Investment Banking Salaries (and Why they Make SO Much)

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  • čas přidán 29. 07. 2024
  • 💡Break into Investment Banking by learning DCF valuation, accretion / dilution, and recruiting strategy: bit.ly/PFInvestmentBanking
    📚 Free recruiting resources: peakframeworks.com
    Dissecting the ACTUAL pay of investment banking analysts in New York City, from bulge brackets to elite boutiques! We'll rank all the investment banks in the world based on Total M&A Value in 2019 and then check the ACTUAL salaries analysts got paid based on the H1B Database. We'll estimate bonuses based on our OWN experience as investment banking analysts in New York City. I'll also mention which investment bank is KNOWN to pay the most on all of Wall Street!
    We'll walk through the investment banking business model and explain how the entire deal team gets paid. Lastly, I'll tell you some reasons why the industry is almost definitely going to stay this lucrative.
    Correction in Video: $82.0mm total fee x 25% should be a $20.5mm fee to the deal team.
    ** Full Blog Post: bit.ly/PF-IBSalaryPost
    ** Salary Table: bit.ly/PF-IBDSalary
    0:00 - Intro
    0:26 - Investment Banks by Global M&A in 2019
    1:14 - Investment Banking Base Pay
    2:32 - Investment Banking Base + Bonus Pay
    4:37 - How do Advisors Get Paid?
    6:16 - How do Investment Banks Get Paid?
    8:01 - Why Investment Bankers Must Suffer
    Peak Frameworks is a business career prep service started by Matt Ting and Patrick Fong, who have each spent several years working in investment banking and private equity in New York and Silicon Valley. Matt and Patrick met at Evercore, a top tier investment bank, and over the years have tutored and coached dozens of candidates to land their dream business job.
    Matt Ting: / matthewting
    Patrick Fong (HBS 2021): / patrick-fong-0b773041
    #InvestmentBanking #Careers #Salary

Komentáře • 300

  • @NievesLarish
    @NievesLarish Před 2 měsíci +176

    I just sold a property in Portland and I'm thinking to put the cash in stocks, I know everyone is saying its ripe enough, but Is this a good time to buy stocks? How long until a full recovery? How are other people in the same market raking in over $450k gains within months, I'm really just confused at this point.

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      @Cinthia-gk3ip Před 2 měsíci

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    • @MablePauls
      @MablePauls Před 2 měsíci

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    • @Elizabeth-mh2dj
      @Elizabeth-mh2dj Před 2 měsíci

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      @MablePauls Před 2 měsíci

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      @Elizabeth-mh2dj Před 2 měsíci

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  • @kamatmehbro
    @kamatmehbro Před 3 lety +296

    As an investment banker, this is an excellent video to show my friends who keep asking me about my role...
    p.s. typing from my desk, working on a deal at 1:30am

    • @Elonpocalyps420
      @Elonpocalyps420 Před 3 lety +3

      Tokyo or something?

    • @kamatmehbro
      @kamatmehbro Před 3 lety +7

      @@Elonpocalyps420 Australia

    • @Elonpocalyps420
      @Elonpocalyps420 Před 3 lety +1

      @@kamatmehbro well good luck sir or how should I call you, how old are you?

    • @filemonek123
      @filemonek123 Před 3 lety +6

      do the work instead of youtube ;)

    • @kamatmehbro
      @kamatmehbro Před 3 lety +30

      @@filemonek123 haha CZcams helps keep my sanity 😉🤣

  • @carlmazzara5098
    @carlmazzara5098 Před 4 lety +19

    Wow this was a great video. Thanks for taking the time to compile the H1B public data, that is certainly a resource that I overlooked. Also, the other points in the video were both clear and understandable. Keep doing what you are doing man, you gained a subscriber.

  • @bjeen000
    @bjeen000 Před 3 lety +58

    Another important point ... the risk-reward tradeoff.
    You work at least 90 hours per week (c. 100% extra hours to 9-5), for 50-65% extra pay, pre-tax. Taking home effectively 30-35% net bonus and, depending on the firm, maybe not all cash paid (I.e. paid for 1 of 3 extra hours on average). And bonuses are a huge maybe, discretionary.
    It's not for everybody.
    To optimise the risk-reward tradeoff, do your time in M&A (buyside), then move over to a PE firm. Same/ or less hours, double the pay.

    • @AL-ht9ff
      @AL-ht9ff Před 3 lety +3

      Fantastic point that so many forget to mention in these types of videos. We work 2-3x the hours most people are willing to work in a calendar year. There is little to no work-life balance in PE or M&A until summer, especially in the beginning of one’s career. I remember working 70+hrs per week as an intern back in college. Yes, the salaries are decent. However, financial institutions receive more than their money’s worth out of you in return. New generation youth should pay more attention to this. Don’t just look at bottom line salary. Find the place that treats you the best for your time. Cheers!

  • @gbakiddo
    @gbakiddo Před 3 lety +1

    These a details I've been trying to find for years, great video!

