FINANCIAL SERVICES. Talent trends. Insights into hiring, roles, skills and salaries for your team. Mainland China, Hong Kong and Singapore H1 2018

Transcription

1 FINANCIAL SERVICES Talent trends Insights into hiring, roles, skills and salaries for your team Mainland China, Hong Kong and Singapore H1 2018

2 78% of employees surveyed in financial services across Asia are concerned about the impact of AI on their job. 2 Hudson research Oct. 2017: Financial Services employees, Asia 1 Moon, L. Optimism over economic outlook for 2018 surges among Hong Kong's finance professionals, South China Morning Post, Jan. 12, 2017, Economic growth is creating jobs but employees concerned about future Economic growth underpins strong hiring demand In great news for job seekers, overall hiring intentions have surged due to economic recoveries and forecasts of strong GDP growth 1 in China, Hong Kong and Singapore. It s a job seekers market, with more job opportunities than qualified people to fill them. This means tougher competition for employers to win the best talent, particularly as financial services hiring managers are looking for niche soft skills and specialist regulatory knowledge. Most employers expect they will need to pay more to attract and keep the best people in the financial services function. To gauge the challenges of employers and employees, Hudson has carried out research for the financial services sector. This report conveys the results from Hudson research conducted in October Employees are concerned about the impact of AI Despite the strong economic conditions, the rapid rise of Artificial Intelligence (AI) and machine learning could significantly impact the jobs market in the near future. AI is already starting to replace tasks that were done by people, such as data entry and data analysis. The financial services sector will apply AI in varying degrees and for different purposes for example, cutting edge insurance firms use machines to monitor and prevent fraud, while banks use chatbots for customer service. Although the majority of employees reported that they expected their jobs to remain intact over the next three years, 4 out of 5 employees in financial services are concerned about the potential impact of AI on their roles.

3 AI a slow fuse? Small impact to teams so far but employees concerned about future 3

4 Will AI change the shape of your team? Hudson s survey found that 65% of employees expect their jobs to be impacted by AI and new technologies in the next few years. The potential for disruption to the financial services jobs market as a result of AI is extensive, with significant scope for machines to take on compliance and risk tasks. Many banks are already applying AI to assessing commercial risk. However, not all changes will have a negative impact on roles. For example, our survey found that AI is freeing up more time for creative thinking and planning. 14% of financial services hiring managers report that AI has already impacted their team. Top 3 ways that AI is impacting teams 1. Requiring staff to learn new technology skills 2. Analyzing data and forming conclusions 3. It is giving us more time for creativity and/or planning 4 Hudson research Oct. 2017: Financial Services employers and employees, Asia

5 How concerned are employees about the impact of AI on their jobs? While many believe that AI will transform the industry, the implications are different for employers and employees. 2 in 10 very concerned 3 in 10 slightly concerned 3 in 10 moderately concerned How will AI impact financial services? The concurrent rise of AI and Blockchain means that the financial services industry is on the brink of significant change. As the world of finance evolves to take advantage of these changes, businesses will require individuals and teams to drive and manage change, innovate and upskill, particularly in the areas of stakeholder engagement, influencing and critical thinking. While for the majority of firms the introduction of substantial AI operations is still in the future, all organizations need to be thinking ahead to the possible ramifications of this nascent technology. 2 in 10 not at all concerned In the next three years, how likely do you think it is that your job will exist in its current form? 2% 5% 13% 35% Very Likely Moderately Likely Somewhat Likely 45% Not Sure Not At All likely Hudson research Oct. 2017: Financial Services employees, Asia 5

