LONDON, Aug. 4 (Reuters) – HSBC (HSBA.L) raised the salaries of first-year analysts in its US investment banking business to $ 100,000 from $ 85,000, a source close to him said on Wednesday of the record, following similar moves by rivals Wall Street in recent weeks.
The decision, first reported by London-based Financial News, was taken several weeks ago but was communicated to staff this week, the source said, and salary increases for the top ranks have been made. granted in May.
Earlier this week, HSBC increased its bonus pool by $ 900 million after it more than doubled profits as it freed up cash set aside to cover bad debts from the COVID-19 pandemic. Read more
The pay rise comes amid a growing battle to attract junior staff to banking, especially in the United States, as some talented young people are put off by the long hours associated with investment banking and instead drawn in. by the brilliance of large technological or private companies. equity companies.
This sparked industry-wide salary increases in an attempt to compete, with Goldman Sachs (GS.N) raising the freshman salary to $ 110,000 according to media reports this week, after rivals such as Morgan Stanley (MS.N) and JPMorgan (JPM .N) made similar moves.
Goldman could not immediately be reached for comment.
Analyst is the entry level of investment banking, aimed at college graduates. HSBC analysts follow a 2.5-year program, remaining as a level one analyst for six months before being promoted to level two, then a year later to level three.
Reporting by Lawrence White Editing by David Holmes
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