  • @tshandy1
    @tshandy1 Před 3 lety +6

    People who think IB and PE professionals make too much money don't appreciate 1) these professionals have very specialized knowledge that would bore or elude the comprehension of most people; 2) these professionals work insane hours, a load that would break most 8-to-5 people who just want to chill out in the evenings and on the weekends.

  • @willl6551
    @willl6551 Před 3 lety +15

    I'm working in consulting and don't plan to move to Ib. Somehow stumbled upon this video. Just want to say you have an awesome style. Great mix of humour and analysis broken down simply. You'd be helping a ton of people! Cheers

  • @BladeBoques
    @BladeBoques Před 3 lety +1

    That was super interesting, thanks!

  • @vaibhavdingankar
    @vaibhavdingankar Před 3 lety

    Was really nice. Thank you for your work.

  • @paaaan
    @paaaan Před 3 lety +36

    Great video. If money is all you (people in general) care about, then this is the perfect career. you'll have to sell your soul to the company and work 80+ hours a week. Bonus sounds great, but it falls into a higher tax category.

    • @robertovalle655
      @robertovalle655 Před 2 lety +20

      If you're smart you won't sell your soul. You would sell derivatives of your soul! That's where the money is!! 😂

    • @diaryofadrugdealer
      @diaryofadrugdealer Před 10 měsíci

      😂😂😂😂

  • @sajidmahmood314
    @sajidmahmood314 Před 3 lety +2

    Essentially the reason they’re paid so much is that every employee and every business gets a normal percentage of the total income but the raw numbers involved are so huge (£billions) so a small percentage of it is equal to a lot of money

  • @M0stlyHarmless9
    @M0stlyHarmless9 Před 3 lety +150

    Can’t believe I went into public accounting just to do similar hours for 1/3 of the pay lmao

    • @PeakFrameworks
      @PeakFrameworks  Před 3 lety +46

      Yeah it's a raw deal for sure... I do think the CPA has super long term benefits if you stick with it (seems easier to go the CFO path), but the first couple of years can be pretty miserable.

    • @quantumzerelth9140
      @quantumzerelth9140 Před 3 lety +1

      Im getting into accounting. How much do you make if you don’t mind sharing?

    • @ap9929
      @ap9929 Před 3 lety +5

      @@quantumzerelth9140 Depends on what you want to do. Public accounting pays dick all until partner and/or MD level. Private accounting pays well (130k/all in) 3+ years out in NYC with much better hours than IB. The progression is also slow and caps earlier than IB. You pretty much will cap at like 150k until MD/CFO level.

    • @M0stlyHarmless9
      @M0stlyHarmless9 Před 3 lety +9

      @@quantumzerelth9140 I started out in public at 62k, left public after 3 years at 77k for a job in private for 85k + 15% bonus + profit sharing 401k match of about 9% in addition to the standard 4% match.
      So, total comp of about 109k after 3 years, which is not too bad. Plus other assorted benefits of course. It really depends what kind of opportunities you get though. I could have probably pulled higher comp if I was big 4 (i was at one of RSM/BDO/GT) and/or stayed til manager. I would say though that I got a pretty good deal.
      Accounting is definitely worth it if you want a stable, well-paid job. Definitely go public first and shoot for big4. But if you have the grades for IB, do that instead.

    • @Skelkro
      @Skelkro Před 3 lety +4

      I'm going into public accounting for the sole purpose of lateraling into IB. My school sucks but the best role I could get was a Big4 Deals role and people have gotten into MM IB through that way. I agree the pay and hours sucks but if you put it in retrospect to IB, accountants get shafted HARD.

  • @TheRomeerome
    @TheRomeerome Před 3 lety

    Excellent video

  • @economicsethan
    @economicsethan Před rokem +1

    Very true, the salaries are deserved because they work hard, long hours and deliver so much value to their client companies.

  • @chrisnosewicz5286
    @chrisnosewicz5286 Před 4 lety

    Awesome video!

  • @TheIr1shTank
    @TheIr1shTank Před 3 lety +8

    love it how i was recommended this less than a month after starting in public accounting

  • @zackrodriguez6653
    @zackrodriguez6653 Před 4 lety +71

    Shout out to Daft Punk and The Postal Service. Mans has that 2005 - 2010 energy.

    • @PeakFrameworks
      @PeakFrameworks  Před 4 lety +14

      Daft Punk is the GOAT - Discovery is a masterpiece!

  • @josec8896
    @josec8896 Před rokem

    Is t Rowe price considers boutique? Anyone know what to expect as a investment fellow?

  • @Woodshadow
    @Woodshadow Před 3 lety +3

    Just want to say thanks for making bite sized informative videos. Sub 10 minutes is great

  • @RandageJr
    @RandageJr Před 4 lety +3

    Great video! Do you know where I can get more info about the M&A transactions size? Thanks!

    • @PeakFrameworks
      @PeakFrameworks  Před 4 lety +1

      What're you looking for specifically? Most people use CapIQ and FactSet in the industry. If you don't have access to either, Google / free news publications are going to be your best bet.

