Download pdf - Career Prospects Market Sentiment & Loyalty

CAREER PROSPECTS, MARKET SENTIMENT & LOYALTY

2

i EMPLOYERS

INSIDE THIS REPORT

As a specialist financial recruitment firm, Selby Jennings recognises the importance of ‘understanding your market.’

To ensure that consultants can provide the best possible advice to candidates and clients for 2013, a survey on

market sentiment, employment prospects and loyalty was commissioned.

The survey was conducted on a global scale across 8 sectors within the financial industry. 23,836 professionals

from New York, London and Singapore were asked to share their opinion between 1st November and 31st

November 2012. The aim of this report is to provide an overview and analysis of the survey findings.

The report is structured in three main sections:

• EconomicConditions,SentimentandConfidence

• EmploymentProspects

• Loyalty

Within each section ‘insights’ provide Selby Jennings interpretation of the findings for employees and employers.

‘Insights’ can be found in boxes highlighted on relevant pages as shown below:

i EMPLOYEES

3

EXECUTIVE SUMMARY

The employment market in 2012 statistically showed that prospects were improving, many organizations focused

on growth as a key objective leading to increased investment in hiring. Despite this, financial professionals still

maintained a negative perception of the market for 2013.

The latter half of 2012 proved more challenging as the volatility of the global economic climate increased. Within

banks and Financial Services institutions employment opportunities were perceived to be decreasing by finance

professionals. Despite this pockets of positivity can be seen and the employment market, while by no means

recovered, will provide new opportunities in 2013.

While 2013 is expected to bring more of the tighter market conditions seen towards the end of 2012, Selby

Jennings believe that the negative perception of the market held by finance professionals is not totally founded as

employment statistics for the coming year look promising.

Key Findings from the Report:

• Globally42%answeredthateconomicconditionsnowareworsethanthistimelastyear.

• Acrossallregions52%believeconfidenceandsentimentwithinthefinancesectortobe

worsening.

• PerspectivesofeconomicconditionsinNewYork(62.7%)weremorepositivethanthosein

London and Singapore.

• Theglobalviewisthatemploymentprospectsaredecreasingwith69%ofthosequestioned

choosing this response.

• RiskManagement/QuantAnalyticsprofessionalswerethemostpositiveaboutemployment

opportunities across all regions and Sales and Trading professionals were the most negative.

• Globallyrespondentsbelievedthattheirpromotionprospectsaregettingworse.46%

answered that promotion prospects are decreasing.

• Whenasked‘ifnotsatisfiedwithyourcurrentcareerprospectswhatwouldyoudo?’the

majority(51%)ofrespondentsansweredthattheywouldactivelystartlookingforanewrole.

• Acrossallsectorsopportunitytoprogresswasthemostimportantdriverforfinance

professionals to remain in their current role.

• Work/lifebalancewasfoundtobemoreimportanttothoseinLondonthanthoseinNew

York or Singapore.

• BonusweremostimportanttothoseinNewYork,aboveSalary.

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CONTENTS

THE ECONOMY, MARKET SENTIMENT AND CONFIDENCE

GlobalOverview 8 Regional Comparison 9 Sector Comparison 10 o London 11 o New York 11 o Singapore 12 Conclusion 13

EMPLOYMENT PROSPECTS

GlobalOverview 16 Regional Comparison 17 o London 17 o New York 18 o Singapore 19 Sector Comparison 20 o Employment Prospects 20 o BonusProspects 21 o Promotion Prospects 22 o Salary Prospects 23 Conclusion 26 Infographic 27

LOYALTY

Loyalty in a Recession 30 o Globaloverview 31 o Regional Comparison 31 o Sector comparison 32 Loyalty Drivers 33 o GlobalOverview 33 o Regional Comparison 34 o Sector Comparison 35 Conclusion 36

ABOUTSELBYJENNINGS

About Selby Jennings 38 Structure and Coverage 39

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THE ECONOMY, MARKET SENTIMENT & CONFIDENCE

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GLOBALOVERVIEW

At the start of 2012 there was much debate that

the global economy was recovering from its recent

downturn. Development and growth were top

priorities for many organisations and businesses began

hiring new employees. This led to a steady increase in

employment rates for several regions throughout 2012.

Despite this improvement the global survey carried

out by Selby Jennings found that 42% of employees

perceived economic conditions in their country of

work to be showing no signs of recovery, whilst only

20%noticedanimprovement.Astheyearbeganwith

high expectations of a more prosperous economy, this

negative perception may have stemmed from recovery

rates not meeting expectations set out at the start of

the year.

Globally, market sentiment and confidence was also

found to be worsening. When asked ‘compared to

12 months ago, how do you think market sentiment

andconfidenceischanging?52%respondedthatthey

believe confidence and sentiment within the finance

sector to be worsening, with only 17% seeing any

positive change.

Although overall perceptions of economic conditions

were found to be predominantly negative, it seems that

this negativity does not wholly reflect the true state of

the global economy. Many institutions have reported

growth in 2012 and the employment market looks to

be improving, Steve Yendell, Director of Selby Jennings

comments;

“Givenrecenthiringstatisticsworldwide,thisnegativity

seems to be a mere perception, economies are by no

means flourishing, but employers are hiring and things

are not as bad as perceptions would suggest.”

GlobalEconomicConditions

GlobalMarketSentiment&Confidence

Better than this time last year20%

Worse than this time last year42%

The same as this time last year38%

Con�dence &SentimentImproving17%

No change inCon�dence &Sentiment31%

Con�dence & SentimentWorsening52%

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REGIONALCOMPARISON

Overall Londoners had the most negative perception

oftheireconomy,with40.5%believingthateconomic

conditions are worse now than this time last year and

41.4%thinkingthatmarketsentimentandconfidence

is worsening.

