Moving the market: how asset and liability management salaries stack up

Citation

Wright, A. (2001), "Moving the market: how asset and liability management salaries stack up", Balance Sheet, Vol. 9 No. 1. https://doi.org/10.1108/bs.2001.26509aad.001

Moving the market: how asset and liability management salaries stack up

Moving the market: how asset and liability management salaries stack upAndy Wright

Keywords: Assets management, Liability, Recruitment, Salaries, Intermediaries

Recruiting within the asset and liability management area has driven most people to one conclusion: it is a candidate driven market. The asset liability management (ALM) professional has evolved into a key manager within any organisation; they are no longer "add on" service providers, but increasingly key internal and external relationship managers.

With the increasing sophistication of most businesses the ideal candidate would not just have a good degree or accountancy qualification but would also benefit from gaining his/her AMCT or MCT certification. In addition to this, most individuals need excellent systems understanding. These specific skills can present employers with a few familiar problems such as how to retain and attract these highly marketable individuals.

Table I Global salaries outlines for asset and liability management (US$)

Increasingly recruitment consultancies provide the medium through which employers meet these specialised people. It is important to find a recruitment consultancy that understands your needs, if you are looking for a new position and those of your organisation, if you are in a recruiting capacity. Potential candidates should be extremely focused in terms of this process by researching which consultancies have a specialist division covering their specialist skills and interests, rather than approaching a generalist. It is important to be selective about the consultancies that will represent you and the relationship should be a two-way affair, as information and feedback are vital in enabling the organisation or candidate to move towards the right decision.

As an employer recruiting through an intermediary you should find a partner that understands your needs and those of your organisation in order to gain the best "value". Being selective about the consultancies that represent you is only limitedly beneficial, as the relationship should always be a two-way affair. Additionally an employer needs to supply good, simple information, so that the right candidates can be made aware of and interested in these specific roles.

Despite several high profile mergers and cutbacks, institutions are still competing to recruit the best individuals into their teams. This has meant that salaries have increased across the board from the graduate to the Group Director. For example, a newly qualified candidate in ALM can expect to earn over £40k, if they have the relevant audit experience and educational background; this represents a general increase of 5 per cent over last year.

Recently there has been a steady increase in the number of institutions recruiting into their ALM departments. Coupled with increasingly regulated marketplaces, this means that the individuals filling these positions must be highly skilled and well remunerated. To keep these highly skilled individuals happy and in one's team, structured career progression should be offered within the organisation. Within ALM the best individuals have very specific and rare skills, so employers should do their utmost to retain these staff.

NB – The salaries presented in Table I are a rough guide. Total compensation will depend upon the basic package and a discretionary bonus scheme. Once your experience exceeds five years there can be enormous scope on earning potential.

Andy Wright may be contacted on +44 (0) 20 7915 6953 or e-mail: andy.wright@robertwalters.com