    • @Daniel-ls1gb
      @Daniel-ls1gb Před 4 lety +1

      Do you have access to a Bloomberg terminal? Some school libraries will have them open to all students. If you can get on one, hit MA and and you can screen for M&A deals across dozens of different criteria.

    • @RandageJr
      @RandageJr Před 4 lety

      @@Daniel-ls1gb I do have access, however with the covid-19 thing we haven't been able to go to school. I'm from Colombia

  • @user-df9vk9gi5o
    @user-df9vk9gi5o Před 4 lety +9

    Hey, love the video!! I study at the london school of economics as an economics major how hard do you think it would be for me to get into investment banking in the USA cause im not a citizen of the US/UK

    • @tonibuus
      @tonibuus Před 3 lety +5

      LSE is basically a feeder school for big investment banking firms. If you are near the top of your class it shouldn’t be as hard as anyone else.

    • @na-vg5oh
      @na-vg5oh Před 3 lety

      It’ll be pretty hard. They mostly force you to go to the London office

  • @subarashi516
    @subarashi516 Před 3 lety +4

    Can you compare the salaries say 10yrs down the line to big tech cos? You can refer levels.fyi or blind to refer for tech salaries?

  • @ignaciopazgarcia5370
    @ignaciopazgarcia5370 Před 2 lety

    And what goes to operational costs? Like why all the revenue is just put on wages

  • @AjitSharma-km6ev
    @AjitSharma-km6ev Před 3 lety

    Hey this was really great! Can you help with research about the career as Quant Analyst in these IB firms?

    • @PeakFrameworks
      @PeakFrameworks  Před 3 lety +1

      IB firms generally don't have quant analysts, at least not on the investment banking side. Some bulge brackets might have quant positions in their trading arms. I don't know much about the quant paths possible, so unfortunately don't expect this video any time soon.

    • @jlo3349
      @jlo3349 Před 3 lety

      Are you asking about compensation or in general a career path as a quant in BB banks? (I am a quant at a US BB firm)

  • @bickf4341
    @bickf4341 Před 3 lety +1

    Great Vid. Anyway, Im going to apply for an off-cycle internship in IB in Europe. Could you suggest any books to prepare for an analyst position? I had nice feedbacks about 'Investment Banking' of Pearl and Rosenbaum but idk.

    • @PeakFrameworks
      @PeakFrameworks  Před 3 lety

      Yeah the Rosenbaum & Pearl book is probably the best textbook (although quite dry). We're coming out with an IB course next year, but for now I'd recommend R&P.

  • @dadashebshelar8828
    @dadashebshelar8828 Před 4 lety +2

    You are best

  • @iknNK95
    @iknNK95 Před 3 lety +1

    Do you know how associate bonus works at BBs/EBs? Is it all in cash comp or 75/25 cash/equity?

    • @PeakFrameworks
      @PeakFrameworks  Před 3 lety

      Depends on the firm, but I think more senior associates at public investment banks will get paid 10-30% in company stock.

  • @Hotaruu
    @Hotaruu Před 3 lety

    Mhh. I chose to work in Managerial Accounting instead after my Master in Finance. Now, I make 120 KEUR all-in and working hours are somewhere between 40-45 hours/week. I guess I'm better off than I thought.

  • @user-rs1fo2dd9b
    @user-rs1fo2dd9b Před 4 lety +1

    hi, when you look at the pay range by H1B visas, would firms pay these visa holding employees less than US citizen employees, due to the additional costs of visa sponsorship, as well as the firms just knowing that the employees dont wanna leave (due the risk of losing said visa sponsorship) and can get away with it?
    i have friends in B4 tax/audit who i think are getting paid at least 10~15k less per year compared to US citizens of same title just bc the employers can do it.

    • @PeakFrameworks
      @PeakFrameworks  Před 4 lety +5

      Nope, I've never seen that in finance. Everyone gets paid the same and what you're describing sounds extremely discriminatory / potentially illegal.

    • @ChristianBybjerg
      @ChristianBybjerg Před 3 lety +3

      Can confirm that paying H1B employees less is directly in violation of the laws associated with sponsoring foreign employees, and, like Peak Frameworks says, illegal.

    • @user-rs1fo2dd9b
      @user-rs1fo2dd9b Před 3 lety +2

      @@ChristianBybjerg thats interesting, my friends at the big 4 who were internationals got paid less (cuz of sponsorship costs), and everyone accepted it as is
      the big 4 folks might not have been an H1B visa, idk what visa they were being sponsored.

    • @ChristianBybjerg
      @ChristianBybjerg Před 3 lety +1

      @@user-rs1fo2dd9b it could be an internal transfer which is a L or C type of visa. This is possible as big 4 have operations in EU.
      With that being said, H1Bs must be paid at least 67% as much as comparably skilled/educated domestic employees.
      This number is going up to 95% in a potential new bill Trump is introducing

  • @michaelb1544
    @michaelb1544 Před 3 lety

    s you would recommend reading to prep yourself for a post-MBA job at an EB?

