2017 Financial Services Operations Salary Survey Guide

Ross Sailes 24.02.2017

We share expert knowledge within Financial Services, covering salaries in banking operations, fund accounting, onboarding and regulatory reporting.

View our most up-to-date Financial Services Operations Salary Guide.

Contents:

Financial Services Operations Permanent Market

Financial Services Operations Temporary Market

 

ASSET/WEALTH MANAGEMENT & PRIVATE BANKING | Permanent - London

Rate (£ Per Annum)

Role Analyst
0-2 Years
AVP
3-4 Years
VP
5-7 Years
Director
8-10 Years
MD
10+ Years
Business Manager 40,000-50,000 50,000-65,000 65,000-90,000 80,000-110,000 120,000+
Transitions Manager 40,000-45,000 40,000-50,000 50,000-65,000 60,000-80,000 70,000-100,000
Valuations & Pricing 30,000-35,000 35,000-45,000 45,000 55,000 55,000-70,000 70,000-100,000
Performance Analyst 35,000-45,000 45,000-55,000 55,000-80,000 80,000-95,000 95,000+
Fund Administrator 25,000-30,000 35,000-45,000 45,000-65,000 65,000-90,000 90,000+
Relationship Manager 25,000-35,000 35,000-55,000 55,000-70,000 65,000-85,000 80,000+
Fund Manager Assistant 30,000-40,000 40,000-50,000 45,000-65,000 60,000-70,000 65,000-80,000
Portfolio Control & Cash Manager 30,000-35,000 32,000-40,000 40,000-50,000 50,000-65,000 65,000-80,000
Data Manager 30,000-35,000 32,000-40,000 40,000-55,000 50,000-80,000 70,000+
Client Reporting 30,000-32,000 30,000-35,000 35,000-40,000 40,000-45,000 50,000-80,000
Client Services 25,000-30,000 28,000-37,000 35,000-45,000 45,000-65,000 65,000+ 

 

 

 

Commodities | Permanent - London

Basic Salary (£ Per Annum) 

Role Junior Level Mid Level Senior Level
Head of Operations * * 90,000+
Project Manager * 60,000-75,000 90,000+
Physical Energy Trade Support 35,000-55,000 55,000-75,000 75,000-110,000
Shipping / Scheduling 40,000-50,000 50,000-70,000 70,000-100,000
Commodity Derivatives Trade Support 30,000-45,000 45,000-65,000 65,000-90,000
Collateral 30,000-45,000 45,000-65,000 65,000-90,000
Business Analyst 30,000-40,000 40,000-55,000 65,000-90,000
Clearing 30,000-40,000 40,000-60,000 60,000-90,000
Settlements Physical 25,000-45,000 45,000-60,000 60,000-90,000
Trade Finance 30,000-32,000 45,000-50,000 65,000-70,000
Contracts 30,000-45,000 45,000-60,000 60,000-80,000
Client Services 35,000-45,000 45,000-60,000 60,000-80,000
Documentation (Derivatives) 30,000-40,000 45,000-55,000 55,000-75,000
Settlements Derivatives 25,000-40,000 40,000-55,000 55,000-70,000
Vault Operations 25,000-28,000 35,000-45,000 55,000-65,000
MIS / Controls 30,000-40,000 40,000-50,000 50,000-70,000
Static Data 25,000-35,000 35,000-45,000 45,000-60,000

*Typically, these roles do not exist at this level

INVESTMENT BANKING & BROKERAGE HOUSES | Permanent - London

Basic Salary (£ Per Annum)

