Big4 Advisory VS Banking Tech & Ops

[immemorial]

Hi all, I'm currently an undergraduate at SMU, will be graduating in 2016 with a degree in Information Systems Management. I am on-track to graduate with a cum laude, magna cum laude is still within range but will need a lot of luck and hardwork.

I have been considering a lot of my job prospect, am currently interning in one of the big4's transaction advisory teams, aiming to get a conversion. I'm looking to get into consulting but I'm looking at this in a worst case scenario situation become consulting is a really tough industry to get into and there are probably a good 50% candidates who have the same credentials as well in terms of CCA and experiences etc.

Been considering my prospects in big4 as compared to being in a bank tech & ops. Money is a huge motivation for me, I'm not so concerned about work-life balance and I'm someone who will strive for the best, I cannot settle for mediocrity.

I need to finance a 20k loan when I graduate so the starting salary is definitely a big push. I did calculation in terms of how the salary between those 2 compares and this is what I got over a 5 year period. For banks, I assumed a starting salary of 4.5k for a tech analyst at a BB bank and assumed a 5% increment every year.

BIG4 --> 2850 --> 3350 --> 4350 --> 4850 --> 5350
Bank --> 4500 --> 4725 --> 4960 --> 5209 --> 5740

From this comparison, a bank is definitely better for the money, but from the 6th year onwards, I will earn a lot more in big4.

I've been told different stuff about working in banking backoffice, its mostly a business-as-usual role but then again, banking is leading technology here in Singapore so certain areas might be "exciting and challenging", challenge is a huge plus for me.

But I keep having this thought that banking ops no matter what, is still kinda like a dead-end job whereas big4 transaction advisory gives me more breadth to the kind of roles I can fill, jumping between consulting firms or even moving into private equity.

I'm not sure of how the market is like, I've done reseach on Wallstreetoasis but those are very US-centric, not sure if it will apply here. Plus, I might have a bias formed already so I was hoping that I could get some 2nd opinions here. Thanks!!

[immemorial]

Just to clarify, cum laude and above is considered honours. the classification is not a direct one, there are debate on whether cum laude is 2nd upper or 2nd lower but american firms are generally agnostic.

Originally Posted by immemorial

BIG4 --> 2850 --> 3350 --> 4350 --> 4850 --> 5350
Bank --> 4500 --> 4725 --> 4960 --> 5209 --> 5740

From this comparison, a bank is definitely better for the money, but from the 6th year onwards, I will earn a lot more in big4.

You are thinking too far ahead. Can you last until Year 6 in Big 4? 90% of staff leave before Year 5 to seek better pay (!) and better working hours, also because it's a pyramid structure and as a manager in Year 6 you're halfway through and positions are few.

Plus, you are missing out on TVM. Go calculate your total earnings over the first 5 years in both paths and think again.

Don't work in big 4. The pay is terrible.

When talking about pay in banking & big4 you have to consider total package, not just monthly salary. Banks/big4 no aws and low bonus usually, if you compare to other companies.

lol strive for e best, but no first class degree... not sure wat u say is true or nt. dun tink u will survive in big4 working long hrs with lower pay than banks

honestly, with a cum laude, i wouldn't be too hopeful of your chances of securing a back office role at BB. the competition nowadays for a BB back office role is more intense than most of us imagine it to be.

and the truth is, BBs dont preach and practise internal mobility. once you're in the back office, you're most likely than not stuck there forever. there's practically no chance of you applying for a transfer to MO or FO.

i would say, take the big 4 consulting role if you can (despite the lower pay) and work on things from there. it might not bring you that much monetary satisfaction but i think in the mid to long term, it will open more doors for you.

how hard is it to get into transaction advisory in a big 4 firm?

Ur pay assumption does my make sense.

In the big 4 role, your calculation is based on a path with promotion pay

But in the banking job, you don't take into account at least one promotion in the 5-6years and only receive 5% year end adjustment.

That aside, I understand audit gets almost no bonus. BB definitely has 2-3mths.

Originally Posted by Unregistered

how hard is it to get into transaction advisory in a big 4 firm?

about the same as audit. transaction advisory is not mgt consulting, it is more finance ops outsourcing.