“The UK is showing signs of improvement, however

the EU is still struggling, as these economies are closely

linked, the media portrayal of negativity in the EU seems

to be having a knock on effect on UK perceptions” –

KieranBehan,Director,SelbyJennings.

Perspectives in New York were more positive than

those in London and Singapore. Of those who believed

economic conditions now to be better than this time

lastyear,62.7%werefromNewYorkand49.2%ofNew

Yorkers thought that market sentiment and confidence

was improving. However, New York was hit by the

economic crisis ahead of other regions and seems to

be further along in terms of recovery, having already

implemented much of the necessary regulatory action

in the Financial Services sector. Europe and APAC

however, have yet to implement such regulation and

therefore, market sentiment is perhaps not as positive

as in New York.

“The New York market improved in 2012 with the

easing of the fiscal cliff, this improvement looks to

continue in 2013 with growth a top priority for many

financial institutions” – Harry Youtan, Regional Director,

Americas, Selby Jennings.

Singaporeans remained relatively split about the state

of their economy with 26.2% believing economic

conditionsnowtobeworsethanlastyear,yet24.6%

believe that confidence and sentiment is improving.

It seems New York is the place to

be, with the economy in this region

further ahead in terms of recovery,

NY will offer many opportunities

for the coming year.

i EMPLOYEES

Candidate movement may increase

in 2013 to find new opportunities;

this will mean a fresh influx of talent

and new additions to regional

candidate pools.

i EMPLOYERS

London

Singapore

New York

26.2%

22.0%

33.3%

40.5%

15.3%

62.7%

Economic Conditions

Worsening Improving

London

Singapore

New York

26.3%

26.2%

32.3%

41.4%

24.6%

49.2%

Market Sentiment & Confidence

Worsening Improving

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SECTOR COMPARISON

Globally professionals that were most positive about

economic conditions in their country of work worked

in the Risk Management/Quant Analytics and Fund

Management sectors. Of those who answered that

market sentiment and confidence was improving, the

majority (26.2%)worked inRiskManagement/Quant

Analytics and those who believed economic conditions

to be better now than this time last year worked

predominantlyinFundManagement(23.7%)

“Media Interest in financial institutions has resulted

in a high level of scrutiny of conduct and a need for

regulation; this has caused a sustained push in demand

for Risk Management professionals explaining the

positivity in this sector” – Matt Nicholson, Head of Risk,

Selby Jennings.

Globally,thoseworking inSalesandTradingwerethe

most negative about economic conditions in their

country of work. Of those who answered that sentiment

andconfidencelookstobeworsening,36.8%worked

inSalesandTrading.Additionally,34.1%ofthosewho

believe economic conditions are worse now than this

time last year, also worked in Sales and Trading.

“It’s not all doom and gloom for those in Sales and

Trading, 2013 will see opportunities increase in

traditional revenue generating functions” – Greg

Beszant,AssociateDirector,SelbyJennings.

Those working in all other sectors perceived conditions

to remain the same over the coming months, with

the majority of respondents answering that they see

no change in either economic conditions or market

sentiment and confidence.

Regulatory positions will offer job

security and increased prospects

during 2013. Opportunities will

continue to grow for those in Risk,

Compliance and Legal roles.

i EMPLOYEES

Technology

Sales and Trading

Corporate Banking

36.8%

10.8%

12.8%

10.5%

15.4%

26.2%

Market Sentiment and Confidence

Worsening Improving

Risk Management/Quant Analytics

Private Wealth Management

IBD/M&A

Finance/Operations

Fund Management

9.2%

7.7%

6.2%

3.0%

13.5%

5.3%

4.6%

20.0%

4.5%

13.5%

Technology

Sales and Trading

Corporate Banking

34.1%

11.9%

15.1%

11.1%

15.3%

18.6%

Economic Conditions

Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

10.2%

8.5%

8.5%

1.6%

13.5%

5.6%

3.4%

23.7%

4.5%

14.3%

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LONDON

Those most positive about economic conditions in London

worked within Risk Management/Quant Analytics roles. 35.3%

of respondents who answered that conditions were improving

worked in these sectors. Fund Management professionals were

also noticeably positive about economic conditions with 23.7%

believing conditions to be improving.

Sales and Trading professionals were the most negative about

economic conditions in London, with 23.1% believing market

sentiment and confidence to be worse now than this time last year.

Of those who believed economic conditions to be worse now

thanthistimelastyear34.1%workedinSalesandTradingroles.

Those working in all other sectors perceived conditions to remain

the same over the coming months, answering predominantly that

they see no change in either economic conditions or market

sentiment and confidence.

NEW YORK

Those working in Risk Management/Quant Analytics were the

mostpositiveabouteconomicconditionsinNewYork.21.9%of

respondents who answered that conditions were improving, and

21.6% of those who thought market sentiment and confidence

wasimproving,workedinRiskManagement/QuantAnalytics.

The Sales and Trading sector were the most negative about

economic conditions in NewYork similar to London. 35.7% of

those who answered that economic conditions are worse now

thanthistimelastyear,and37.2%ofthosewhothinksentiment

and confidence is worsening, worked in Sales and Trading.

Professional’s from all other sectors in New York believe that

conditions will remain the same over the coming months

predominantly answering that they see no change in either

economic conditions or market sentiment and confidence.

