For those who have hedge fund salary questions, there is a good chance you are interested in working in this industry. Although you should never choose an industry or position for the money alone, if you get into this area of business you are on the right track towards earning above average income.
Just like any industry, there are a variety of professionals working at hedge fund firms. At the bottom of the pay scale, you have those who are doing the administrative work. These professionals do not make nearly as much money as those the hedge fund managers who sit at the top of the pay scale.
Generally speaking, as you move your way up the hedge fund ladder your salary and bonuses will grow accordingly. Even if you never secure a position as a hedge fund manager, you are still able to close in on a salary in the mid six figures.
Starting a Hedge Fund
If you decide to start your own hedge fund, the amount of money you earn will be based largely on your connections and how quickly you can secure clients.
As the founder of a hedge fund, you will have your money tied up in the investments that you make. Subsequently, you can earn money in this manner as well as through the management fees and profits that you generate through your clients.
Those who are finding it difficult to land a job as a hedge fund manager may want to consider this route. It is more work upfront, but the ability to create your own position is something that cannot be overlooked.
Top Paid Hedge Fund Managers
According to a recent article published by Business Insider, Institutional Investor’s Alpha’s analysis notes that the 25 highest earning hedge fund managers raked in more than $14 billion combined in 2012. This gives you a basic idea of how much a hedge fund salary can really be.
Some of the top performing managers include: Daniel Loeb ($380 million), David Shaw ($530 million), and Leon Cooperman ($560 million).
If a hedge fund salary is something that interests you, getting your foot in the door is the first step. From there, you can begin to climb your way up the industry ladder with hopes of reaching the top at some point.
It takes a lot of work to become a hedge fund manager. Even more so, it takes time and dedication to provide clients with the results they are looking for. If you are able to meet the demands of this industry, your salary and bonuses are sure to put a smile on your face.