Your Options
A legal role within an investment bank or financial services organization is becoming an increasingly popular option for many lawyers in private practice. This trend seems to be driven by the triple draw of generous banking bonuses, drastic lifestyle improvement and the chance to get "closer to the business". The opportunity to make commercial, business-critical decisions, rather than simply executing part of a transaction, greatly appeals to young lawyers.
Generally the move into the banking and finance sector occurs around the 2-5 year pqe level with most institutions requiring at least 2 years solid experience with a good City firm. Our experience indicates that there are very few opportunities for a newly qualified lawyer to move into an investment bank at the newly qualified level as the banks. The truly international nature of these institutions sometimes gives lawyers with language skills and willingness to work overseas the edge.
The shortage of talent in this buoyant market means remuneration levels are high. Banks are paying what it takes to secure the lawyers of their choice. Basic salaries compare very favourably with those in private practice, and some investment banks will offer candidates an uplift in basic salary. Banking bonuses are typically far higher than those achieved in the City firms, with 30 to 100% being achievable in the first year, and rising thereafter.
Beyond the initial attraction however, the career path in banking and finance is also a plus. Many lawyers can and do often move into a business role, beyond which the sky is the limit!
