Thelander PC Digest: August 2022

How do Bonuses Impact Compensation for Senior Investment Professionals?

For some senior investment professionals, their total cash compensation is just their base salary, while others also receive a bonus as well. This doesn’t necessarily mean that those with bonuses get paid more. Those without bonuses might have a higher base salary to make up for the difference.

So which is it? In this month’s Thelander Digest, we’ll look at what percentages of senior investment professionals received a bonus and the median total cash they received in compensation. Let’s dive in! 

Key Takeaways
After analyzing our data, we discovered the following:

• More than 75% of senior investment professionals received a bonus regardless of the total investment capital under their team’s management.
• This percentage increases as investment capital under management increases.

• Senior investment professionals that received bonuses were compensated higher regardless of the capital under team management.
• The difference was greater for those on teams with $250 million or more under management.
• Interestingly, the median total cash for those without a bonus didn’t change much based on the amount of capital under management, while it did for those with a bonus.

Want more compensation data? The CVC Salary Increase & Bonus Survey is open and includes questions on salary increases, bonuses, carry dollars at work and more. The results will be particularly valuable this year, as firms grapple with how inflation will impact compensation, and the results will assist in making educated decisions on talent acquisition and retention in a competitive market. The survey is free to participate in and will take you less than 15 minutes to complete your response. All respondents will receive a free overview report and discounted pricing on premium subscriptions.