Given the negative perceptions of the market, considering how to

ensure employees remain motivated is key. i EMPLOYERS

Technology

Sales and Trading

Corporate Banking

23.1%

2.0%

15.0%

1.0%

23.5%

35.3%


Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

11.8%

1.0%

5.9%

4.0%

7.7%

15.4%

11.8%

11.8%

7.7%

15.4%

Technology

Sales and Trading

Corporate Banking

34.1%

11.9%

15.1%

11.1%

15.3%

18.6%

Economic Conditions

Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

10.2%

8.5%

8.5%

1.6%

13.5%

5.6%

3.4%

23.7%

4.8%

14.3%

Technology

Sales and Trading

Corporate Banking

37.2%

18.9%

16.3%

14.0%

8.1%

21.6%


Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

8.1%

8.1%

5.4%

2.3%

14.0%

7.0%

2.7%

21.2%

4.7%

4.7%

Technology

Sales and Trading

Corporate Banking

35.7%

18.8%

16.7%

16.7%

9.4%

21.9%

Economic Conditions

Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

9.4%

9.4%

6.3%

2.4%

11.9%

7.1%

3.1%

21.7%

2.4%

7.1%

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SINGAPORE

Those most positive about economic conditions in Singapore

workedintheRiskManagement/QuantAnalyticssector,ofthose

who answered that market sentiment and confidence is improving,

37.5%workedinRiskManagement/QuantAnalyticsroles.


economicconditionsinSingapore.39.4%ofthosewhoanswered

that economic conditions are worse now than this time last year,

and 45.7% of those who answered that market sentiment and

confidence is worsening, worked in Sales and Trading.

Those working in all other Sectors in Singapore perceived

conditions to remain the same over the coming months answering

predominantly that they see no change in either economic

conditions or market sentiment and confidence.

Employers can afford to be highly selective in this economic climate. Have

youconsideredwhatyoucandoensureyoustandout?i EMPLOYEES

Technology

Sales and Trading

Corporate Banking

45.7%

6.3%

11.4%

2.9%

6.3%

37.5%


Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

6.3%

12.5%

6.3%

5.7%

17.1%

0.0%

0.0%

25.0%

2.9%

14.3%

Technology

Sales and Trading

Corporate Banking

39.4%

18.8%

21.2%

6.1%

9.4%

21.9%

Economic Conditions

Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

9.4%

9.4%

6.3%

3.0%

15.2%

7.1%

3.1%

21.7%

3.0%

12.1%

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CONCLUSION

Growthisstillofhighimportancetoinstitutionswithinthefinancialsector.However,therateofeconomicgrowth

in2013 is likely tostabilise.Themajorityof thosequestionedhadnegativeperceptionsof theeconomyand

market sentiment for the coming year. Tightening regulation in the finance sector and negative media attention

could have led to this perception. The implementation of regulatory policies has meant finance sector employees

havefeltthepinchoftherecessionmoresothanothers.Giventhat2012beganwithdiscussionsofimprovement

in economic conditions, recovery not meeting the level expected may again have contributed to the negative

perceptions. While 2013 is expected to bring more of the tighter market conditions seen towards the end of

2012, Selby Jennings believe that the negative perception of the market held by finance professionals is not totally

founded as there are pockets of positivity and employment statistics are looking promising.

New Yorkers were found to be the most positive about economic conditions and Londoners the most negative.

TheSingaporeanmajorityopinionwasthatconditionswill remainmuchthesame.GiventhatNewYorkwas

affected earlier on by the economic crisis than other regions, it can be assumed that they are further ahead in

terms of recovery, hence their more positive outlook. New York has an extensive focus on growth and creation

of new jobs within the marketplace for the coming year. The UK market however is strongly linked to the

performance of other EU economies, some of which are still declining; the widely publicised EU issues look to be

dampening the UK’s perspective of economic conditions.

ThoseworkinginRiskManagement/QuantAnalyticsroleswerenotedasthemostpositiveacrossallregionsand

those working in Sales and Trading were the most negative. Tightening of regulation within the finance sector can

explainwhyRiskManagement/QuantAnalyticsprofessionalswerethemostpositive.Asthelegalrequirements

for regulation increase, professionals in these areas are more in demand and opportunities are increasing. For

those in Sales and Trading, regulation has affected the boundaries within which they operate and many are feeling

more constrained by regulatory action, leading to the negative perceptions. It is likely the optimism of those in

regulatory roles will continue in 2013 as prospects continue to remain positive. For those in more traditional

roles, the coming year will see an increase in opportunities as market conditions stabilise.

15

EMPLOYMENT PROSPECTS

16

BonusProspects

Globally,theoutlookonbonusprospectsfor2013ismostlynegative,57%saidbonusprospectsaredecreasing,

30%answeredthattheydonotseetheirbonusprospectschangingoverthecomingyearand13%saidtheythink

prospects are improving.

Salary Prospects

Themajority(49%)ofrespondentsbelievethatasalaryincreasein2013islesslikelythaninthepast12months,

36%answeredthatasalaryincreaseisjustaslikelyinthecomingmonthsand15%thinkasalaryincreaseismore

likely.

“As a rule, there has been far greater focus on the remuneration packages of finance professionals. Institutions are

under increasing pressure to control the percentage of turnover spent on staff compensation. However, where

candidates can prove ability to drive growth, profit and efficiency, significant uplift is still available” – Steve Yendell,

Director, Selby Jennings.

Promotion Prospects

Acrossallregions,respondentsperceivedtheirpromotionprospectstobegettingworse.46%answeredthat

promotionprospectsaredecreasing,47%thinktheirpromotionprospectsarenotchangingand7%answered

that they think their promotion prospects are improving.

Although perceptions of prospects remain low, after several years of recessive conditions in global labour markets

employment rates look to be steadily increasing as we head into 2013. In all three of the major regions surveyed

unemployment has decreased over the past year.

GLOBALOVERVIEW

Globally,discussionsaroundemploymentrateshaveincreasedover

the past few years due to the increased volatility of the economic

climate. Perceptions of employment opportunities for the coming

year were found to be predominantly negative within the finance

sector. The global view is that employment prospects are decreasing

with69%ofthosequestionedchoosingthisresponse.Mediafocus

on the shortcomings of several large institutions coupled with the

tightening of regulation seems to have caused a wave of negativity

about prospects throughout the finance sector.

