In the context of initial career compensation comparison, what is a key advantage of a Corporate FP&A role over a top-tier Investment Banking analyst program?
Answer
FP&A offers a highly predictable base salary, potentially leading to a higher guaranteed take-home pay during market downturns compared to the bonus-dependent structure of banking.
While IB might advertise a higher initial package, much of that is uncertain bonus compensation. Corporate FP&A provides a highly predictable base salary, meaning in a down year for capital markets, the FP&A employee might have a higher guaranteed income.
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