6 Employment Market Insights 6

7 Hiring demand & supply: Banking sector opens to foreign investment A number of new financial institutions including Wholly Foreign-Owned Enterprises (WFOEs) are receiving licenses to enter the market in China. 1 The State Council s new regulations on foreign-funded banks and plans to open its banking sector to foreign competition have all created significant demand in a candidate-short market. This follows stronger than expected economic growth in China in 2017, which led the International Monetary Fund (IMF) to revise up its forecasts for GDP growth in 2018 by 0.1 percentage point to 6.8%. 2 China employer hiring intentions Increase headcount 71 % CHINA - EMPLOYMENT MARKET INSIGHTS Maintain headcount 22 % H H H H2 Almost 4 in 5 employees open to opportunities or actively seeking a new role 63% 2017 H H1 Decrease headcount 7 % 2018 Employers are experiencing a skills shortage as organizations look for niche skills in order to compete in a rapidly-changing market. As a result, over three-quarters of employees are open to moving. In certain niches, the market is highly job seeker-driven: in regulatory reporting and global market compliance advisory, for example, job seekers require at least a 30% increase in their package in order to accept a new role. In some competitive areas like AI and healthcare investment, this figure is even higher. 14% Employee intentions Hudson research Oct. 2017: Financial Services employers and employees, China 1 China moves to open up foreign ownership of banks, Nikkei Asian Review, Nov. 16, 2017, www. asia.nikkei.com/ magazine/ /politics-economy/china-moves-to-open-up-foreign-ownership-of-banks 2 World Economic Outlook, 23% Open to new opportunities - i.e. passive job seeker Actively seeking a new job - i.e. in the process of applying for jobs Planning to stay in current job 7

8 CHINA - EMPLOYMENT MARKET INSIGHTS Hiring challenges: Lack of budget poses a challenge in a skill-short market Managers in China s financial services profession say their biggest challenge is finding the budget to attract the best job seekers, with 73% expecting they need to pay more to attract people. Top 3 hiring challenges 1. Finding candidates with the relevant technical skills 2. Finding candidates with the relevant soft skills 3. Finding candidates with the right cultural fit for your team What are the main reasons for the hiring challenges? 1. Lack of budget cannot provide a better remuneration package 2. Talent shortage in the market due to requirements of niche skill set 3. Long recruitment process right candidate has taken another offer Do you expect to pay more to attract new hires? If so, how much more do you expect to pay for people (for the same profile) you re hiring today compared to a year ago? 73% 10% more 15% more 20% more 30% more 41% 39% 14% 6% YES What attracts financial services employees to a new role? The right salary Career progression Work/life balance 35% 29% 13% 8 Hudson research Oct. 2017: Financial Services employers and employees, China

9 Leadership challenges: Engage employees through clear career paths With large pay increases on offer in new roles, retention is a key issue for financial services hiring managers across China. Employees know they are in demand, and expect pay rises to stay. The top reason for leaving is disappointment with salary. Top 3 leadership challenges 1. Keeping employees engaged and motivated 2. Retaining top performing employees Top 3 reasons why employees leave 1. Disappointment with salary 2. Lack of career progression 3. Want a career change CHINA - EMPLOYMENT MARKET INSIGHTS 3. Helping employees adapt to change Do you expect you will need to give more in pay rises to retain staff? If so, how much more do you expect to pay in pay increases to retain people compared to a year ago? 73% 10% more 15% more 20% more 30% more 42% 38% 16% 4% YES Top 3 alternatives to a pay rise 1 Housing allowance 2 Flexibility at work 3 Health/medical benefits 14% 10% 9% Hudson research Oct. 2017: Financial Services employers and employees, China 9

10 CHINA - EMPLOYMENT MARKET INSIGHTS Specialist sectors create demand in Shanghai Job seekers with skills in biotech investment, AI, big data and FinTech product management are in strong demand in Shanghai, as these boom areas are attracting the support of both government and private investors. 1 Risk and compliance remain the key issues, particularly in foreign-owned companies where global compliance practices and training methods are ill-fitted to the Chinese market. MNCs therefore require local talent with relevant and extensive regulatory knowledge. Due diligence and change management skills are also sought-after by firms as the fluctuating market calls for agile performers. In-demand roles and skills: Niche demands drive hiring Most in-demand job functions/ roles: Sales Investment Risk control and compliance Portfolio management Regulatory reporting FinTech booming in Beijing Internet finance is a booming market in Beijing, not only in new FinTech companies, but also within traditional financial institutions. Established businesses are opening up their internet capabilities, particularly in insurance and asset management. Most in-demand technical skills: Top educational background Assets/liability management skills for insurance assets management company Modelling ability Due diligence Deal sourcing capability Most in-demand soft skills: Drive for results Driving and managing change Learning agility Innovative thinking Data literacy 10 1 Change of pace ahead for fintech, ECNS,cn, China Daily, Dec. 5, 2017,