    • @PeakFrameworks
      @PeakFrameworks  Před 3 lety

      Hmm, read Rosenbaum & Pearl, Quality Investing, and know how to build a 3-statement model and you should be fine

  • @robertovalle655
    @robertovalle655 Před 2 lety +1

    "sufficiently angry and or curious" 😅😂😂 love it!! LOL 🤣

  • @Lance_A
    @Lance_A Před 3 lety

    Is it possible to become a investment banking analyst in your mid 30s is there silica a thing as ageisim in the investment banking world

    • @PeakFrameworks
      @PeakFrameworks  Před 3 lety +1

      You'd join as an associate. You'd probably need an MBA to do that if you have no prior experience.

  • @ZZ-ju7qd
    @ZZ-ju7qd Před 2 lety

    How much time in IB is split between PowerPoint, Excel, and other tasks?

    • @PeakFrameworks
      @PeakFrameworks  Před 2 lety

      My experience was like 50% Excel / 40% PowerPoint / 10% other, but it's very deal dependent. That also only applies if you're an analyst, much less Excel as you scale up.

  • @anuragjain464
    @anuragjain464 Před 3 lety +2

    Sir is accounting degree like cpa, ACCA good for getting into investment Banking?

  • @jarenmcknight6838
    @jarenmcknight6838 Před 3 lety

    not sure how I got here but I'm intrigued

  • @thisistsurantino
    @thisistsurantino Před 4 lety +3

    I like your taste in music

  • @OMGz1122
    @OMGz1122 Před 4 lety +3

    how hard is it to move from an analyst position to an associate? I have heard people who went and attained an MBA to skip the amount of time it takes for promotion and obviously the starting salary.

    • @PeakFrameworks
      @PeakFrameworks  Před 4 lety +4

      Hm, that wouldn't be my perception. Most people can get promoted to associate pretty easily if they're an average analyst. Lots of analysts leave banking to move into higher paid fields (e.g. private equity and hedge funds). Banks actually have a tough time keeping analysts to stay on as associates.
      I don't see how getting your MBA wouldn't skip the time it takes for a promotion.
      It gets a lot harder to move past associate though. That's a different story altogether!

    • @OMGz1122
      @OMGz1122 Před 4 lety

      @@PeakFrameworks Thank you for your response, i will see if you have made a video on why it's harder to move past associate. I would just want to understand the banking system. :)

    • @kamatmehbro
      @kamatmehbro Před 3 lety +3

      I work in IB, it used to be 3 years... but since IB is competing with Tech roles in silicon valley (comparable pay, better lifestyle), they have sweetened the pot by reducing time in role promotion from 3 to 2-2.5 years, depending on the organisation.
      Also, you can come in as a post-MBA associate, but you are well behind the learning curve and typically, unless you learn fast... the Analysts you are supposed to manage will hate you, since they know their job better than you do. Also, its a matter of opportunity cost, you are paying for an MBA, giving up a salary. Instead most Analysts, will work through, make bank then get the A2A (analyst to associate) promotion and hit the ground flying.

    • @OMGz1122
      @OMGz1122 Před 3 lety +1

      @@kamatmehbro thank you so much man

    • @kamatmehbro
      @kamatmehbro Před 3 lety +2

      @@OMGz1122 One more thing - since the role shifts from execution to sales as you get promoted... it gets super significantly harder to be promoted after the Associate at boutiques and ~VP (after associate) level at larger bulge brackets
      1. People who are amazing at execution, aren't the best sales people
      2. You simply don't need that many sales people as you don't have the breadth of workforce to deliver on all the deals. So instead you focus on bringing in the bigges, most prominent ones

  • @adox8574
    @adox8574 Před 3 lety

    Do they actually make a lot though when considering the cost of living in NYC or SF? I know a lot of people in tech who make " A lot" of money but still have to have roommates and try to make it month to month due to cost of living in those areas.

    • @PeakFrameworks
      @PeakFrameworks  Před 3 lety

      Yeah it's brutal with cost of living. I think as an analyst you aren't saving "too" much per year, but as an associate and above you're pulling in $250-$300k+ at least, which I think is still a lot regardless of city.

  • @fabriceizzo2922
    @fabriceizzo2922 Před 3 lety +20

    For those of you who started questioning your career choice after watching this video, please don't.
    To get into investment banking with large US firms it is not about what you know but who you know. It is also about which university you attended and how "likable" you are to the team.
    I have literally seen firms hire art majors with 2.4 GPA and turn down MS's in finance with honor.
    Don't think that you could get in merely because you are qualified.
    Don't get me wrong, there are a lot of smart people there but they are in the minority.

    • @fabriceizzo2922
      @fabriceizzo2922 Před 3 lety

      @@WH-hi5ew "Corporation polish", likability and communication skills seem far more important than knowledge and intelligence based on my experience. Sometimes I ask myself "how did this person get her?".

    • @Juan-yy5op
      @Juan-yy5op Před 2 lety

      When it comes to universities, would a firm take a Canadian degree into consideration?? Ik top firms probably don’t but would I still be able to get a good job with a Canadian finance degree?

  • @misosong
    @misosong Před 3 lety

    Great Video, Thanks!!