Focusing on areas of self-development will ensure that you are in a

position to receive monetary rewards above others. i EMPLOYEES

Increasing7%

No Change24%

Decreasing 69%

Employment Prospects

17

Perception vs. Facts

Despite London based finance professionals perceptions being mostly negative, statistics show that conditions are

not as bad as perceptions suggest. The UK Office of National Statistics annual data shows that the unemployment

rate within the UK has decreased steadily over the past year contrary to the perception that employment

prospects have declined. Statistics also show that the number of recorded job vacancies within the UK has steadily

increased over the last year as organisations focused on growth as a key objective for 2012. These trends look to

continue into 2013.

UK Unemployment Rate Job Vacancies

Source: www.tradingeconomics.com

“Employersarestillhiring,growthisstillapriorityandthereareopportunitiesoutthere”–AdamBuck,CEO,

Phaidon International.

REGIONALCOMPARISON

LondonLondon based finance professionals seem to be concerned about

their employment prospects for the coming year. Those in London

had the bleakest outlook compared to New York and Singapore, with

42.5%believingthatemploymentopportunitiesareworsenowthan

12 months ago.

Londoners were negative about bonus, promotion and salary

prospects with 46% believing their promotion prospects to be

worsening,49%thinkingthattheyarelesslikelytoreceiveasalary

increase this year than last year and 57.5% answering that bonus

prospects are getting worse.

35.3%

42.5%

22.2%

New York

Singapore

London

Employment Prospects worsening

18

Perception vs. Facts

Despitethenegativeoutlook,statisticsfromtheUnitedStatesBureaushowthattheunemploymentratedropped

throughout 2012. The number of recorded job vacancies has also increased in 2012 implying that prospects are

improving rather than getting worse as perceptions would suggest. If trends continue like this then 2013 will see

an increase in opportunities available.

US Unemployment Rate US Job Vacancies


“The employment market in New York is going form strength to strength and 2013 should see unemployment

decrease” – Harry Youtan, Regional Director, Americas, Selby Jennings.

New YorkNew York based finance professionals had the most positive outlook

of their employment prospects compared to London and Singapore,

Ofthosequestioned45.9%believethatemploymentopportunities

are better now than this time last year.

The overall opinion in New York is however still predominantly

negative. Those based in this region were negative about promotion,

salaryandbonusprospects.Overall,31.6%believetheirpromotion

prospects tobeworsening,44.6%believe that a salary increase is

lesslikelythisyearthanlastyearand45.1%saidthattheythinkbonus

prospects are getting worse.

45.9%

18.9%

35.1%

New York

Singapore

London

Employment Prospects Worsening

19

Perception vs. Reality

Contrary to the perceptions of those in Singapore, employment opportunities statistically in the region have

been improving. The unemployment rate has been steadily decreasing throughout 2012 and the number of job

vacancies recorded has increased, this implies that prospects cannot be as bleak as many perceive.

Singapore Unemployment Rate Singapore Job Vacancies


SingaporeIn Singapore the perception of employment opportunities was again

negative, with over half (51%) of those questioned thinking that

employment opportunities are worse now than this time last year.

Overall,35.2%believepromotionprospectstobeworsening,43.1%

believe that a salary increase is less likely next year than this year and

46.6%saidthatbonusprospectsaregettingworse.

During these tough economic times, using internal communication is key

to manage expectations and actively promote positivity, keeping negative

morale to a minimum.

i EMPLOYERS

Increasing18%

No Change31%

Decreasing51%

Singapore Employment Opportunities

20

SECTOR COMPARISON

London

In London, Risk Management/Quant Analytics professionals

werethemostpositivesector,40.8%ofthosewhoanswered

that employment prospects are better now than this time last

year worked in this sector

The most negative sector was Sales andTrading. 35.1% of

respondents who answered that they thought employment

prospects are worse now than this time last year worked in

Sales and Trading roles.

New York

In New York the Technology sector was the most positive.

35.3% of those who answered that employment prospects

are better now than 12 months ago worked in Technology

roles.

Those who were most negative about employment prospects

inNewYorkworkedinSalesandTrading,35.6%ofrespondents

who answered that they thought employment prospects were

improving worked in this sector.

“New York is one of the most buoyant markets for Technology,

with many organisations looking to drive competitive

advantage by making key hires across all levels of seniority” –

Clare Cooper, Head of Technology, Selby Jennings.

Singapore

ThoseworkinginRiskManagement/QuantAnalyticswerethe

mostpositiveinSingapore.38%ofthosewhoansweredthat

employment prospects are improving worked in this sector.

Sales and Trading professionals in Singapore were the most

negative, 39.4% of those who answered that they thought

employment opportunities were decreasing worked in Sales

and Trading roles.

Technology

Sales and Trading

Corporate Banking

35.1%

2.0%

13.5%

5.4%

10.8%

40.8%

Employment Prospects London

Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

12.7%

7.7%

12.7%

2.7%

21.6%

0.0%

2.0%

15.4%

2.7%

18.9%

Technology

Sales and Trading

Corporate Banking

35.6%

35.3%

18.6%

16.9%

0.0%

23.5%

Employment Prospects New York

Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

5.9%

5.9%

0.0%

1.7%

6.8%

10.2%

5.9%

23.5%

1.7%

8.5%

Technology

Sales and Trading

Corporate Banking

39.4%

1.0%

7.8%

13.7%

15.3%

38.0%

Employment Prospects Singapore

Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

16.0%

2.0%

2.0%

3.9%

9.8%

12.8%

1.0%

6.7%

7.8%

19.6%

Employment Prospects

21

SECTOR COMPARISON

London

InLondon,thoseworkinginRiskManagement/Quantanalytics

were the most positive about bonus prospects over the

coming year. 34.7% of those who thought bonus prospects

wereimprovingworkedinRiskManagement/QuantAnalytics.

