As competition intensifies in the investment banking business, sponsor representatives have become hotly contended resources. Fueled by generous job-hopping rewards, higher ranking positions, or a better platform, the mobility of sponsor representatives regularly picks up at the turn of the year. An insider from a Shanghai-based headhunting firm reveals that in his scouting career, few people resort to job-hopping just for salary. This is because there is no substantial difference in salaries offered to sponsor representatives by different securities traders. Even with some difference, in this relatively closed talent market, the securities trader will be forced to raise the pay to keep up with other traders. Major reasons for job-hopping decisions include better platforms and job promotions.
Investment banking staffers of several securities traders have identified the following two trends in the flow of sponsor representatives:
1. Moving from large securities traders to small and medium securities traders
2. Flowing from foreign invested securities traders to Chinese invested securities traders
Securities companies with newly received licenses for the securities underwriting business and sponsoring business are also among the major recruiting forces. Some sponsor representatives have been preoccupied by hopping from one job to another for a long period of time without working on any project. A small number of newly appointed sponsor representatives are not very competent and have failed to fulfill their due diligence. In some isolated cases, some sponsor representatives were even reduced to contract signing duty while not actually involved in the project. How to enhance the management of sponsor representatives and fully utilize this resource is a question that urgently needs to be addressed.