  • @mufidhamdalla
    @mufidhamdalla Před 4 lety +5

    I completed my first round video interview with Goldman Sachs. Is there a way I can contact you for any advice or tips if I get to second round?

    • @PeakFrameworks
      @PeakFrameworks  Před 4 lety +4

      Congrats on landing the interview! You can e-mail me at matt@peakframeworks.com if you get a second round and would like to set up a time. We would charge for coaching.

    • @idinhatam1583
      @idinhatam1583 Před 4 lety

      wow can i ask you how do you have all these great informations?

    • @HankTheTank23
      @HankTheTank23 Před 4 lety

      How did you already have an interview? For 2021?

  • @jonathannguyen2034
    @jonathannguyen2034 Před 2 lety

    Which sec form did you use to find the advisory fee?

    • @PeakFrameworks
      @PeakFrameworks  Před 2 lety

      The S-4. www.sec.gov/Archives/edgar/data/1108524/000119312519188682/d82079ds4.htm#toc82079_67
      I normally check S-4 and DEFM14A first. Easiest is if you have BamSEC / CapIQ and just search for "transaction fee" or "advisory fee".

    • @jonathannguyen2034
      @jonathannguyen2034 Před 2 lety

      @@PeakFrameworks appreciate it man

  • @ASMRsauce
    @ASMRsauce Před rokem

    Do one for VC!

  • @liqritrs8391
    @liqritrs8391 Před 4 lety +1

    Subscribed. I want to get into IB nexy year in London. What’s the best firms to apply for? I won’t get the top,firms so I’d rather the lesser firms

    • @hello40169
      @hello40169 Před 4 lety

      What small firms will you go for?

    • @liqritrs8391
      @liqritrs8391 Před 4 lety

      @@hello40169 Credit Suisse, Moelis, Rotschilds, Evercore, Lazard, Citibank

    • @liqritrs8391
      @liqritrs8391 Před 4 lety

      @Jad Elamrani well... I guess I'm going to aim for the best or nothing then

  • @KudaMan
    @KudaMan Před 4 lety +60

    “Why there must be suffering” lmao

  • @afterbangz1
    @afterbangz1 Před 3 lety +35

    These numbers are slightly inflated from my experience. Analysts $110k-$185k. Associates $185k-$275k. VP $275k-$450k. MD $650k-$800k. There aren’t many MDs making $1 million. I think you’re really high on the VP numbers too.

    • @PeakFrameworks
      @PeakFrameworks  Před 3 lety +13

      This video is most focused with analyst salary, which seems to coincide closely with your range. That's the only role that I benchmarked data for. The numbers mentioned later are more illustrative and are based on my time at Evercore, which is probably on the high end of the street.
      That being said, I think at least associate median (not high end) is closer to $275k across top firms.

    • @afterbangz1
      @afterbangz1 Před 3 lety +2

      @PeakFrameworks Alright yea that makes sense. Evercore, Lazard, and Moelis are all top end comp range.

    • @metrolights250
      @metrolights250 Před 3 lety +3

      @@afterbangz1 Still entry level developer in silicon valley is pulling $230k - $270k. With a chance to become a millionaire quickly either with a hot startup stock options, or big tech.

    • @superblitz2274
      @superblitz2274 Před 3 lety +2

      @@metrolights250 no developer makes that much of school

    • @metrolights250
      @metrolights250 Před 3 lety

      @@superblitz2274 just the opposite my high school friends were already $100K+ in College got to 7 figures.

  • @amanda7241
    @amanda7241 Před 3 lety +1

    How many hours do you work as an investment banking ? I have heard they are pretty long hours about 80+ a week.
    I am in the finance field and I’ll be graduating soon, but I am looking for a job that pays good but doesn’t require long work hours. Is there any finance job that pays good and only require to work 50-60 hours a week?
    Thank you in advance

    • @PeakFrameworks
      @PeakFrameworks  Před 3 lety

      Venture capital, pension fund, some long only mutual funds are probably your best bet.

    • @sourpatchkid87
      @sourpatchkid87 Před 3 lety

      get into real estate, if you have a knack for sales you can make the same if not more than the IB guys, I made 100k last year as a mortgage broker at 23y/o and ill be graduating this semester with a finance degree as well. I know guys in my brokerage making 400k+ and theyre not even 30 yet. But we all work like dogs, I think any job where you want to make alot of money is going to take hard work, its basically like having your own business

    • @xplicitgoofy1015
      @xplicitgoofy1015 Před rokem

      @@sourpatchkid87 is it true real estate agents makes millions ? Or is that a lie ?

    • @sourpatchkid87
      @sourpatchkid87 Před rokem

      @@xplicitgoofy1015 some do, top producers make 7 figures any industry they are in

    • @xplicitgoofy1015
      @xplicitgoofy1015 Před rokem

      @@sourpatchkid87 yeah makes sense

  • @chrxz6414
    @chrxz6414 Před 3 lety +5

    Heyy plz reply i do actually want to like be a hood CZcamsr + work as an investment banker is tht even possible

  • @joec.5009
    @joec.5009 Před 3 lety +18

    a doctor i know fresh out of residency makes 500k at home. 100% telehealth. she could make more if she works longer hours. insane.

