Hedge Funds Paying More For IT

Oct 12 2010 | 12:35pm ET

Here's another metric for how much hedge funds have grown to value their information technology staff: ReThink Recruitment says those staffers can expect a bonus twice as large this year than last year.

IT staffers can expect a bonus of 50% or more, according to the recruitment and staffing firm. Last year, they got bonuses of just 25% to 30% of base salary.

And those base salaries are growing, too, with a roughly 15% average increase this year. IT staffers will earn an average of £100,000 to £120,000, with contractors earning £750 per day, up from £600 per day last year.

Algorithmic and high-frequency trading software developers are doing best among IT staff.

"These funds are locked in a perpetual war to produce the fastest and most accurate trading platforms," Fhamid Malik, head of financial services at ReThink, said. "Employers are now willing to pay a premium of around 20% for senior IT staff that have successfully developed and implemented bespoke trading systems before."

Given the demand, guaranteed bonuses have returned to IT contracts, something that Malik said "almost completely disappeared during the credit crunch."

In Depth

Financial Industry Blockchain Consortium R3 To Open-Source Platform Code

Oct 20 2016 | 9:03pm ET

Bitcoin's blockchain technology has spawned a flurry of activity among fintech startups...


U.S. Trust's Beard: The Rapid Growth of the Art Lending Industry

Oct 7 2016 | 10:55pm ET

Alternative investment managers have emerged as some of the most significant art...

Guest Contributor

Hedge Fund Marketing – Tips for Your Initial Sales Meeting

Sep 29 2016 | 5:46pm ET

There are two main goals a hedge fund should have for an initial in-person sales...