Options Group’s Mid‐Year Review
Financial Markets Overview and Compensation Report
August 10, 2015 Options Group, a leading global executive search and strategic consulting firm, announces the release of its mid‐year report on hiring and compensation trends for financial services professionals. Based on market conditions and hiring trends for the first six months of 2015, average total compensation changes for the full year will rise modestly for most professionals except for those in commodities, credit, and securitized products.
Average change in total compensation for those in US, EMEA, and Asia FICC are forecasted to be unchanged to slightly negative. Average change total compensation for equities divisions are forecasted to increase mid‐single digits in the US, EMEA, and Japan, and mid‐teens in Asia. Compensation trends are the most favorable for rates, investment banking, and equity derivatives in the US and EMEA. In Asia, compensation trends are the most favorable for those in foreign exchange, cash equities, equity derivatives, quantitative and electronic trading, and wealth management. In Japan, compensation trends are the most favorable for electronic trading and risk management.
Key Compensation and Hiring Trends in 2015
• Hiring activity has been heavily weighted towards very specific senior replacement hires and junior level
• Consolidation of senior management roles and delayed retirements are causing a bottleneck in promotions.
• The pay gap between bulge bracket banks and non‐bulge bracket banks continue to decrease.
• Many professionals switching from the sellside to the buyside have not been receiving an increase in
• Flat rates, rising costs, and reduced profitability continue to constrain firms’ ability to allocate hiring budgets.
• More firms are moving towards a multi‐asset class model for sales and trading.
This 80‐page report includes:
• Average change in 2015 total compensation (based on market conditions up to June 30, 2015) for professionals
in FICC, equities, investment banking, electronic trading, information technology, quantitative research, risk
management, and private wealth management in the US, EMEA, Asia, and Japan
• Compensation tables comparing compensation levels by security and function across major firm types
• Counteroffer and rejected offer examples
• Key hiring and compensation trends for each product in each region
• Select people moves for each category
• Summary of Spring Candidate Survey Results
The report is available exclusively to clients of Options Group.
COMPENSATION DATA ANALYSIS METHODOLOGY
The Options Group 2015 Mid‐Year Review is the culmination of six months of work contributed by over 120 global consultants and research professionals. It is intended to help our clients make informed compensation decisions in 2015. OGiQ has captured information on global business performance, key talent moves, recruitment trends, and compensation practices through its extensive and global database of over 500,000 industry professionals, interviews with senior executives across the industry, and various other data sources.
The candidate survey was conducted from January 29 to March 9, 2015. This report provides an analysis of historical data and current trends gathered through our discussions with candidates, consultants, and clients and offers forward‐looking compensation projections by product and geographical region. Percentage changes in compensation are based on employees’ expectations and Options Group’s perspectives on current trends.
ABOUT OPTIONS GROUP
Founded in 1992, Options Group is a leading global executive search and strategic consulting firm for the financial services industry. Since 2000, we have maintained a local presence on five continents and have placed thousands of mid‐ to senior‐level professionals in all areas of the financial services industry at a range of institutions. With over 100 consultants and market intelligence analysts worldwide, Options Group has a thorough knowledge of key competencies in the financial industry and is at the cutting edge of global hiring services and compensation trends for securities, investment banking, hedge funds, asset management, private equity, and information technology. Options Group possesses a track record of consistently providing expeditious and comprehensive executive search and market intelligence services to clients.
OGiQ is the consulting division of Options Group. Its primary role is to provide unique, value‐added advice, research products, and human talent management solutions to our clients. OGiQ is responsible for developing the firm’s intellectual capital and proprietary products, advanced analytical tools, and databases used to provide these solutions. Our mission is to enable clients to make more informed decisions by creating global research products that seamlessly combine the firm’s proprietary tools, information and research capabilities.