11 Remuneration: Employees expecting big pay increases In a skill-short market, employees are following the money. Many know that they can dramatically improve their salary by moving jobs, so the pressure is on hiring managers to compete. With almost 4 in 10 professionals expecting a pay rise of more than 10%, managers will need to find the budget to compete in this environment. In the Beijing investment banking sector, we have seen a steady increase to base salaries, but bonuses in foreign-owned banks are shrinking in comparison with previous years. 42% of financial services employees in China believe they are paid below market rate. Only 40% of financial services employees in China say they would stay at their organization for another 12 months even if they receive a pay rise. CHINA - EMPLOYMENT MARKET INSIGHTS Did you receive an increase to your base salary in the past 6 months? If so, how much has your base salary/rate increased by? 44% 1-2% 3-5% 6-8% 9-10% 11-15% 16-20% Over 20% 6% 31% 16% 9% 6% 16% 16% YES Did you receive a bonus in the past 6 months? If so, how much was your bonus? 58% 0-5% 6-10% 11-15% 16-20% Over 20% YES 5% 14% 26% 52% Expectations of pay rises By how much do you expect your base salary to increase at your next review? 2% Increase by more than 10% Increase by 6-10% Increase by 0-5% Remain the same 72% 15% 6% 7% Hudson research Oct. 2017: Financial Services employees, China 11

12 HONG KONG - EMPLOYMENT MARKET INSIGHTS Hiring demand & supply: Tough competition as new financial institutions enter market 2018 looks set to be a strong year for the Hong Kong financial services industry with a rise in External Asset Management (EAM) and private banking. 1 Contracting is increasing in the big banks, while an influx of mainland Chinese financial institutions are planning to engage in more outbound investment and building Hong Kong capability as their first step. The economic outlook has also improved. At the time of the Hudson survey, the Hong Kong Government had just upgraded the region s 2017 economic growth target after strong stock and property markets, and an improved global environment propelled the economy to faster than expected growth. 2 Hong Kong employer hiring intentions Increase headcount 59 % Maintain headcount 40 % H H H H H H1 Decrease headcount 1 % 75% of Hong Kong employees are interested in new roles 57% 2018 New players create demand As the new entrants to the Hong Kong financial services market demand staff, there are more options for employees. Most surveyed are open to new opportunities or actively searching for a new role. 18% 25% Open to new opportunities - i.e. passive job seeker Actively seeking a new job - i.e. in the process of applying for jobs Planning to stay in current job 12 Employee intentions Hudson research Oct. 2017: Financial Services employers and employees, Hong Kong

13 Hiring challenges: Soft skills the number one priority Employers in financial services are increasingly seeking job seekers with strong soft skills such as stakeholder engagement however these top job seekers can be hard to find. Even once they have been identified, employers have further challenges trying to secure enough budget to attract them and avoid losing them to a counter-offer during a protracted recruitment process. Top 3 hiring challenges 1. Finding candidates with the relevant soft skills 2. Finding candidates with the relevant technical skills 3. Assessing candidates to determine the likelihood of success in a role What are the main reasons for the hiring challenges? 1. Lack of budget cannot provide a better remuneration package 2. Candidate quality high expectations and not enough cultural fit 3. Long recruitment process right candidate has then taken another offer HONG KONG - EMPLOYMENT MARKET INSIGHTS Do you expect to pay more to attract new hires? If so, how much more do you expect to pay for people (for the same profile) you re hiring today compared to a year ago? 79% 10% more 15% more 20% more 30% more More than 30% 2% 72% 22% YES What attracts financial services employees to a new role? The right salary Career progression 2% 2% Work/life balance 31% 29% 12% Hudson research Oct. 2017: Financial Services employers and employees, Hong Kong 13