The Private Wealth Management sector was also positive with

24.3%ofthoseansweringthattheythinkbonusprospectsare

improving

Sales and Trading sector employees were the most negative

about their bonus prospects for the coming year. 29.5% of

those who answered that bonus prospects were worsening

worked in this sector.

New York

In New York those that were most positive about their bonus

prospects worked in Risk Management/ Quant Analytics.

(38%) Sales andTrading professionals were also noticeably

positive(28%).

Fund Management professionals were the most negative about

bonusprospects inNewYork.27%of thosewhoanswered

that bonus prospects are worsening worked in this sector.

“Regulation on the visibility of compensation within the US

Fund Management space is leading candidates to believe that

compensation is under bigger threat than before” – Lorianne

Burge,FundManagementSpecialist,SelbyJennings.

Singapore

In Singapore, Finance/Operations professionals were the

most positive about their bonus prospects. 38% of those

who believed bonus prospects to be improving in the coming

months worked in this sector.

The most negative sector in Singapore was Sales and Trading.

41.2% of those who believed that bonus prospects were

decreasing worked in this sector.

Technology

Sales and Trading

Corporate Banking

29.5%

7.1%

9.8%

9.8%

10.4%

34.7%

Bonus Prospects New York

Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

24.3%

1.0%

7.1%

1.6%

11.5%

8.2%

1.0%

14.3%

9.8%

19.7%

Technology

Sales and Trading

Corporate Banking

6.0%

2.0%

10.0%

24.0%

28.8%

30.8%

Bonus Prospects New York

Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

7.7%

7.7%

9.7%

5.0%

8.0%

15.0%

2.0%

10.4%

6.0%

27.0%

Technology

Sales and Trading

Corporate Banking

41.2%

2.0%

14.7%

5.9%

8.0%

10.0%

Bonus Prospects Singapore

Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

3.0%

22.0%

38.0%

5.9%

11.8%

0.0%

2.0%

16.0%

8.8%

11.8%

BonusProspects

22

SECTOR COMPARISON

London

When asked their perception of promotion prospects over the

comingyear,RiskManagement/QuantAnalyticsprofessionals

werethemostpositive.40.3%ofthosewhorespondedthat

they thought promotion prospects were improving worked in

RiskManagement/QuantAnalyticsroles.

The most negative were those working in the Fund Management

sector.30.4%ofthosewhothoughttheirpromotionprospects

were decreasing worked in this sector.

New York

In New York the Technology sector was the most positive

about their promotion prospects. Of those who answered

that they believed their promotion prospects to be increasing,

23.1%workedinTechnology.

Those working in Sales and Trading were the most negative,

41.8%ofthosewhoansweredthatpromotionprospectswere

decreasing worked in this sector.

Singapore

In Singapore, those who believed their promotion prospects

tobeimprovingthemostworkedinRiskManagement/Quant

Analyticsroles.42.9%ofrespondentswhoansweredthattheir

promotion prospects were improving worked in this sector.


theirpromotionprospects.40.8%ofthosewhoansweredthat

their prospects were decreasing worked in this sector

“Risk Management is a strong sector at the moment in terms

of hiring, legal requirements for institutions to be regulated

have tightened and demand to fill these role increased” – Matt

Nicholson, Head of Risk, Selby Jennings.

Technology

Sales and Trading

Corporate Banking

18.6%

1.0%

8.2%

10.2%

27.6%

40.3%

Promotion Prospects London

Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

13.3%

2.0%

13.3%

4.1%

12.2%

6.1%

1.0%

1.0%

10.2%

30.4%

Technology

Sales and Trading

Corporate Banking

41.8%

23.1%

18.8%

14.6%

10.8%

7.7%

Promotion Prospects New York

Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

6.7%

1.0%

7.7%

0.0%

10.4%

8.3%

7.7%

15.4%

0.0%

16.7%

Technology

Sales and Trading

Corporate Banking

40.8%

1.0%

15.4%

7.7%

18.6%

42.9%

Promotion Prospects Singapore

Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

1.0%

2.0%

11.3%

1.8%

23.1%

5.8%

1.0%

12.3%

6.7%

8.7%

Promotion Prospects

23

Salary Prospects

London

Londonerswerethemostnegativeabouttheirsalaryprospects,49%ofthoseaskedbelievethatasalaryincrease

in the next 12 months is less likely than in the previous 12 months. Despite this perception, wages in the UK have

steadily increased through 2012 and this trend looks to continue into 2013.

UK Wages


In London those who were the most positive about the likelihood of a salary increase over the coming months

workedinRiskManagement/QuantAnalytics.38%ofthosewhoansweredthatasalaryincreasewasmorelikely

inthecoming12monthswereemployedinRiskManagement/QuantAnalyticsroles.

Sales and Trading professionals in London were the most negative about the likelihood of a salary increase in the

comingmonthswith39.4%ofthosewhorespondednegativelyworkinginthissector.

If your organisation is not in a position to commit to salary increases,

motivating staff through short term benefits and incentives is a good

alternative.

i EMPLOYERS

Technology

Sales and Trading

Corporate Banking

39.4%

1.0%

7.8%

13.7%

15.3%

38.0%

Salary Prospects London

Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

16.0%

2.0%

2.0%

3.9%

9.8%

12.8%

1.0%

6.7%

7.8%

19.6%

24

Salary Prospects

New York

NewYorkerswerethemostpositiveaboutSalaryProspectswith18%of thoseaskedbelievingthatasalary

increase in the next 12 months is more likely than in the previous 12 months. Statistics from the United States

Bureaushowthatwageshavedecreasedtowardstheendof2012intheUS,thiscouldresult inperceptions

materializing into reality if this trend continues.

US Wages


In New York those that had the most positive view on the likelihood of a salary increase over the coming year

workedintheRiskManagement/QuantAnalyticssector.38%ofthosewhoansweredthatasalaryincreasewas

more likely in the coming months worked in this sector.

