Quarterly Market Update
Welcome to the first edition of the Goodman Masson Banking Operations quarterly update. The purpose of this document is to give you an overview of the employment market and to identify any trends or developments across the UK.
Please scroll down to read the update in full, or use the quick links below to navigate to the most relevant sections.
As this is the first time I have sent this to you I would be keen to hear your thoughts and comments, whether or not you find it useful, and what you would like to see included in future editions. If you would like to give feedback, please reply to this email with your comments, and I will try to incorporate any suggestions in future.
Should you have any further thoughts or queries, please don’t hesitate to contact me on andrew.adams@goodmanmasson.com or 020 7324 0590, and I will contact you at a convenient time.
Kind regards,
Andrew Adams | Operations Manager
Banking & Financial Services
Direct: +44 (0)20 7324 0590
Email: andrew.adams@goodmanmasson.com
Market Update
State of the Market - Q1
As positivity starts to creep back to the economy, the Banking Operations market has also shown signs of uplift. From a recruitment and resourcing perspective, year on year vacancies have increased, and at the end of last year we welcomed an increase in both temporary and permanent positions created from the previous quarter.
This surge in employment has continued into Q1 of 2010 with the ‘Sell Side’ in particular hiring aggressively for BAU positions and for many new projects being initiated.
While the ‘Buy Side’ has seen a healthy recovery aided by a steady influx of new positions we expect the main surge of positions to come in the early stages of Q2. Asset and Alternative Investors, in many instances, have left themselves facing a talent shortage through redundancies and in turn we have seen some of the leading Asset Managers take back people who they previously had to let go.
The increasing number of positions coming onto the market within Operations is moving us back to a candidate led space and once again it is becoming more common for candidates to receive counter offers and improvements in rates and salaries. We are still clearly a long way off the ‘Bull Market’ days however employers now have to move a lot quicker and pay competitively to secure the top calibre candidates. Whereas clients were keen to offer candidates on a temp to perm basis these organisations will now have to consider what competitors are offering candidates a straight permanent position leaving the candidate with an easy and secure choice.
Competition for Talent
This increase in jobs means we are seeing increased competition for the best candidates again. High calibre candidates are now receiving multiple offers and are able to cherry pick the best offer. Firms that are able to move through the recruitment process quickly and smoothly are finding that they have an advantage.
There are a number of areas where competition is apparent with the Investment Banks with Client on-Boarding and KYC looking to grow within 2010.
There has been a significant increase in activity within the compliance, KYC and Account Opening environment which has lead to fierce competition for relevant candidates and a sharp increase in rates on offer for these positions.
An increase in vacancies is also evident within securities settlements, as most houses have increased or are looking to increase the numbers within their settlements teams and again the rates offered to candidates have improved on last year.
It is important to note that it is now becoming common practice for candidates to be counter offered as clients are looking to keep their quality staff instead of cutting the wage bill.
Hedge Funds are performing better compared to the start of 2009 making candidates with solid Hedge Fund experience increasingly attractive.
Struggling to find new positions
There has not been such an increase in Middle Office positions although this should change over the next few months due to the increase in front office and back office operations personnel within the banks.
Unfortunately we are still not seeing much demand for reconciliations staff due to either outsourcing or automation initiatives so candidates within this field are having to look at alternative positions.
Looking Forward
For Q2, we predict the boom areas to remain in Fixed Income and Equities. Hedge Funds have also started to provide a source of new vacancies as they begin to bear the fruits of recovery.
Investment Banks will continue to face the war on talent as salaries for senior management continue to increase with more vacancies appearing in the market place.
Candidates are more aware of what is required of them to compete in the current market and are looking at ways to add value to their CVs by gaining new qualifications.
Market Information
Throughout the year we will be keeping you up to date with current market information such as the 2010 Salary Guide. Should there be anything other than what we send you that you would be interested in receiving, please do not hesitate to ask and we will endeavour to source this material for you.
2010 Salary Guide
How have salaries been affected by the economic conditions of the past 12 months? Good candidates still demand a premium, especially if they have specialist knowledge, or if they are moving into a difficult to fill role.
If you would like to receive a complete copy of the guide, including salaries and market commentary, please contact us.
About Us
About Goodman Masson
Goodman Masson is the largest Independent Financial Recruiter in the UK and has been recruiting professionally qualified accountants and other finance professionals for over 16 years. With a team of over 90 we hold annual revenues exceeding £15m. Our growth has been built around our knowledge and expertise within the Finance markets and in 2009 alone we successfully worked with 991 separate organisations. Our client portfolio ranges from the Big 4 firms to small independents and the FTSE 100 (67 out of 100) to small entrepreneurial start ups.
Goodman Masson | 7th Floor | 120 Aldersgate Street | London EC1A 4JQ
Main: +44 (0)20 7336 7711 | Fax: +44 (0)20 7336 7722
Web: www.goodmanmasson.com
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