Highest Paying Finance Career Tier List (Finance Jobs Ranked)

Summary

This video ranks various finance careers based on earning potential, with a focus on salaries and job competitiveness. The presenter creates a tier list from S-tier (highest paying) to F-tier, discussing roles like Vice President of Analytics, Strategy Consulting, Investment Banking, and Entrepreneurship. The video also highlights high-paying positions such as hedge fund managers and corporate banking, with bonuses often pushing compensation into the millions. The presenter emphasizes that success in finance often requires long hours and high competitiveness, catering to ambitious individuals seeking financial rewards.

Takeaways

• 💼 Finance careers vary greatly in terms of pay, with some offering high earnings, but job compensation often depends more on the company and industry.
• 📊 The role of Vice President of Analytics is lucrative, with salaries ranging from $127,000 to $230,000 or more due to the value of data in finance.
• 👔 Strategy Consulting offers strong pay prospects, with second-year consultants at firms like McKinsey earning over $200,000 in total compensation.
• 🚀 Entrepreneurship in finance, particularly fintech, is high-risk but also high-reward, landing it in the S tier for income potential.
• 🏦 Investment Banking is highly demanding, with 80-120 hour work weeks, but offers starting salaries exceeding $200,000 and can lead to even higher-paying roles.
• 💸 Private Equity, Hedge Funds, and Venture Capital are top-tier finance career paths where individuals can earn $125,000 to $250,000 starting right out of college.
• 📈 Asset Management and Corporate Development offer strong starting salaries, around $100,000 to $115,000, and are good career paths for new graduates.
• 💻 Software developers working in finance, especially for quantitative hedge funds, can earn high salaries, often exceeding $200,000.
• 📉 Risk and credit management roles, though not entry-level, offer decent pay in the range of $67,000 to $134,000 but may require advanced degrees.
• 📚 Financial roles such as equity research, finance quant trading, and financial analysts offer varied earning potentials, with quant trading ranked higher for earnings.

Q & A

What is the primary focus of the video?

The video focuses on ranking different finance careers based on how much money they make, from S tier (the best) to F tier (the worst), with a focus on salary potential and financial success.

Why is it difficult to find accurate salary data for finance careers?

It is difficult to find accurate salary data for finance careers because compensation often depends more on the company or industry rather than the specific job title, and salary ranges can vary widely.

What type of personality is best suited for the finance careers discussed in the video?

The careers discussed in the video are best suited for highly competitive, ambitious individuals who are comfortable working long hours (60+ per week) and are willing to sacrifice work-life balance for high-paying jobs.

Why is the Vice President of Analytics ranked in the A tier?

The Vice President of Analytics is ranked in the A tier because of the high demand for data analysis in finance. The average salary for this role ranges from $127,000 to $230,000, with potential for higher salaries due to the value of data in the competitive finance industry.

What makes entrepreneurship an S-tier career in finance?

Entrepreneurship is considered an S-tier career due to the high-risk, high-reward nature of starting a business, particularly in fintech (finance and technology). Successful entrepreneurs can potentially earn significant financial rewards.

Why is investment banking ranked in the S tier despite the demanding hours?

Investment banking is ranked in the S tier because, despite requiring 80-120 hours of work per week, it offers extremely high starting salaries (over $200,000) and serves as a pipeline to even more lucrative finance careers.

What differentiates corporate banking from investment banking, and how is it ranked?

Corporate banking focuses more on the credit side of finance rather than mergers and acquisitions like investment banking. It is ranked in the A tier because it offers a strong starting salary (over $100,000) and good career prospects.

What are private equity, hedge funds, and venture capital careers grouped together, and what tier are they in?

Private equity, hedge funds, and venture capital are grouped together because they are all highly lucrative but competitive areas of finance, offering starting salaries of $125,000 to $250,000. These careers are ranked in the S tier.

What are the salary expectations for a hedge fund manager, and why is this career ranked in the S tier?

A hedge fund manager can earn around $2.4 million per year, with some managers, like Izzy Englander, making billions. This career is ranked in the S tier due to the extraordinarily high earning potential.

Why is financial analyst ranked in the C tier compared to other finance careers?

A financial analyst is ranked in the C tier because, while it is a common entry-level job in finance, the salary range ($49,000 to $89,000) is much lower compared to other finance careers discussed in the video.