As a crucial role in the investment industry, investment operations associates are in charge of the daily operations and workflow management of investment firms. Their salary levels are of great interest for finance professionals. This article will provide a comprehensive overview of the compensation levels of investment operations associates at entry level positions, based on factors like firm size, location, qualifications, and more. We aim to shed light on the typical salary range, bonus structure, and overall compensation packages of entry level investment associates in operations roles.
Salary range for entry level investment associate in operations
The typical base salary for an entry level investment associate in operations ranges from $70,000 to $130,000, according to leading industry data providers such as Glassdoor and Payscale. Top-tier firms like Goldman Sachs, JP Morgan tend to pay at the higher end, with base salaries around $100k or more. Smaller, boutique firms may pay between $70k-$90k for entry level roles. The associate’s skills, credentials, firm prestige and geographical location are key factors determining the base pay.
Impact of firm size and location on compensation
Investment associates at large, prestigious firms like Goldman Sachs, Morgan Stanley or Bank of America Merrill Lynch enjoy higher compensation compared to boutique firms. Top firms pay 20-30% above market average. Location also plays a role, with New York and San Francisco based firms paying more due to higher cost of living. Associates in Chicago, Boston or Los Angeles earn 10-15% less for the same role and experience level at large firms.
Bonus and incentives structure
In addition to base salary, investment associates receive substantial yearly bonuses and performance incentives. Bonuses often make up a significant chunk of total compensation. At top-tier firms, yearly bonuses for entry level associates typically range from $50k to $150k. Associates focused on asset management may earn 20-50% of base salary as bonus, while those in sales and trading can get over 100% of base pay. Bonus metrics revolve around individual performance, team performance, and overall firm profitability.
Impact of credentials and qualifications
Associates with higher qualifications like CFA, CAIA or FRM tend to earn 10-20% higher salaries. Top graduates from Ivy League and other prestigious universities also command higher entry level compensation. Relevant internships and past experience in finance, even at junior levels also boost starting salaries. Foreign language skills, especially Mandarin also give candidates an edge during recruitment and higher pay in global firms.
In summary, the total compensation for entry level investment associates in operations ranges from $150k to $250k, with top performers at elite firms exceeding $300k. Base salary, bonuses, equity incentives and benefits all contribute to the overall package. Firm prestige, location, credentials and past experiences influence the compensation levels.