SalesandTradingprofessionalswerethemostnegativeaboutthelikelihoodofasalaryincrease,39.4%ofthose

who answered that a salary increase is less likely in the coming months worked in this sector.

Technology

Sales and Trading

Corporate Banking

39.4%

1.0%

7.8%

13.7%

13.3%

38.0%

Salary Prospects New York

Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

16.0%

2.0%

2.0%

3.9%

9.8%

7.8%

1.0%

6.7%

7.8%

19.6%

25

Salary Prospects

Singapore

InSingaporethemajority(43.1%)ofthoseaskedbelievethatasalary increase inthenext12months is less

likely than in the previous 12 months. Statistics show that wages have dropped during 2012 in Singapore, much

like in New York this negative perception of salary prospects for the coming year could materialize if this trend

continues.

Singapore Wages

,


InSingaporethemostpositivesectorwastheRiskManagement/QuantAnalytics.38%ofthosewhothoughtthat

asalaryincreasewasmorelikelyinthecomingmonthsworkedinRiskManagement/QuantAnalyticsroles.

Thosewith themostnegative viewworked in theTechnology sector, 38.5%of thosewhobelieved a salary

increase over the coming months to be unlikely worked in Technology roles.

Technology

Sales and Trading

Corporate Banking

18.5%

1.0%

15.5%

38.5%

33.3%

38.0%

Salary Prospects Singapore

Worsening Improving



IBD/M&A

Finance/Operations

Fund Management

16.0%

2.0%

2.0%

1.9%

11.1%

7.4%

1.0%

6.7%

1.9%

9.3%

26

CONCLUSION

Globally,perceptionsofemploymentprospectsfor2013weremostlynegative.Itseemsthatthisnegativitystems

from the tightening of regulation within the finance sector. Increased regulation has meant restricted salaries and

bonuses and also stifled opportunities for growth and promotion prospects globally. The dual effect of regulation

and media focus on compensation packages has caused finance professionals to have insecurities about the

likelihood of positive bonus prospects for the coming year. Despite this negative perception, prospects are not as

bad as they are perceived to be, according to global labour statistics, employment rates have increased and there

are still institutions hiring. Pockets of positivity can be seen in terms of hiring and opportunities across all sectors.

Employment prospects in London were perceived to be the most negative, however statistically the London

employment market improved the most during 2012. The negative perception in London seems to be unfounded

and in reality employment opportunities are not as bleak as perceptions suggest. Data from the UK office of

National Statistics shows that the employment rate in the UK has increased and this trend looks to continue into

2013.

While prospects in New York were seen to be predominantly negative, those in this region did have the most

positive outlook of their employment prospects compared to London and Singapore. Given that the US is

focusing on growing their economy and on the creation of new roles and opportunities, New Yorkers are right

to be optimistic about their prospects.

In Singapore, the perception was again mostly negative. However, much like in London the number of job

vacancieshasrisenandtheunemploymentratefallen,contradictingtheperceptionsofthosequestioned.

Acrossallregions,thoseworkinginRiskManagement/QuantAnalyticsroleswerethemostoptimisticabouttheir

employment prospects for the coming year. Professionals in this area had positive perceptions of salary, bonus

and promotion prospects. This can be attributed to the increased focus on regulation within the industry. Those

working in regulatory roles have seen an increase in prospects as the demand for compliance, legal and risk

management professionals has increased.

Those with the most negative perception of employment prospects across all regions worked in Sales and

Trading. Tighter regulation has affected bonuses and growth in this sector leading to a perceived decrease in

prospects. However, with the increased focus on growth, it is predicted for 2013 that opportunities in traditional

revenue generating functions such as Sales and Trading will improve.

27

THE REGION MOST POSITIVE ABOUT EMPLOYMENT PROSPECTS FOR 2013 IS...

New York45.9%

Singapore

THE GLOBAL PERCEPTION IS THAT EMPLOYMENT PROSPECTS IN 2013 WILL...

12.5%

56.4%

31.1%REMAIN THE SAME

DECREASE

INCREASE

35.1%

London16.9%

29

LOYALTY

30

LOYALTY IN A RECESSION

GLOBALOVERVIEW

Selby Jennings expected to see an increase in loyalty given

the current economic conditions. As job prospects decrease,

it would be expected that employees would become more

apprehensive about changing roles and that regardless of job

satisfaction, people would remain loyal to their company. In the

current climate there is an increased possibility of organisational

downsizing and many companies work to a last in first out

policy, hence a career move could be considered too big a

risk to take. However, hen asked ‘if not satisfied with your

currentcareerprospectswhatwouldyoudo?’themajorityof

respondents answered that they would actively start looking

for a new role. Given that across all regions the majority

perspective was found to be that employment prospects are

worsening, it was surprising to see that people would risk a

career move in the face of such turbulent economic times.

Current conditions seem to have fuelled employees’ interest in furthering

their career. Despite tough economic conditions, key talent are still moving

roles,meaningeasieracquisitionofnewpersonnel.

i EMPLOYERS

If unsatisfied in your current role

Remain inyou role22%

De�nitely move27%

Actively look tomove51%

31

LOYALTY IN A RECESSION

REGIONALCOMPARISON

The region in which employees were most likely to remain

loyal was found to be London. Despite the perceived negative

economic conditions, 46% of respondents who said they

would remain in their current position were based in London.

The region where employee loyalty was seen to be the

weakest was New York. Regardless of their perceived struggling

economy, 43% of those asked in NewYork answered that

if they were unsatisfied with their ability to progress in their

current career position they would actively look to move roles.

These findings suggests that finance professionals are focusing strongly

on career progression regardless of economic conditions, providing many

opportunitiestoacquirekeytalent

i EMPLOYERS

Remain in current role

Actively look to move

40.0%

40.6%

14.0%

New York

Singapore

London

43.0%

36.3%

21.3%

New York

Singapore

London

32

SECTOR COMPARISON

London

In London, those most likely to remain loyal in the current

marketworked inRiskManagement/QuantAnalytics.Even if

unsatisfied,27.4%ofLondonbasedprofessionalssaidthatthey

would remain in their role.