Role Analyst
0-2 Years
AVP
3-4 Years
VP
5-7 Years
Director
8-10 Years
MD
10+ Years
Middle Office Control /
Regulatory Control & Reporting
35,000-45,000 45,000-60,000 65,000-80,000 80,000-120,000 120,000+
Clearing
(+£10,000 for OTC Clearing)
35,000-45,000 45,000-60,000 60,000-85,000 85,000-120,000 120,000+
Trade or Sales Support / DeskAssistants
(+up to £10,000 for Exotic Products)
35,000-45,000 45,000-60,000 60,000-75,000 75,000-110,000 110,000+
Collateral / Margin Management 30,000-45,000 45,000-65,000 65,000-85,000 90,000+ 100,000+
Client Services
(+£5,000 10,000 for languages)
30,000-45,000 45,000-60,000 60,000-75,000 75,000-95,000 100,000+
Asset Servicing 30,000-40,000 40,000-60,000 60,000-75,000 75,000-90,000 100,000+
Documentation / Reconciliations /
Settlements
30,000-40,000 40,000-55,000 55,000-65,000 65,000-70,000 70,000+
 

Financial Services Operations Permanent Commentary  

Overview

Core operations is still an area of the business that continues to fall victim to ‘offshoring & nearshoring’ but that doesn't mean that operations in a quiet area for recruitment. The type of mandates may have changed over the years and the skill sets required are more diverse. We are now seeing a demand for client services, performance analysis, operations analysis and trade support.

Positive & Negative News

Specialised product knowledge, particularly around fixed income or equities, was in high demand across many of the ‘buy-side’ job descriptions that we recruited for in 2016. Well rounded experience with systems such as Factset and Statpro was also highly requested. Senior level ‘buy-side’ roles were pitched at £60,000, requiring candidates with 3+ years of experience. Junior to mid level roles were pitched around the £45,000 mark.
 
Client reporters are generally always needed in order to keep investors updated on the performance of their investments. The more general roles required only generic buy-side knowledge, whilst the rare senior level vacancies that became available requested candidates from a fixed income and LDI background. Junior roles in client reporting generally started at around £35,000 with senior level vacancies paying anywhere between £50,000 and £70,000.
 
The year also saw a strong requirement for management level roles, namely within treasury, collateral and middle office management. The size of teams tend to range from 2 FTEs to 11 FTEs. Experience within those disciplines is of course desired, but as these roles are notoriously difficult to fill, the requirements were opened up to credible managers with operations experience. Salaries ranged from £65,000 to £85,000, the deciding factor being the size and level of the investment bank that was hiring.

Qualities & Skills in Demand

Employers increasingly seek operations candidates with strong negotiation skills, as well as and excellent knowledge of regulatory and compliance environment. The demand is for partnering skills, so as to be able to work closely with the business to provide guidelines and support with overall strategy. 

Outside of Work

Additional qualifications that are relevant to the role and industry are always a good addition to the CV. For many employers, IMC, CFA, CAIA & CISI qualifications are the most relevant, however there are a host of other industry specific certifications available. There is an ever increasing pool of employers that will sponsor further studies to upskill their staff and increase the likelihood of retaining them in the long term. Internal training, particularly with Excel, is always valued.

Notable Trends

Some of our clients have held seminars on the importance of promoting a diverse environment within the workplace. There are return to work schemes coming into place where candidates who have recently been on maternity leave are encouraged to enrol, leading to a permanent offer.

We have also seen existing employees transfer internationally within the organisation with the vacancy in the UK not being back filled. 

INVESTMENT BANKING & BROKERAGE HOUSES | Temporary - London

rate (£ Per Hour)

Role Analyst
0-2 Years
AVP
3-4 Years
VP
5-7 Years
Director
7+ Years
Loans 16-20 20-30 30-40 40+
Collateral 16-20 20-30 30-35 40+
OTC Trade Support 16-20 20-30 30-40 40+
Commodities Trade Support 16-20 20-30 30-40 40+
ETD Trade Support 16-20 20-30 30-40 40+
Client Services 16-20 20-28 28-35 35+
Asset Servicing 16-20 20-28 28-35 35+
Equity / Fixed Income Trade Support 16-20 20-28 28-35 35+
Reconciliations 15-18 18-25/ 25-30 30+
FX / MM Trade Support 15-18 18-25 25-30 30+
Settlements 15-18 18-25 25-30 30+

 

 

 

ASSET/WEALTH MANAGEMENT & PRIVATE BANKING | Temporary - London

Rate (£ Per Hour)

