol:
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stealth_writer
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(Original post by Anonynous)
I chose to pursue IBD rather than S&T for some of the reasons mentioned above. Provides better exit opportunities and I don't think I would want to do IB for over 10-15 years, given I even get in in the first place :lol:
Surely both roles are for people who wish for a max 10-15 years in the industry?
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Anonynmous
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(Original post by stealth_writer)
Surely both roles are for people who wish for a max 10-15 years in the industry?
Trading more-so than IBD.
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gr8wizard10
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(Original post by stealth_writer)
Surely both roles are for people who wish for a max 10-15 years in the industry?
Yeah but after 15 years I want a wider scope of fields I can choose to go in. I know it's a pretty weak argument but I feel there's much more to be gained on IBD side in terms of exposure.
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welcometoib
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(Original post by Anonynous)
I chose to pursue IBD rather than S&T for some of the reasons mentioned above. Provides better exit opportunities and I don't think I would want to do IB for over 10-15 years, given I even get in in the first place :lol:
seriously? i thought youve been applying to s and t this whole time! every sw has been ibd?
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gr8wizard10
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(Original post by welcometoib)
seriously? i thought youve been applying to s and t this whole time! every sw has been ibd?
Yeah, consulted quite a few people beforehand. IB & Asset Management (at GS),
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Noble.
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(Original post by stealth_writer)
Hi guys,

In your opinion

1) Which has the highest starting salary?

2) Highest long-term Salary ceiling? ie Best banker vs best trader- who could earn more?

3) Worst hours?

4) Most competitive

5) Best exit opportunities ?

6) Your preference?
From what I understand.

1) Both are the same

2) Easily trading. There's significantly more variance in total compensation in trading, so the highest paid traders can be on 3x the pay of the upper end of IBD.

3) Easily IBD. Even the hour intensive trading desks are on 20-30 hours less a week than most in IBD.

4) Probably trading, where there tends to be significantly more focus on individual performance (and it's much easier finding out who's doing badly in trading than in IBD, from what I understand).

5) IBD. The interesting desks in trading tend to have even worse 'exit opportunities' as well

6) Trading.
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surfmonkey
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(Original post by stealth_writer)
Hi guys,

In your opinion

1) Which has the highest starting salary?

2) Highest long-term Salary ceiling? ie Best banker vs best trader- who could earn more?

3) Worst hours?

4) Most competitive

5) Best exit opportunities ?

6) Your preference?
1) Same with little delta in bonus (not meaningful in the first years); job security in S&T is way less these days though

2) Best trader will easily earn more; the best won't stay on the sell side though; risk-taking is highly regulated and you probably know the risk/reward relationship. MDs in banking will earn millions as well, but only a very small junk of starting analysts will end up being an MD; there's money to be made on the buyside though

3) Definitely banking; S&T hours are around the market (with a few hours before and after it as well as a junior) whereas banking is totally random. You might get out at 10 (13hrs) on your good night and grab drinks with your friends and will get hammered until 5am (20hrs) on the next day/night. In general, IBD hours are consistently longer than S&T

4) Both are highly competitive, though S&T lost some of its attractiveness since the sellside is not as much engaged in prop trading as it used to be (meaning, there's less money to be made in S&T than pre-crisis)

5) Clearly IBD. IBD people can go into PE / VC / HF / Corporate / Start-ups while S&T guys are pretty much stuck in S&T or market related roles

6) I opted for IBD. I enjoy the work and I learn a ton, but the lifestyle is pretty bad, which is why I'm looking for an exit after Y2 into Distressed Debt / Special Situations

BTW: Don't choose your profession based on starting salary (your first 3 years will only represent a fraction of your overall income in a 30+Y career) or on the "highest salary possible". Go down the route which alings with your interests and passions; you will be far more successful in a job that you enjoy and which interests you
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