  • @dc1674
    @dc1674 Před 3 lety +4

    Even up to 1mm in NYC isnt all that much lifestyle wise compared to other places with much lower pay. $1mm/year in NYC has probably a similar lifesyle of someone making 300k in say Dalas or nashville. Sooooo much goes to taxes, housing etc.

  • @tristanwisman8075
    @tristanwisman8075 Před 3 lety +1

    Hey there, love the video! I'm currently 21, planning on transferring to a Cal State college next year to pursue Bachelor's in Finance (at a very good business school). Are there any tips you have for someone like me who's looking to break into the industry during/after college? I'd appreciate the info!

    • @PeakFrameworks
      @PeakFrameworks  Před 3 lety +1

      Go to a school with a good investment club. Join investment club and meet all the people who have banking internships. Have one contact at every firm you're interested in going to.

    • @tristanwisman8075
      @tristanwisman8075 Před 3 lety +1

      @@PeakFrameworks That's a good idea, thanks! I'll look to see if there are any.

  • @isassetuba
    @isassetuba Před 3 lety +13

    This isn't for UK! The pay here makes it not worth it! 80% of my salary goes on rent

    • @Carlosantonio-il3yz
      @Carlosantonio-il3yz Před 3 lety +1

      Why don't you invest on bitcoin then? . I live in UK London. I was frustrated in life until i met expert Mrs. Emily who changed my life for good. She's among the financial analysts and trading experts who have shed out theories and ideas for trading.

    • @Carlosantonio-il3yz
      @Carlosantonio-il3yz Před 3 lety

      Now am living happily. You can contact her on whatsapp +4 4 7 4 5 1 2 7 8 8 5 8. If you are interested.

    • @giorgioramba3824
      @giorgioramba3824 Před 3 lety +3

      @@Carlosantonio-il3yz AhahahAhahah ahahahahaha

    • @kamatmehbro
      @kamatmehbro Před 3 lety +2

      Sadly, at the junior level, London bankers get shafted relative to the rest of the major markets + super high cost of living, as you stated.
      However, at the mid-upper levels of banking... you make an absolute motza!

    • @Carlosantonio-il3yz
      @Carlosantonio-il3yz Před 3 lety +1

      @@isassetuba how?

  • @calebaw
    @calebaw Před 3 lety

    Yes but you still didn't explain why the partner doesn't just keep more for themselves and pay the junior levels the same they'd make in any other job. Is it because IB partners just can't help themselves but be super nice to their employees?

    • @PeakFrameworks
      @PeakFrameworks  Před 3 lety

      I don't think juniors would take the role for much less. There needs to be a decent premium because you work significantly more hours than other fields.

  • @ApplepieFTW
    @ApplepieFTW Před 3 lety +6

    So after 6 years, you'll surely be retiring, right? Being an investment banker, I would assume you're able to rationally handle your own finances at the very very least.

    • @Ferrabot
      @Ferrabot Před 3 lety +8

      Not when you’re paying NYC rent and taxes tbh

    • @asiantrick24
      @asiantrick24 Před 3 lety +10

      Making 100K in NYC is like making 50k in other states

  • @juanshaftpatel7488
    @juanshaftpatel7488 Před 3 lety +3

    jeez we made 50k base and 300% avg bonus in sales and trading back in 2000 at lehman.. and that off the desk at 4:30pm

  • @youssefsrj6291
    @youssefsrj6291 Před 3 lety +2

    I don't wanna bother you with small errors but 25% of 82 is not 32 :/ but I got the point!

  • @Great_PatBingsoo
    @Great_PatBingsoo Před 3 lety +6

    Investment banking seems to be very similar to biglaw. Great pay, brutal hours, stodgy, whiteshoe firms. If you're willing to put in the grind and learn constantly, worth the high pay. But not for the faint of heart.

    • @PeakFrameworks
      @PeakFrameworks  Před 3 lety +1

      Yes both are definitely brutal but can offer huge career rewards. Good thing about IB analyst is you only need one degree to do it though...

  • @fitfirst4468
    @fitfirst4468 Před 2 lety

    Interviewer: why investment banking ?
    Me : because money .

  • @nKit2711
    @nKit2711 Před 4 lety

    Who make more IB or PE??

    • @connorfrancis6022
      @connorfrancis6022 Před 4 lety

      Definitely pe

    • @PeakFrameworks
      @PeakFrameworks  Před 3 lety

      Yeah definitely PE for the most part. Top IB will make more than mid market PE though.

    • @kamatmehbro
      @kamatmehbro Před 3 lety +1

      PE over the long term, assuming you get to exit your investments in 5-10 years and secure the right returns..
      But in the mean time, IB

  • @JrJ2016
    @JrJ2016 Před 3 lety

    Great video. Are you korean ?

  • @HelLo-dl4ne
    @HelLo-dl4ne Před 3 lety +31

    “Simple financial models” ??
    It’s nowhere simple, it’s like a scavenger hunt for information.

