eFinancialCareers

Salary and bonus levels for derivatives professionals working with fund linked derivatives and hedge fund structured products rose between 7.5% and 10% last year, according to a new salary survey.

Jonathan Astbury, director of the financial services division at the Sandton Group, which conducted the survey, says rising pay reflects strong demand for staff, plus high margins on offer in the sector. “The drivers are high margins and fees, and a relatively evolutionary market in terms of products innovation,” he says.

The survey of 47 derivatives professionals in the London, Paris and New York markets, found managing directors trading fund linked derivatives were the most handsomely rewarded, with bonuses of up to £1.1m for 2005, plus salaries of up to £140,000.

Other pay brackets were as follows:

• MD, structuring: base £120,00 - £140,000; bonus £ 275,000 - £1,050,000
• MD, sales: base £110,000 - £130,000; bonus £150,000 - £850,000
• VP, structuring: base £70,000 - £100,000; bonus £35,000 - £350,000
• VP, trading: base £80,000 - £100,000; bonus £45,000 - £450,000
• VP, sales: base £60,000-£90,000; bonus £40,000-£425,000
• Associate, structuring: base £50,000-£55,000; bonus £25,000-£50,000
• Associate, trading: base £40,000-£60,000; bonus £25,000-£60,000
• Associate, sales: base £40,000-£55,000; bonus £25,000-£60,000