Role Analyst
0-2 Years
AVP
3-4 Years
VP
5-7 Years
Director
7+ Years
Performance Analyst 16-20 20-30 30-40 40+
Fund Analyst 15-20 20-25 25-30 30+
Fund Administrator 15-18 18-24 24-30 30+
Data Management 15-18 18-25 25-30 30+
Trade Support 15-20 20-25 25-30 30+
Cash Management 15-18 18-25 15-30 30+
Client Services 15-18 18-23 23-28 28+
Client Reporting 15-18 18-23 23-28 28+
Valuations and Pricing 15-18 18-23 23-28 28+
Reconciliations 15-18 18-23 28-28 28+
Settlements 15-18 18-23 23-28 28+

Financial Services Operations Temp Commentary  

Overview

The job market for operations based roles was relatively quiet in 2016 compared to previous years – as a result, remuneration remained flat. On reflection, the first half of the year outperformed the second in terms of job numbers, with well known political events taking their toll on hiring confidence in H2.

Predictably, low job volumes saw an increase in the number of job seekers looking for their next position. However, this made the job market extremely competitive for operations roles, particularly when faced with limited vacancies to apply for. Whilst most persevered through tough conditions, others decided to pursue careers in other disciplines or even other industries altogether.  

Positive & Negative News

Across both asset management and investment banking operations we saw an appetite for experienced hires where institutions were able to utilise their previous experience from day one. This differed slightly from previous years where employers had favoured junior hires which they could mould, suggesting hiring managers are even more constrained by regulatory requirements and need new hires to hit the ground running.

Job seekers with detailed product knowledge, full trade lifecycle awareness and detailed regulatory experience were in high demand particularly with the large investment banks. People ticking all three of these boxes have seen high levels of interest from multiple organisations.
 
In the asset management space our business saw client reporting and performance teams continue to grow due to the increase in data from new client onboarding. Historically the client reporting positions were skewed towards the junior end of the recruitment market, meaning that roles in this space generally provide on the job training. However, in 2016 teams looking to add performance attribution analysts focused largely on hiring experienced hires with existing expertise in reporting standards.
 
Additionally, we saw employers looking for applicants that could demonstrate greater job awareness. For example, how their roles impacted the wider business and what value their roles would have on the organisation over the short and medium term.

Qualities & Skills in Demand

Most of the senior managerial positions that reach the market tend to be of a permanent nature and as a result the numbers of contract and interim positions at this level during 2016 was on the low side. What we have seen is that due to factors such as an immediate start, maternity cover or a recent restructure, candidates need the necessary experience to hit the ground running.

During the last few years we have seen a continuation of roles with oversight skills experience being offshored. This trend continued in 2016, creating a vacuum of positions that needed to be back filled locally. Alongside this candidates with experience of projects and process improvements were in demand, especially for departments that were restructuring or relocating for cost-saving purposes. As a result of this, candidates with UAT skills will continue to be in demand for BAU and project-focused positions. 

Outside of Work

Aside from on-the-job experience, candidates can build up their knowledge by completing qualifications such as IOC, IMC or the CFA. These courses will advance their knowledge of the market and could also prompt their current employer to increase duties and responsibilities. This should also reflect positively on their salary band.

Obtaining these further education qualifications would demonstrate that the individual is willing to develop and grow beyond their current role, ultimately opening up opportunities for significant career progression. For example, successful completion of the CFA would enable a middle office professional to make that step to the front line, across a variety of roles which are recognised within the buy and sell side.
 
Our clients often outline a preference for candidates to develop their excel skills to macro level for analytical roles such as data, strategic reporting and performance. Advanced excel skills are becoming increasingly common in job descriptions, as is a preference for knowledge of SQL / Python, which means that some roles within operations have become hybrid in nature.

Notable Trends

In general, the candidate demographic for operations roles is largely similar to previous years. We are yet to see any large impact on applications from overseas candidates – something which may well change in the future depending on the outcome of the UK’s negotiations around leaving the EU.

Ross Sailes's picture
Manager | Financial Services Operations
rsailes@morganmckinley.co.uk

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