The total compensation steadily rises as the years pass. Also, as you progress at this level, the new business generation component begins to seep into the equation. At this level, it is likely that your compensation is most directly tied to the fortunes of your group and the firm as a whole. Terminology, however, varies significantly among the banks. The sales and trading function sells securities into the market.
Traders can transact orders for clients or be proprietary traders.
For instance in investment banking, you may be hired to work into leveraged finance at Merrill or the national resources group at Lehman, while DLJ hires only generalist bankers. At Smith Barney, for example, there are both coverage and client groups. Some bankers work in groups like healthcare while others work with a particular type of financing like high yield debt. That is the kind of question you'll need to resolve for each firm. Copyright 1997 Investment Banking Group - University of Chicago.