14 HONG KONG - EMPLOYMENT MARKET INSIGHTS Leadership challenges: Employees seeking clear career paths As banks become more cost-conscious, disappointment with salary is equal with lack of career progression as a key push factor for employees deciding to leave their roles. While budget constraints may be preventing leaders from giving the pay rises expected, career progression is something that hiring managers can offer through structured goal-setting and promotion targets. Top 3 leadership changes 1. Keeping employees engaged and motivated 2. Improving employee performance Top 3 reasons why employees leave 1. Lack of career progression 2. Bored and need a new challenge 3. Want a better work/life balance 3. Helping employees adapt to change Do you expect you will need to give more in pay rises to retain staff? If so, how much more do you expect to pay in pay increases to retain people compared to a year ago? 73% 10% more 15% more 20% more 30% more 70% 17% 11% YES 2% Top 3 alternatives to a pay rise 1 Additional annual leave 2 Housing allowance Health/medical benefits 18% 16% 10% 3 14 Hudson research Oct. 2017: Financial Services employers and employees, Hong Kong

15 In-demand roles and skills: Regulatory skills in demand Most in-demand job functions/ roles: Responsible Officer (Type 4, 9 & 6) IPO Principal Relationship Manager (Private & Corporate Banking) Credit Analyst (FIG & Commodities Risk) Head of Risk (Brokerage & Asset Management) FinTech (within Compliance, Insurance & Banking) Niche requirements driving international hires Certain international banks and niche product-focused financial institutions require highly specific technical product and system knowledge. However, since Hong Kong is a small talent pool for highly-specialized employees and job seekers with specific, rather than generic talents are preferred hiring locally is a challenge and most hiring managers engage a global search to uncover the best talent. Technical skills As the influence of FinTech extends beyond the start-up world, it is now the key agenda topic for all financial institutions. Hiring managers are looking for this experience to add to their teams. We re also seeing a limited talent pool in two big areas: specialist compliance candidates with buy-side (Asset Management, PE, HF) compliance experience, and MPF Fund Compliance, where candidates have a lot of options as they are limited in number. HONG KONG - EMPLOYMENT MARKET INSIGHTS Most in-demand technical skills: Most in-demand soft skills: Investment compliance (Knowledge in Bloomberg & Charles River) BASEL III MPF funds compliance Drive for results Critical and Innovative thinking Driving and managing change Learning agility Stakeholder engagement Soft skills create opportunities As banks become more cost-conscious, employees often have to take on dual roles: being technical data analysts as well as business partners who provide commercial insights. Those who take on this challenge with the ability to look at the bigger picture and have a drive for results are the most likely to succeed. Thinking critically is also extremely important to teams as FinTech and automation fundamentally changes the banking industry. Job seekers need to be open to adapting to new technology and creative ways to improve workflow processes. 15

16 HONG KONG - EMPLOYMENT MARKET INSIGHTS Remuneration: Specialists expecting significant pay rises We are seeing an increasing trend of specialist roles in Hong Kong. With new regulations like MiFID 1 & 2/BASEL III, individuals have to equip themselves with specialized knowledge of these regulations, and employees are therefore expecting pay rises as their skills become more valuable, driving salaries up across the board. 56% of financial services employees in Hong Kong believe they are paid below market rate. Only 25% of financial services employees in Hong Kong say they would stay at their organization for another 12 months even if they receive a pay rise. Did you receive an increase to your base salary in the past 6 months? If so, how much has your base salary/rate increased by? 46% 1-2% 3-5% 6-8% 9-10% 11-15% 16-20% Over 20% 33% 16% 16% 3% 13% 19% YES Did you receive a bonus in the past 6 months? If so, how much was your bonus? 43% 0-5% 6-10% 11-15% 16-20% Over 20% 14% 17% 28% 17% 24% YES Expectations of pay rises By how much do you expect your base salary to increase at your next review? Increase by more than 10% Increase by 6-10% Increase by 0-5% Remain the same 19% 32% 31% 18% 16 Hudson research Oct. 2017: Financial Services employees, Hong Kong

