Gsam Salary Ranges and Trends in the Industry

In the G-SAM industry, salary ranges can vary significantly depending on factors like location, experience, and specific job role.

According to industry trends, entry-level G-SAM analysts can expect to earn around $60,000 to $80,000 per year.

In major cities like New York or London, salaries can be even higher, often exceeding $100,000 for more senior roles.

The average salary for a G-SAM portfolio manager in the US is around $120,000 per year, based on current industry data.

Goldman Sachs is finally joining the party and bumping pay for junior bankers, with a salary hike for first-year analysts to $110,000, outstripping rivals like Morgan Stanley and Citigroup.

The company was one of the last holdouts among major investment banks, resisting increasing wages for entry-level employees in a booming business environment. Investment banking is a career infamous for grueling hours, but recent months have proven to be particularly frenetic for entry-level bankers.

Mergers and acquisitions are flourishing, due in part to the uptick in Special Purpose Acquisition Company activity. This has led to some new hires at Goldman Sachs feeling like they're suffering from success, with many reporting deteriorating mental health and feeling likely to quit within 6 months.

A presentation by 13 junior employees at Goldman Sachs in February gained traction on social media, highlighting the need for better work-life balance. The company's investment-bank analysts get around $88,000 a year, according to Glassdoor, or around $18 an hour assuming a 100-hour workweek.

This figure is more than twice the federal minimum wage, but in New York City, the fast-food industry has a minimum wage of $15 an hour. Goldman Sachs must contend with rival banks like Citigroup, which will allow employees to work from home two days a week after the pandemic.

Here's a rough idea of how Goldman Sachs's salary hike compares to its rivals:

It's worth noting that investment banking salaries are largely dependent on performance and experience, with bankers higher in the ranks earning much more than those earlier in their careers. Those who deliver consistently superior results will be handsomely rewarded, with managing directors sometimes earning over $20 million.

GSAM is a global investment management business within the Bank of New York Mellon Corporation. It has a diverse range of investment strategies and capabilities.

GSAM's organization is structured into several key areas, including Investment Management and Distribution. This structure allows for a focus on both investment performance and client service.

The Investment Management area is responsible for developing and implementing investment strategies across various asset classes. This includes equity, fixed income, and alternative investments.

GSAM's Distribution area focuses on delivering these investment strategies to clients around the world. This includes sales, marketing, and client service functions.

GSAM's global presence spans across 22 countries and over 100 offices worldwide.

At Goldman Sachs, various roles exist, each with its own compensation package. The highest paying jobs at Goldman Sachs are managing director, vice president research, finance vice president, and associate, with managing director jobs averaging $274,338 per year.

The lowest paying Goldman Sachs roles include administrative assistant and analyst, with administrative assistant average salary being $39,679 per year. This highlights a significant variation in pay depending on the role.

Here's a breakdown of the top 5 highest paying jobs at Goldman Sachs:

Front office roles at Goldman Sachs are the highest paid, with analysts in New York earning between $80k and $110k.

These roles include jobs in investment banking, sales, and trading, as well as wealth and asset management. The salary ceiling for front office roles is the same in both New York and California, with associates earning between $130k and $175k in both locales.

The biggest chunk of front office compensation at Goldman Sachs comes in the form of bonuses. In fact, bonuses are a huge extra part of the compensation package for front office employees.

Here's a breakdown of the salary ranges for front office roles in New York and California:

Summer analysts and other interns in California earn salaries only slightly below their East Coast colleagues.

The back office is a vital part of any organization, including finance giants like Goldman Sachs. Non-revenue-generating roles in the back office include functions such as compliance, risk, operations, tax, and legal roles.

People in these roles often have lower salaries compared to those in revenue-generating positions.

Analyst engineers are a unique breed at Goldman Sachs. They are paid better than their back-office peers, and even better than revenue-generating analysts in summer internships, new starter roles, and other internships.

Their salaries are particularly noteworthy, as they are paid less than revenue-generating front-office roles, but still manage to earn more than their back-office colleagues. This suggests that engineers are highly valued at Goldman Sachs.

Technology bonuses in the investment bank are lower compared to peers in revenue-generating roles, but still higher than other middle- and back-office functions. This is according to the 2024 salary and bonus report.

Managing Directors are the highest-paid employees at Goldman Sachs, with an average yearly salary of $274,338. They are also known as Managing Directors.

Most Managing Directors at Goldman Sachs are financial managers in New York, with a salary of $400,000. This is the case for the majority of MDs, including those who earned $300,000 and $500,000.

The high salaries of Managing Directors are likely due to the firm's business needs and the level of expertise required for the role. This is especially true in New York, where the cost of living is high and competition for top talent is fierce.

Goldman Sachs' Managing Directors have little variety in their salaries, with most earning $400,000 or more.

The average salary of a Goldman Sachs employee is a staggering $404,000, thanks to massive benefit packages given to executives and top earners.

However, it's essential to note that this number is skewed by the enormous take-home pay of executives, making it difficult to compare to industry averages.

The nature of investment banking is meritocratic, so banks like Goldman Sachs must remain competitive in their compensation packages to retain top talent.

The average salary at Goldman Sachs can vary greatly depending on the department, with Corporate Management employees earning the highest average salary of $148,910.

Here's a breakdown of the average Goldman Sachs salary by department:

It's worth noting that salaries at Goldman Sachs competitors, like BNP Paribas, Credit Suisse, and Deutsche Bank, vary, with BNP Paribas employees earning the highest average yearly salary of $110,415.