We partner with clients to drive performance through people performance, ensuring staff are motivated and rewarded in line with strategic, operational, and financial plans. We work across equities and fixed income sales and trading, research, corporate and investment banking, and investor services / transaction banking.
Our consultants work with virtually all of the global investment banks, securities firms, regional banks, and top independent advisory investment banks. We bring a global perspective by working with firms across all of their regional offices.
Banking and Capital Markets
Incumbents Represented in Global Banking and Markets Surveys
In addition to our rewards benchmarking surveys, we provide comprehensive advisory solutions, including incentive plan design, compensation strategy and philosophy, and executive and broad-based benchmarking.
Investment Banking Compensation Data
Our compensation surveys benchmark all levels of pay, salary, cash incentive, and long-term awards, for investment banking professionals including M&A advisory, restructuring, and industry coverage bankers across all major sectors.
We have specialized expertise in the industry, allowing us to help investment banking firms to design comprehensive compensation plans, performance business benchmarking, and align compensation to improve strategic and operational efficiency.
The surveys for investment banking firms cover pay levels across each title and class year, analysts through MDs, to help clients understand competitive pay for a custom, hand-selected grouping of peer firms. We work with over 130 investment banking organizations, including:
- Bulge Bracket Global Banks
- International Banks
- U.S. Regional Banks
- Mid-Market Investment Banking Firms
- Global Independent Advisory Firms
- Sector-Specific M&A Boutiques
We conduct custom studies across global banks, regional broker and dealers, and investment banking boutiques on clients’ incentive funding approaches, payout rates, allocation of awards, mix of pay, and utilization of long-term incentives.
Our investment banking productivity study enables management to assess overall efficiency for global, middle market, and boutique firms. The resulting report compares a firm against its peer using financial metrics such as revenue per banker, revenue per head, and compensation as a percentage of revenue. We include detailed benchmark statistics related to non-compensation costs, banker staffing ratios, and infrastructure support headcount. Because we are able to scale this information to company size and revenue, we help firms develop compensation, human capital, and fiscal strategies which foster company growth.
We provide an Investment Banking Analyst Study to provide clients with a comprehensive overview of historical and actual pay levels and practices for graduate analysts and first year associates at global banks. To learn more about McLagan Market Practice Studies, please click here.
Equities Business Compensation Solutions
Over 100 equities firms participate in our annual, global compensation surveys. We cover key compensation elements for sales, trading, origination, and quantitative and structuring roles across all products, including salary, cash incentives, and long-term awards.
In addition to our compensation surveys specialized for equities firms, we provide business performance analytics such as revenue, staffing, costs, and capital through our Gauge product and our Revenue GPS solution allows firms to look at revenues relative to scale, spend, and footprint.
For our clients interested in market practices, we provide Market Practice Studies that look into pay practices, incentive funding approaches, payout rates, allocation of awards, mix of pay, and utilization of long-term incentives.
Fixed Income Compensation Intelligence
Our team works with fixed income clients across the globe, including the U.S., Europe, Japan, Hong Kong, and India, across sales and trading, origination, and research. Our compensation surveys cover salary, cash incentive, and long-term awards across business groups for products including:
- Asset-Backed Securities
- Emerging Markets
- Foreign Exchange
- Money Markets
- Mortgage-Backed Securities
Our compensation surveys serve as the basis for our work in compensation design, business benchmarking, and cost savings advisory services.
Our Gauge product uses detailed general ledger data to assess a firm’s competitive position across a broad array of performance metrics covering fixed income divisions and products, including revenue, staffing, costs, and capital.
Custom Methods of Pay Studies are conducted across various types of firms, such as global banks, regional broker / dealers, commodity firms, and proprietary trading firms, providing data on clients’ incentive funding approaches, payout rates, allocation of awards, mix of pay, and utilization of long-term incentives.
To learn more about our market practice studies, please click here.
Investor Services and Transaction Banking Compensation Surveys
We have worked with investor services and transaction banking businesses through organizational challenges as they continue to restructure, reform, and reinvent themselves. Our compensation intelligence serves as the basis for this knowledge. We connect this data to performance, revenue, and expense analytics to provide deep insights into our clients’ firms across over 30 countries.
Our coverage includes the U.S., Canada, Europe, Middle East, and Asia Pacific regions. We cover the following lines of business and functions:
- Alternative Investments and Hedge Funds
- Corporate Trust
- Correspondent Clearing
- Custody Services
- Functional Areas
- Securities Lending
- Third Party Administration
- Trade Services
- Treasury / Cash Management
- Client Delivery and Implementation
- Core Operations
- Investment Performance Analysis
- Master Trust / Fund Accounting
- Product Management
- Sub-Custodian Network Management
- Transaction Services Operations
- Transfer Agency / Fund Administration
- Trust and Fiduciary Services
We specialize in compensation benchmarking, incentive and sales plan design, and staffing analysis. Our approach to the above is grounded in our vast breadth of data as a foundation, supplemented by our ongoing awareness of trends and our knowledge of these clients and their unique challenges.
Moving Beyond Pay: Market Intelligence and Insights
Beyond compensation surveys, we offer a broad range of Market Practice Studies throughout the year. These studies provide clients with the deep industry knowledge and insights needed to maintain competitive position, drive organizational change, execute long-term business strategies and drive results. Some of our studies specific to the banking and capital markets sector include:
- HR Policies and Practices
- Investment Banking Analyst Report
- Long-term Incentive and Mandatory Deferral Plan Study
- Merit Budget and Salary Study
To learn more about McLagan Market Practice Studies, click here.
Survey Pricing, Access, and Support
Fees for McLagan compensation surveys vary based on size of firm, as well as the product and type of incumbents submitted within the survey area.
Survey purchases include 24/7 access to the McLagan Online client portal. This puts survey results and insights in reach at all times.
All survey clients are assigned a dedicated Relationship Manager to provide benchmarking support during the survey input, position and employee level analysis, and access to webinars and roundtables where clients receive the latest in hot topics in the market and networking opportunities with industry peers. We provide a variety of rewards and compensation advisory solutions to assist clients with their compensation, performance, and talent strategies.