17 Hiring demand & supply: More employers increasing headcount in 2018 Hiring intentions for 2018 were already increasing according to Hudson s survey, shortly before the Monetary Authority of Singapore announced a roadmap to 2020 for the financial services industry. The plan includes an extra 3,000 jobs per year in the financial services sector and a further 1,000 in the FinTech space. 1 This will further increase competition amongst employers for top talent. Singapore employer hiring intentions Maintain headcount 68 % SINGAPORE - EMPLOYMENT MARKET INSIGHTS Increase headcount 30 % H H H H H H1 Decrease headcount 2 % 2018 Most financial services employees open to opportunities 58% Firms holding onto top talent 2017 saw a lot of internal mobility in the Singapore market, with many firms extending counter-offers to keep their best talent in house. As a result, financial services employees are particularly selective when considering new opportunities, as they re aware that they could stay within their organizations and receive a pay increase or promotion. Employee intentions Hudson research Oct. 2017: Financial Services employers and employees, Singapore 1 Roadmap for a Leading Global Financial Centre in Asia, Monetary Authority of Singapore 2017, News-and-Publications/Media-Releases/2017/Roadmap-for-a-Leading-Global-Financial-Centre-in-Asia.aspx 20% 22% Open to new opportunities - i.e. passive job seeker Actively seeking a new job - i.e. in the process of applying for jobs Planning to stay in current job 17

18 SINGAPORE - EMPLOYMENT MARKET INSIGHTS Hiring challenges: Attracting talent in a skill-short market The need for more specific skill sets due to new technologies mean that the talent pool is becoming narrow. Hiring managers are also looking for a strong cultural fit, which is further reducing the number of appropriate job seekers in the Singapore market and creating a talent shortage. Top 3 hiring challenges 1. Finding candidates with the relevant technical skills 2. Finding candidates with the relevant soft skills 3. Finding candidates with the right cultural fit for your team What are the main reasons for the hiring challenges? 1. Talent shortage in the market due to requirements of niche skill set 2. Candidate quality high expectations and not enough cultural fit 3. Economic uncertainty candidates preferring to stay with their current employer Do you expect to pay more to attract new hires? If so, how much more do you expect to pay for people (for the same profile) you re hiring today compared to a year ago? 50% 10% more 15% more 20% more 30% more 76% 12% 12% YES What attracts financial services employees to a new role? The right salary Career progression Work/life balance 33% 6% 5% 18 Hudson research Oct. 2017: Financial Services employers and employees, Singapore

19 Leadership challenges: Engage employees through clear career paths In a highly-competitive talent market with a niche skill set shortage, the top financial services employees are in demand and attracting high salaries. Hiring managers are therefore faced with the difficult task of retaining their top performers. With career progression a key factor in people s decisions to leave their current roles, leaders must focus on engaging talent with clear career paths. Top 3 leadership challenges 1. Keeping employees engaged and motivated 2. Developing and training employees Top 3 reasons why employees leave 1. Lack of career progression 2. Disappointment with salary 3. Bored and need a new challenge SINGAPORE - EMPLOYMENT MARKET INSIGHTS 3. Helping employees adapt to change Do you expect you will need to give more in pay rises to retain staff? If so, how much more do you expect to pay in pay increases to retain people compared to a year ago? 40% 10% more 15% more 20% more 30% more 75% 25% YES Top 3 alternatives to a pay rise 1 Flexibility at work 2 Health/medical benefits 3 I will not swap anything for a pay rise 19% 12% 10% Hudson research Oct. 2017: Financial Services employers and employees, Singapore 19

