Compensation

Who pays Software Engineers more: Tech or Finance?

New qWBv24
Jan 9

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  • Amazon tenders
    Finance doesn’t hire as many SDEs as Tech. It’s also a lot harder to find SDEs who can do algorithmic trading
    Jan 92
    • Twitter
      Brahmann

      Twitter

      PRE
      Adobe
      Brahmannmore
      Not all finance tech jobs are related to trading. most of them are about building and maintenance of systems and not all those jobs are high paying.
      Jan 9
    • New / Eng
      qEXV86

      NewEng

      PRE
      Société Générale
      qEXV86more
      There are dozens of us who can do algo trading, dozens!.
      Jan 9
  • New / OtherAuntHilda
    Tech historically paid more and finance is following. Just an individual opinion.
    Jan 90
  • LinkedIn
    plowing

    LinkedIn

    BIO
    Always plowing hard
    plowingmore
    Compare Two Sigma with Netflix instead. Google is a behemoth.
    Jan 90
  • Two Sigma kWJilp
    I think to a large extent Google and Two Sigma are in the same ballpark. I talked to a Google recruiter about moving there from Two Sigma and it seemed like my first year would be lower comp then if I stayed at Two Sigma, but I know people that have moved and felt like their TC went up, and also people that went to Two Sigma from Google and felt their TC went up. There are some differences in comp structure that are hard to price in. For example, Two Sigma comp is all cash (base + bonus). Google gives you RSUs that vest over 4 years. If you assume Google stock isn’t going to appreciate in value, and you also assume that cash in hand is better then stock in the future, then Two Sigma is going to be more attractive. But if you assume that your Google RSUs are going to go up 20% a year, then you may view Google as better.
    Jan 92
    • Two Sigma / Enggreety
      It's _much_ easier to get promoted at two sigma.
      Jan 9
    • Two Sigma / Enggreety
      Same as Dropbox on levels.fyi
      Jan 10
  • New / Eng
    remus808

    NewEng

    PRE
    Google, Microsoft
    remus808more
    Depends on the location.
    In Bay Area -> Tech
    In London -> Finance
    Jan 90
  • Uber
    🌴

    Uber

    PRE
    Uber
    🌴 more
    I’ve yet to find a finance company that can match a pre ipo tech company in terms of total comp potential. If you get lucky with startups, your total comp can be 5M+ without working crazy hours. Work for 4 years then retire and work on your side projects.
    Jan 91
    • MGM Resorts joTz32
      "if you get lucky"
      Jan 10
  • Bank of America / OthertSWv17
    If you take the average across all the software engineers in USA then I'm pretty sure 'Tech' pays much higher than 'Finance'.

    source: I'm a software engineer in Finance

    P.S. - not discounting the fact that a bunch of hedge funds pay equal to tech companies (or even more) but the number of such positions are very few in Financial Tech (it's called FinTech too).
    Jan 90
  • Google Woopsy
    How is the compensation structure in finance? In tech we get tons of stock (except Netflix) and predictable bonus (at least at Google)
    Jan 91
    • New / Eng
      remus808

      NewEng

      PRE
      Google, Microsoft
      remus808more
      At hedge funds it's mostly base + (50-100%) bonus. Maybe 200% bonus if you're working with quants
      Jan 9
  • Morgan Stanley jumpornot
    Even in finance, there is a huge gap between bank and hedge fund/HFT.
    Jan 90
  • Uber / Eng=v
    If you compare comp per hour, fin rarely beats tech
    Jan 90
  • Google Woopsy
    Read the article: basically they try to do a comparison with only a handful of self-reported data, hard to take seriously.
    Also the location is likely important in such comparison...
    Jan 90

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