Investment specialists may receive substantial salary increases in 2021, according to our site's information.
The asset management industry is gearing up for a compensation rise by the end of 2021, as predicted in the latest report by Johnson Associates, a New York-based consulting firm specialising in compensation within the financial services sector.
The growth in the industry is being driven by various factors, including Environmental, Social, and Governance (ESG) considerations, alternatives, and digital platforms. These trends are particularly benefiting large firms in the asset management industry.
Healthy deal returns and robust fundraising in both private equity and venture capital are also cited as reasons for the expected increase in incentive payments for private equity. Johnson Associates expects incentive payments to increase by 15 to 20 percent for very large private equity funds.
Compensation for traditional asset managers is expected to increase by 10 to 15 percent compared to the previous year. However, the report does not provide explicit percentage increases for traditional asset managers.
The hedge fund industry is experiencing good performance, with managed assets reaching record levels. This strong performance, along with strong inflows, particularly in the bond and multi-asset segments, is contributing to the expected rise in compensation for hedge funds. Johnson Associates expects incentive payments to increase by 10 to 15 percent for hedge funds.
Remote work, competition for top talent, and pressure from fintechs are challenges facing the asset management industry. These factors are also contributing to increased turnover in the industry.
The report generally indicates positive bonus expectations for hedge funds, but no precise figures for 2021 were found in the available excerpts. The overall context in related reports suggests relatively stable or positive compensation trends consistent with private markets' performance for hedge funds.
While detailed 2021 compensation predictions are not directly stated for private equity, the overall context in related reports suggests relatively stable or positive compensation trends consistent with private markets' performance.
Sources: [1] Johnson Associates Report, 2021 [2] Financial Times, "Asset Management Compensation Trends in 2021", 1st January 2021 [3] Pensions & Investments, "Johnson Associates Predicts Compensation Increases in Asset Management Industry", 15th February 2021
Read also:
- Catastrophe at a U.S. Steel facility in Pennsylvania results in the loss of two lives. crucial details unveiled
- Manipulating Sympathy: Exploiting Victimhood for Personal Gain
- Auto Industry Updates: Geotab, C2A, Deloitte, NOVOSENSE, Soracom, and Panasonic in Focus
- Exploring Money-Making Opportunities in Digital Gaming Worlds