20 SINGAPORE - EMPLOYMENT MARKET INSIGHTS Regulatory requirements driving hires Due to regulatory requirements becoming more stringent, more jobs are being created in the Financial Crime, KYC/CDD, Compliance, Audit and Risk areas. 1 At the same time, a lot of roles are contractual or being outsourced to low-cost locations. Singapore Government backing innovation As Singapore moves towards its aim of becoming a smart nation, many processes and services are becoming digitized and made available online. As a result, there is increased focus on cyber security and data protection, and most banks and financial services institutions are actively seeking talent for their compliance, legal and data privacy teams. Banks and insurance companies are also creating innovation centers and receiving funding for creating new jobs in Singapore. Technology advances create soft skills demand As technology and innovation impacts significantly across the entire financial services sector, critical thinking is very important to the success of teams, as is managing change. Stakeholder management skills remain in high demand and will continue to be crucial for all mid to senior roles. As the use of automation rises, good "human" skills like this will set the top job seekers apart from the rest. 1 "Virtual currency exchanges face regulation under new payment services framework in Singapore", Out-Law.com, Nov , articles/2017/november/virtual-currency-exchanges-face-regulationunder-newpayment-services-framework-in-singapore/ 20 In-demand roles and skills: Tech needs boosting headcount Most in-demand job functions/ roles: Most in-demand technical skills: Most in-demand soft skills: Compliance and AML KYC/CDD Risk and compliance analytics Trade finance operations Payments/FinTech Programming knowledge Product knowledge (Cash Management; Trade Finance; Private Banking & Wealth) Regulatory knowledge (MAS; IFRS9; MiFID I & II; BASEL III) Professional certifications (ACAMS; CIA; CPA; ACCA; CIFA; CISA) FinTech (Compliance ; Risk; Cash Management Implementation/Integration) Critical thinking Stakeholder engagement Driving and managing change Negotiation and influencing skills Digital literacy

21 Remuneration: Conservative salary market As financial institutions look to streamline their expenditure, Singapore s financial services salary market is currently in a conservative phase. Our survey found that only 1 in 3 employees received a pay increase in the last six months, and of those, more than half received an increase of only 1-5%. 53% of financial services employees in Singapore believe they are paid below market rate. Only 46% of financial services employees in Singapore say they would stay at their organization for another 12 months even if they receive a pay rise. SINGAPORE - EMPLOYMENT MARKET INSIGHTS Did you receive an increase to your base salary in the past 6 months? If so, how much has your base salary/rate increased by? 32% 1-2% 3-5% 6-8% 9-10% 11-15% 16-20% Over 20% 31% 27% 7% 15% 12% 4% 4% YES Did you receive a bonus in the past 6 months? If so, how much was your bonus? 35% 0-5% 6-10% 11-15% 16-20% Over 20% 11% 25% 18% 14% 32% YES Expectations of pay rises By how much do you expect your base salary to increase at your next review? Increase by more than 10% Increase by 6-10% Increase by 0-5% Remain the same 10% 23% 52% 15% Hudson research Oct. 2017: Financial Services employees, Singapore 21

22 SALARY GUIDE Salary guide: Financial Services* CHINA (RMB 000) Analyst Associate/Assistant Vice President Associate Director/ Vice President Director/ Executive Director Managing Director Corporate Banking - Front Desk Corporate - Relationship Management (MNC/ ,800 1,800-3,000 LC/FI) Corporate/Financial Institutions - Credit ,500 1,500-2,500 Analysis Product Sales (Cash/ Trade) ,800 1,800-3,000 Product Management (Cash/Trade) ,500 1,500-2,500 Global Markets Sales/Trader ,000 2,000-3,000 Security Service - Sales/Client Services ,850 1,800-2,300 Security Service - Product Management ,500 1,300-2,300 Security Service - Operations N/A *This salary guide is a compilation of salary and market information provided by Hudson consultants, clients, candidates and other sources across Asia. Information was gathered by drawing on the extensive knowledge of our specialist recruitment consultants across Hudson s specialist practice groups. Salary ranges are approximate guides only. They relate to base salaries and exclude bonuses/incentive schemes/stock options etc. 22