Those that work in Sales and Trading appear to be the

least likely to remain loyal. Despite perceiving employment

prospectstobeworsening,ifunsatisfiedintheirrole34.6%of

those asked answered that they would actively look to move

roles.

New York

In New York, those that were most likely to remain loyal in the

current market worked in Sales and Trading. Employees in this

sector were the most positive about conditions globally but

37.5%ofthosequestionedwouldstillremainintheircurrent

role regardless of economic conditions.

The sector found least likely to be loyal to their organisation

was theTechnology sector. Globally the technology sector

percepcieved eomplyment prospects negatively, yet they are

the least likely to remain in their role regardless of the current

economic issues.

Singapore

In Singapore the sector most likely to be loyal in the struggling

market was found to be the Risk Management /Quant

Analytics sector. Respondents in this sector were the most

positive about economic conditions in thier region but despite

their positive outlook, 28.6% of those questioned said that

they would remain in their role.

The sector that was the least likely to remain loyal was the Sales

and Trading sector. Despite the perception of the economy

beingnegative,27.0%ofthoseaskedsaidtheywoulddefinitely

look to move roles.

Technology

Sales and Trading

Corporate Banking

34.6%

1.0%

17.9%

16.4%

14.8%

27.4%

Job Satisfaction London

Move Roles Stay in Role



IBD/M&A

Finance/Operations

Fund Management

4.3%

4.3%

13.0%

3.0%

11.2%

8.2%

4.3%

20.7%

6.0%

12.7%

Technology

Sales and Trading

Corporate Banking

15.5%

15.0%

11.5%

26.5%

37.5%

18.0%

Job Satisfaction New York




IBD/M&A

Finance/Operations

Fund Management

0.0%

5.0%

10.0%

2.9%

5.9%

8.8%

5.0%

10.0%

2.9%

5.9%

Technology

Sales and Trading

Corporate Banking

27.0%

2.0%

17.6%

2.0%

14.3%

28.6%

Job Satisfaction Singapore




IBD/M&A

Finance/Operations

Fund Management

12.3%

13.3%

15.3%

5.9%

23.5%

0.0%

1.0%

12.3%

5.9%

17.6%

33

LOYALTY DRIVERS

GLOBALOVERVIEW

What is important to people can often change in volatile economic times. Selby Jennings’ survey investigated

finance professionals perspectives on their motivations to remain with their current organisation.

When asked, ‘if offered a position elsewhere, which of the following would be the main driver for your decision to

stayinyourcurrentorganisation,’overhalf(51%)ofrespondentsansweredthatopportunitytoprogresswould

be the main driver, with training and benefits packages being of least importance.

This outcome shows that finance professionals are seeing progression as increasingly important over bonus or

salary prospects. It is likely that those in higher positions of responsibility will be the first to receive any monetary

rewards as the economy recovers. Employees seem to be increasingly accepting that salary increases and bonuses

are less likely in the current climate and as such are focusing on personal development to stand them in good

stead for more prosperous times.

Given these findings, to ensure retention of key talent in the current

economic climate, it is advisable to focus attention on employees personal

development to enable progression, as an alternative to monetary

rewards.

i EMPLOYERS

1.0%

16.3%

51.0%

Work/Life Balance

Opportunity to Progress

Salary

7.1%

5.1%

19.4%

Bonus

Training

Bene�ts Packages

34

REGIONALCOMPARISON

BonusasadriverwasmostimportanttothoseinNew

YorkaboveSalary.18%ofthoseinNewYorksaidthat

bonus was an important driver to remain in their role

whileonly14%saidsalarywas.

Work/Lifebalancewas found tobemore important

to those in London than in New York or Singapore.

For Londoners this was the second most important

drivertoremainintheirrolewith19%ofthoseasked

choosing this response.

Across all regions, opportunity to progress was the

most important to all of those asked across all regions.

InLondon50%, inNewYork54.0%andinSingapore

57.1%,chosethisresponse.

New York

Singapore

London

0.8%

14.0%

54.0%

Work/Life Balance


Salary

18.0%

5.0%

7.6%

Bonus

Training

Bene�ts Packages

17.1%

57.1%

Work/Life Balance


Salary

10.0%

4.3%

5.7%

Bonus

Training

Bene�ts Packages

5.7%

18.0%

50.0%

Work/Life Balance


Salary

7.0%

5.0%

19.0%

Bonus

Training

Bene�ts Packages

1.0%

35

SECTOR COMPARISON

Technology

Sales and trading

Risk


IBD/M&A

Finance/Operations

CorporateBanking

Fund Management

Across all sectors opportunity to progress was the most important driver for finance professionals to remain in

theircurrentrole.Trainingandbenefitspackagesweretheleastimportantdrivers.Bonuswasmoreimportantto

thoseinIBD/M&A,whileSalarywasmostimportanttothoseinPrivateWealthManagement.