  • @nolden0079
    @nolden0079 Před 3 lety

    Which University did you actually visit

    • @PeakFrameworks
      @PeakFrameworks  Před 3 lety

      I think I visited a few universities for high school competitions, but I didn't visit the university I ultimately attended!

  • @JustBrowsing00
    @JustBrowsing00 Před 3 lety

    Well, when the Federal Reserve bails out any loses in banking, guess they got nothing to lose...

  • @PepeTostado
    @PepeTostado Před 3 lety

    Hello, GM.
    How do you become a partner?

  • @Nanooxid
    @Nanooxid Před 2 lety

    25 % of 82mm is not 32mm

  • @dancooper4742
    @dancooper4742 Před 3 lety +1

    And how do you being a partner

    • @kamatmehbro
      @kamatmehbro Před 3 lety +4

      You work your way up from IB Analyst... IF you survive the hours, intense politics, lure of PE, family life and are finally, good enough to sell... you MIGHT become a Managing Director. If you are the best of the best of the best MDs, you may get that partner call one day...

    • @Qr-zc6dd
      @Qr-zc6dd Před 3 lety +1

      @@kamatmehbro go watch Anton Kriels video on it. He shows the reality and the small amount of people that actually make it to VP and MD position.

    • @kamatmehbro
      @kamatmehbro Před 3 lety +1

      @@Qr-zc6dd I work in investment banking, I know from first hand experience how hard it is.

    • @kamatmehbro
      @kamatmehbro Před 3 lety

      @@edwardtsao3742 Depends on who your dad is? ;)
      But seriously, putting nepotism aside, the average IB guy, regardless of the firm, is in a league of their own. I work with easily the brightest people on this planet. GS especially cut their bottom 15% (10-20%) every year. So, you are constantly pushed to perform or you are out.
      Next as you get higher up the firm, your responsibilities increasingly shift from execution -> management -> sales. Whilst you may be a gun analyst, if you can't manage others, you are out. Even higher, If you can't sell and bring in big deals, you will be replaced with someone who can...
      There are alot of moving parts. But, regardless... if you get to MD or even close, you will never be average.

  • @upstandingcitizen3877
    @upstandingcitizen3877 Před 2 lety

    25% of $82m is $32m?? Where were you an analyst?

  • @geraldgraham2319
    @geraldgraham2319 Před 3 lety +1

    Lots of similarities between IB and commercial realestate. Except the whole “base salary” part.... commish life!

  • @maxim2986
    @maxim2986 Před 3 lety +2

    Is the job really so hard like it sounds my biggest weakness is the pace

    • @alexx_tv2362
      @alexx_tv2362 Před 3 lety +1

      It’s just a lot of hours a lot of stress and a lot of work

    • @maxim2986
      @maxim2986 Před 3 lety +1

      @@alexx_tv2362 And If you are to slow, you'll get fired?

    • @alexx_tv2362
      @alexx_tv2362 Před 3 lety +1

      @@maxim2986 you have to be inherently smart and quick especially when you’re working multiple deals at a time. You’re basically always on call and expected to be available at any point

    • @maxim2986
      @maxim2986 Před 3 lety

      @@alexx_tv2362 Are you an Investment banker?

    • @maxim2986
      @maxim2986 Před 3 lety

      @Andreas G Where did you base in Europe. I come also from Europe :) Why have you chose Investment Banking?
      BG

  • @ttlovebb7992
    @ttlovebb7992 Před 3 lety +109

    25% of 82 is 32 ?LOL

    • @pastordonkoh7692
      @pastordonkoh7692 Před 3 lety +1

      20.5

    • @MegaDanca1
      @MegaDanca1 Před 3 lety +25

      @@pastordonkoh7692 it’s 69 idiot

    • @pastordonkoh7692
      @pastordonkoh7692 Před 3 lety +4

      @@MegaDanca1 moron. Learn your fractions and percentages. 25% ia 1/4 and 1/4 of 80 is 20...1/4 of 2 is 0.5. Add the two and you have 20.5
      or simply 0.25*82

    • @benr970
      @benr970 Před 3 lety +42

      @@pastordonkoh7692 I’m guessing he was joking thanks for the math lesson though

    • @ethanliao1511
      @ethanliao1511 Před 3 lety +2

      Pastor Donkoh I don’t think you’ve ever been to a party before

  • @CalebPlunkett
    @CalebPlunkett Před 3 lety

    How does 25% of $82M = $32M?

  • @AT82Vienna
    @AT82Vienna Před 4 lety +1

    How trustworthy is www.h1bdata.info? Where are the figures coming from? This can be any source

    • @PeakFrameworks
      @PeakFrameworks  Před 4 lety

      Extremely trustworthy. When employers want to hire someone under the H-1B visa (skilled labor visa in US), they have to submit the application and disclose the salary to the US Department of Labor. This site scrapes that database.
      It's very trusted within the industry as well. I've checked all the firms I've worked at and it matches exactly what I've been offered. The only "issue" is that it doesn't report bonus information.