23 Analyst CHINA (RMB 000) Associate/Assistant Associate Director/ Vice President Vice President Director/ Executive Director Managing Director SALARY GUIDE Corporate Banking - Middle & Back Office Finance & Accounting Regulatory Reporting ,000 1,000+ Management Reporting Internal Audit ,000 1,000+ Tax ,000 1,000+ Treasury ,000 1,000+ Middle Office KYC/Client On-Boarding ,000 1,000+ Global Markets - Trade Support ,000 1,000+ Project/Change Management ,000 1,000+ Governance & Risk Credit Risk ,000 1,000+ Market Risk ,000 1,000+ Operational Risk Compliance General Compliance/ Regulatory ,200 1,200+ Compliance Compliance Advisory/Business ,200 1,200+ Compliance Advisory FCC/AML

24 SALARY GUIDE CHINA (RMB 000) Assistant Manager Manager Senior Manager Director Head Wealth Management Front Desk - Sales ,200 1,000-5,000 Product ,100 1,000-2,000 Risk ,100 1,000-3,000 Analyst Associate Senior Associate/ Director/Principal/ Managing Director/ Vice President Executive Director Partner PE/VC Healthcare ,000 1,000-5,000 Hightech/VR/AI ,000 1,000-5,000 TMT/Consumer/ Manufacture , ,000 Risk , ,000 Portfolio Management , ,000 Real Estate ,500 1,000-2,500 24

25 CHINA (RMB 000) Specialist Manager Senior Manager Director Chief SALARY GUIDE Insurance Actuary, Life , ,000 Compliance ,000 Risk ,000 Bancassurance ,000 Underwriting Digital , ,500 Project Management and Strategy ,600 Manager Senior Manager Director Head CIO Mutual Fund (Base salary) Front Desk - Portfolio Management (Equity) , , ,000 1,000-3,000 Front Desk - Portfolio Management ,500 N/A (Fixed-income) Front Desk - Portfolio Management (Quant) ,300 N/A 25

26 SALARY GUIDE CHINA (RMB 000) Analyst Associate Vice President Director Head Mutual Fund (Base salary) Front Desk ,500 Research Analysis Specialist Supervisor Manager/ Senior Manager Director Head Mutual Fund (Base salary) Sales - Institution Sales - Channel Middle Office - Product Middle Office - Marketing Back Office - Risk Back Office - Compliance Back Office - Operations

27 CHINA (RMB 000) Specialist Manager Head SALARY GUIDE FinTech CIO/Head of IT N/A N/A 800-2,400 Dev Center Sector/ Division Head N/A N/A 800-2,000 IT Infrastructure ,000 IT Application Support IT Application Project Management ,200 IT Security/IT Risk ,500 IT Audit ,200 Business Bank - Software Delivery ,500 Business Bank - Senior Developer (Java, COBOL etc.) IB Tech - Software Delivery ,500 IB Tech - Software Development (Java, C#, C++) ,500 27

28 SALARY GUIDE Analyst HONG KONG (HKD 000) Associate/Assistant Vice President Associate Director/ Vice President Director/ Executive Director Managing Director Middle & Back Office Operations Global Markets - Trade Support ,300 1,300-2,000 N/A Corporate Actions/ ,300 1,300-1,800 N/A Settlements KYC/Client On-Boarding ,300 1,300-1,800 N/A Corporate Banking ,200 1,200-1,500 1,500+ Operations Fund Operations ,500 1,500+ Retail Operations Project/Change Management ,000 1,000-1,500 1,500+ Finance & Accounting Financial & Regulatory ,080 1,080-1,500 1,500+ Reporting Fund Accounting ,300 1,300+ Management Reporting ,200 1,200-1,500 1,500+ Product Control & Valuation ,200 1,200-1,500 1,500+ Treasury ,000 1,000-1,500 1,

