Global asset management pay fell for the second consecutive year with figures showing a 20% decline since 2014. However, the UK seems to have emerged unscathed.
In Europe, directors of asset management firms saw their average pay decline by 7% from 2015 to 2016 to €140,000 according to figures from salary benchmarking site Emolument.
Conversely, in the UK median director pay increased by 3% over the same time period to £120,000 (€139,000).
Analysts at asset management houses in Europe were hit hardest by pay cuts, seeing their average pay drop by 17% in a year to €45,000. UK analysts enjoyed a modest pay increase of 1% from 2015 to 2016 coming in at £42,000.
Bonuses remained rather stagnant in the UK, although analysts saw their bonuses drop by £1500 in a year. However in Europe, most roles saw their bonuses cut from 2015 with the exception of vice-presidents. Their median bonuses increased by €3000.
Commenting on the global findings, which found that the 2016 pay average was down 2% from the previous year, Emolument’s co-founder Alice Leguay said: ”Over the last 12 months, we have seen pay packages flatline in the asset management industry, especially for front office professionals.
“Large redundancy plans across the sector have given employers the pick of the crop, and most do not feel under pressure to up pay in order to retain staff, except for some outstanding senior staff who bring in valuable business or can hit the ground running.”
She added that many fund managers no longer expect annual salary raises by default and are contented with being in employment, “threats to leave following a disappointing bonus round no longer impresses”.
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