How much am I worth? Emerging markets fixed income analyst

A panel of specialist headhunters give their assessment of typical London pay packages: Emerging markets fixed income analyst - salary 60,000-80,000 for four years experience, up to 110,000 for more experienced staff; bonus: 100%-300%.

By the time 2003 draws to a close there should be no doubt: against the odds, and against expectations, it has been a classic year for emerging markets, with countries as diverse as Russia and Brazil performing much better than anybody hoped.

Although equities have led the way, fixed income has had a good year too with local currency and eurobonds posting strong performances. Activity has been driven by emerging markets' appetite for cash and by US and once risk-averse European investors eager for fresh debt.

The end result is a more dynamic - though still quite tight - jobs market

Richard Fraser of RJF Global Search said: 'Top tier banks have been selectively looking to rebuild their teams due to the recent rally in emerging markets.' .

Other head-hunters echo this view, though they add that as a result of the mass lay-offs of the late 1990s - in the wake of the Russian crisis of 1998 and before that, the crisis in Asia - means there are now only a few major institutional players, compared to the mid-1990s.

Analysts now have to do a lot more, including advising clients on hard currency assets and preparing foreign exchange and interest rate forecasts for traders, as well as providing the usual services: macro and sector analysis and risk assessment etc for clients.

The good news is that if you excel at all this, you can expect to be well rewarded.

Rebecca Lea, principal consultant for Alexander Mann Executive Search, said: 'There has been an increase in demand over the past year for EMEA and LAT AM experience. Established individuals who have survived the culling, and work at a house with a strong presence in emerging markets, can command a premium.'

So how much can an emerging markets fixed income analyst expect to get paid? Marta Bollman, head of emerging markets at Napier Scott, said seniority can matter a great deal, particularly when bonus time comes around.

She said: 'A fixed income analyst on a senior associate to vice president level, with a minimum four or five years experience, can expect a basic salary of 60,000 - 75,000.

"The bonus on average would vary between 70,000-100,000. With over five years experience, basic very rarely exceeds 110,000-120,000 but bonus would be much higher, up to 300,000.'

Fraser and Lea broadly concur with these figures, with the latter suggesting that a global team leader - in a successful year, heading up the research team - could expect to get a total of around 500,000-600,000.

So what sort of a background do you need to start climbing this ladder? Fraser said really good emerging markets fixed income analysts tend to be all-rounders - with a good knowledge of economics and statistics, excellent quantitative skills and an outstanding ability to combine oral and written communications.

Relevant languages depending on geographical focus can help, as does a good understanding of risk.

Bollman said: 'With a bullish outlook for emergingh markets n 2004, fixed income analysts are likely to be in demand, raising the packages they command, due to the limited number of candidates.'

Figures and commentary by Alexander Mann Global Markets, RJF Global Search and Napier Scott