  • @ashishc7900
    @ashishc7900 Před 3 lety

    a software engineer in Silicon Valley makes way more for a way more comfortable working hours put in

    • @PeakFrameworks
      @PeakFrameworks  Před 3 lety +1

      Definitely true at the beginning, though the pay in finance starts to get higher at the mid level and higher level. Engineers at hot startups will still likely make more, but hard to solve for that outcome.

  • @_jko
    @_jko Před 3 lety +2

    Holy shit that's disappointingly low.
    EDIT: I guess it's not so much about how much you make initially, but the steep climb in salary as you gain experience and tenure: corporatefinanceinstitute.com/resources/careers/compensation/investment-banker-salary/

    • @superblitz2274
      @superblitz2274 Před 3 lety

      There's not a whole lot of jobs where you make 150k out of school

    • @_jko
      @_jko Před 3 lety

      @@superblitz2274 I just thought it was higher. Like way higher.

  • @TheCooPeer
    @TheCooPeer Před 3 lety +1

    This video kinda makes me wish I didn´t fuck up my bachelor´s degree lol

  • @KeepinItRealAllDay
    @KeepinItRealAllDay Před 3 lety +3

    Big deal, my base was 105k at my first job as an engineer

  • @taylorlee2147
    @taylorlee2147 Před 3 lety +11

    The market is about BTC at the moment

    • @logansmith9152
      @logansmith9152 Před 3 lety +3

      Bitcoin to me presents the best opportunities, more so considering the price.they are still somehow flying

    • @logansmith9152
      @logansmith9152 Před 3 lety +1

      I guess there is still excess demand for it with limited supply

    • @dorozhkaanatoly677
      @dorozhkaanatoly677 Před 3 lety

      100% agree with you on BTC

    • @lytkinmelor6455
      @lytkinmelor6455 Před 3 lety

      Someone has done their withdrawals. Scooped up $3000 with $500 of Bitcoin at close Friday

    • @sainionisimo8263
      @sainionisimo8263 Před 3 lety

      I ended up getting mine at $10,000.i'm just going to hold till it blast to $20,000 .

  • @kekkekson2484
    @kekkekson2484 Před 3 lety +2

    My impression was that these guys make nothing for the work they do.

  • @thexdesk4341
    @thexdesk4341 Před 3 lety +1

    #BaNX #iBaNKX #BaNKRX

  • @EntertaningAmerica
    @EntertaningAmerica Před 3 lety +1

    Basically like an extremely boring, labor intensive version of a GTA heist... except its all legal lol.

  • @E4Fortune
    @E4Fortune Před 3 lety +3

    Could u do one on workers on onlyfans?

  • @varjunind1
    @varjunind1 Před 3 lety +2

    Silicon Valley coders make the same.

    • @SacredAces
      @SacredAces Před 3 lety +1

      Yes but everybody isn’t cut the same. They don’t learn the ins and outs of businesses, or talk to senior management on a daily level. They don’t have the resume strength that comes with working in M&A at GoldMan Sachs.

    • @metrolights250
      @metrolights250 Před 3 lety

      @@SacredAces Silicon valley tech is about changing the business. The resume they build is to prepare them to create a unicorn and be a billionaire not just a millionaire.

    • @superblitz2274
      @superblitz2274 Před 3 lety

      @@metrolights250 yeah like every coder becomes a billionaire lmao

    • @metrolights250
      @metrolights250 Před 3 lety

      @@superblitz2274 yeah more than investment bankers. The richest in the world are all in Tech no investment banking LMAO

    • @superblitz2274
      @superblitz2274 Před 3 lety

      @@metrolights250 lmao looking at the richest doesn't mean shit, the average guy is what you should look at

  • @RJRey
    @RJRey Před 3 lety

    RIP to Daft Punk 😥

  • @hermanwan3392
    @hermanwan3392 Před 4 lety

    subbbbbed

  • @thexdesk4341
    @thexdesk4341 Před 3 lety +1

    #DeaLTeaMX #PaRTNeRX

  • @humptydumpty9205
    @humptydumpty9205 Před rokem

    Bro your mic quality is bad. The highs tingle my ears so hard

  • @jeremylefebvre3497
    @jeremylefebvre3497 Před 3 lety +1

    Bitcoin is raising and investors are making profit.its the best time to invest in bitcoin

  • @rastaconnectcasey635
    @rastaconnectcasey635 Před 2 lety

    This dude has basic written all over him

  • @ajtam05
    @ajtam05 Před 3 lety +1

    That salary is laughable, at best. You really have to LOVE the grind to accept that avg salary. I mean, you could make more as a recruiter...A RECRUITER...that requires no "real" education (let that sink in). I wouldn't be a recruiter either, but still...point remains. You're either in LOVE with the IB grind, are in it for the connections or are using IB as a launching point to create your own private firm. You def shouldn't enter IB for that kind of shit pay. God that sucks...bad.

    • @superblitz2274
      @superblitz2274 Před 3 lety +4

      150k out of college is bad? You high or something?

  • @bhavyabansal484
    @bhavyabansal484 Před 3 lety +3

    What? 25% of 82m is 25m?
    What are you high on? 😂
    Nice video otherwise