24.2%

57.6%

Work/Life Balance


Salary

9.1%

0.0%

Bonus

Training

Bene�ts Packages

0.0%

9.1%

5.4%

55.4%

Work/Life Balance


Salary

17.6%

5.4%

14.9%

Bonus

Training

Bene�ts Packages

1.4%

25.0%

61.5%

Work/Life Balance


Salary

3.8%

5.8%

Bonus

Training

Bene�ts Packages

1.9%

1.9%

30.8%

46.2%

Work/Life Balance


Salary

7.7%

Bonus

Training

Bene�ts Packages

0.0%

7.7%

7.7%

14.3%

50.0%

Work/Life Balance


Salary

0.0%

Bonus

Training

Bene�ts Packages

14.3%

7.1%

14.3%

14.3%

50.0%

Work/Life Balance


Salary

0.0%

Bonus

Training

Bene�ts Packages

14.3%

7.1%

14.3%

25.0%

30.0%

35.0%

Work/Life Balance


Salary

5.0%

Bonus

Training

Bene�ts Packages

5.0%

0.0%

12.5%

56.3%

Work/Life Balance


Salary

Bonus

Training

Bene�ts Packages

12.5%

2.1%

12.5%

4.2%

36

CONCLUSION

Acrossallregionsquestioned,itwassurprisingtofindthatfinanceprofessionalsloyaltyhaswanedandthatmany

would risk a career move in the face of turbulent economic times. The majority of respondents answered that

they would actively start looking for a new role if not satisfied with career prospects in their current role.

The region found most loyal was London, professionals here were the least likely to actively look for a new role.

The least loyal region was found to be New York as those working in this area were most likely to actively look

for a new role.

Whenasked‘whatwouldbethemostimportantdriverforyoutoremaininyourcurrentrole?’themajorityof

respondents across all regions and sectors answered ‘opportunity to progress’ with salaries and bonuses being

the next most important. Training and benefits packages were the least important drivers.

ItwasfoundthatbonusesweremoreimportanttothoseworkinginIBD/M&Awhilesalarywasmostimportant

to Private Wealth Management professionals.

Focusing on self development to improve career progression was highlighted as a key course of action for finance

professionals over the coming year. This looks to stem from the recognition of the decrease in likelihood of

monetary rewards.

23,836 finance professionals were surveyed between 1st November and 31st November; the average response

ratewas1.3%.

37

ABOUTSELBYJENNINGS

Selby Jennings is the foremost provider of recruitment solutions to financial institutions across Europe, the US,

Asia and the Middle East. We offer an award-winning, market driven operation, unrivalled by our competitors.

From our Head Office in London and international offices in New York, Singapore, Hong Kong and Dubai we

recruit beyond international boundaries, proactively sourcing the best talent in the industry.

Our holistic approach adds real value to organisations across the finance space, from top tier investment banks

tosmallerhedgefunds,privateequityconsultanciestotradinghouses.

38

STRUCTUREANDCOVERAGE

BuySideSalesandMarketing

- SalesFundraising(Traditional&Alternative)

- PrimeBrokerage

- Relationship Management

- Marketing & Communications

- Corporate Strategy

Capital Markets Structuring and Origination

- Debt

- Equity

- Loans

Commodities Sales and Trading

- Oil

- Gas,Power&Carbon

- Iron Ore, Coal & Steel

- Base&PreciousMetals

- Freight, Shipping and Logistics

- Soft & Agriculture

Compliance

- Product Compliance: Advisory & Surveillance

- AML,KYC,On-boarding&Quality

Assurance

- Regulatory/PolicyAnalysis&Implementation

- RiskGovernance

- Legal

CorporateBanking,Trade&StructuredFinance

- Trade Finance

- Commodity Finance

- Project Finance

- Export Finance

- Aviation & Shipping Finance

- Relationship Management

- Corporate&TransactionBanking

- Structured Finance & Securitisation

Economics and Strategy

- Economics

- Macro Strategy

- QuantitativeStrategy

- Investment Strategy & Asset Allocation

- Trading Strategy

EquitySalesandTrading

- Cash

- Derivatives

Financial Services Sales and Marketing

- Sales

- BusinessDevelopment

- ClientServices/RelationshipManagement

- Marketing Communications

Financial Technology

- Development Languages

- Applications

- Infrastructure, Networking and Security

- SoftwareTesting&QualityAssurance

- Senior Appointments

Fund Management and Fundamental Research

- Passive & Direct Investing Investment

Management

- DirectionalGlobalMacro

- Distressed, Mezzanine & High Yield

- Long-short, Activist, Event Driven & Special

Situations

- Relative Value

- Fund of Funds, Manager Selection & Due

Diligence

- FixedIncome,Equity&CreditResearch

39

Fixed Income Sales and Trading

- Credit

- Interest Rates

- Treasury

FX Sales and Trading, and E Commerce Sales

- Foreign Exchange

- E Commerce

Insurance

- Financial&BusinessAnalysis

- Broking/Underwriting

- Management Reporting

- Syndicate Accounting

- FP&A

- Actuary

- Compliance, Risk & Solvency

InvestmentBankingandPrivateEquity

- LeveragedBuyOut

- GrowthCapital

- Distressed & Mezzanine

- Secondary Markets

PrivateBankingandWealthManagement

- PrivateBanking&RelationshipManagement

- Investment Advisory

- Wealth & Tax Planners

- PrivateBankerSupport

- Private Client Investment Management

- PrivateClientBusinessDevelopment

- Marketing & Communications for PWM

QuantitativeAnalytics&PriceTesting

- FrontOfficeQuantitativeAnalytics

- ModelValidation/ModelCalibration

- Price Testing and Valuation Control

QuantitativeResearchandTrading

- QuantitativePortfolioManagement

- GlobalMacroPortfolioManagement

- QuantitativeResearch

- QuantitativeSystematicTrading

- HighFrequencyTrading

Risk Management

- Market Risk

- Credit Risk

- Operational Risk

- Regulatory Change Management

Structuring

- EquityDerivatives

- Fixed Income

- FX Derivatives

- Commodities Structuring & Origination

- Fund Structuring

- Pension and ALM

- Credit

Our teams cover all of the above areas on a contract

and permenant basis.

LONDON

33 King William Street

8th Floor

LondonEC4R9AS

T+44(0)2070194100

NEW YORK

245ParkAvenue

24th&39thfloors

NewYork,NY10167

T+12122097310

SINGAPORE

One Raffles Place

Tower2,#19-61

Singapore048616

T+6568085600

www.selbyjennings.com

[email protected]