As equity research hiring picks up again after last year's pandemic-induced pause, some researchers might be inclined to move to the buy-side. A new salary survey suggests they might want to pause before doing so.
Produced by Octavius Finance, a London-based finance headhunter operating on both sides of the Atlantic, it shows that the pay advantages of moving to the buy-side in research aren't entirely clear-cut. - At most levels of experience you're likely to end up earning less, not more working for a fund instead of an investment bank.
Much will depend, however, on exactly where you work within the buy-side. Octavius notes that hedge funds have paid competitive bonuses for last year, but that long only asset managers are squeezing pay.
Meanwhile, Zaki Ahmed, an equity research headhunter at Financial Search in London, says sell-side demand for equity researchers has surged. "The COVID crisis has actually helped sell-side analysts as they're back in demand in a post-MiFID world," says Ahmed. "Clients need quality research and a strong understanding of companies in unprecedented times."
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