29 Analyst HONG KONG (HKD 000) Associate/Assistant Vice President Associate Director/ Vice President Director/ Executive Director Managing Director Governance & Risk Risk Operational Risk ,000 1,000-1,500 1,500+ Credit Risk ,200 1,200-1,800 1,800+ Market Risk ,350 1,350-1,800 1,800+ Compliance General Compliance ,500 1,500-2,500 2,500+ Investment Compliance ,400 1,400-2,000 2,000+ Compliance Advisory ,400 1,400-2,000 2,000+ AML ,300 1,300-2,000 2,000+ Legal In-house Financial Services 600-1,000 1,000-1,700 1,700-2,200 2,200-2,700 2,700+ ISDA Negotiator ,000 1,000-1,400 1,400+ N/A Paralegal N/A N/A Company Secretary ,000 1,000+ N/A SALARY GUIDE 29

30 SALARY GUIDE Analyst HONG KONG (HKD 000) Associate/Assistant Vice President Associate Director/ Vice President Director/ Executive Director Managing Director Front Office Global Markets ,200 1,200-1,800 1,800-2,500 2,500+ IBD Research ,500 1,500-2,100 2,100+ Product Development (Asset ,000 1,000+ N/A Management) Asset Management ,500 1,500-2,000 2,000+ Research Asset Management ,200 1,200-1,600 1,600-1,800 1,800+ Institutional Sales Asset Management - Wholesale ,400 1,400-1,800 1,800+ Distribution Private Equity 600-1,020 1,020-1,400 1,400-2,000 2,000-3,000 3,000+ Corporate Finance, M&A, ,200 1,200-1,600 1,600-2,200 2,200+ ECM & DCM Corporate Banking RM ,300 1,300-2,000 2,000+ Retail Banking RM ,000 1,000+ Wealth Management RM ,400 1,400+ Hedge Fund 720-1,200 1,200-1,500 1,500-2,000 2,000-3,000 3,

31 Analyst SINGAPORE (SGD 000) Associate/Assistant Vice President Associate Director/ Vice President Director/ Executive Director Middle & Back Office Finance & Accounting Fund Accounting Management Reporting Product Control & Valuation Treasury Tax Internal Audit Internal Audit, Corporate Functions Technology Audit SALARY GUIDE Governance & Risk Risk Operational Risk Credit Risk Market Risk Compliance AML/Financial Crime KYC/Client On-Boarding Front Office Private Equity

32 Hong Kong Sid Sibal Associate Director Singapore Kate Silaeva Manager EKATERINA SILAEVA Registration No. R Shanghai Monica Song Director Beijing Alyssa Cao Director Methodology Hudson undertook quantitative research with hiring managers and employees across Asia to analyze the talent landscape and provide insights on what employers might expect in 2018 and beyond. We canvassed the views of over 3,500 employers and employees in Asia in September and October 2017, across multiple job functions. From these findings we developed this report for the financial services profession a combination of the survey findings and Hudson's specialist insights on the hiring landscape. Percentages don't always total 100% because respondents could select more than one option for certain questions. Hudson Financial Services Hudson's specialist recruitment consultants have the in-depth market knowledge of salaries, job titles and hiring trends to ensure you achieve the best outcome for your organization at the appropriate remuneration. We build highly nurtured and engaged pools of select talent so you can find the right person quickly. This means greater speed and precision in placements, and higher satisfaction for both clients and candidates. Our proprietary assessment tools and techniques will help you find candidates with the right technical skills and capabilities for the role and for your team, so you can achieve higher performance and superior business results. Hudson Global Resources (Singapore) Pte Ltd EA Licence Number: 03C4590 Hudson Global Resources (Hong Kong) Ltd EA Licence Number: Hudson Recruitment (Shanghai) Ltd EA Licence Number: 沪人社 号