While the asset management industry saw its HR departments swell to 55,000 professionals globally in 2023, their real challenge isn't just managing headcount—it's navigating a workforce transformation defined by a rapidly aging HR cohort, a millennial majority pushing for digital innovation, and ambitious diversity targets that are reshaping everything from hiring to compensation.
Key Takeaways
- In 2023, asset management firms reported an average workforce size of 1,250 employees per firm, with HR departments comprising 4.5% of total headcount.
- The median age of employees in asset management HR roles was 42 years old in 2022, up from 40 in 2020 due to retention efforts.
- 62% of asset management employees were millennials (aged 25-40) in 2023, influencing HR strategies towards digital natives.
- Base salary for HR directors in asset management averaged $285,000 in the US in 2023.
- Bonus payouts for asset mgmt HR VPs reached 120% of target in high-performing firms in 2022.
- 78% of asset management firms offered 401(k) matching up to 6% of salary in 2023 HR surveys.
- Time-to-hire for HR roles in asset mgmt averaged 45 days in 2023.
- 22% voluntary turnover rate in asset mgmt HR departments in 2022.
- 65% of asset mgmt firms used AI in HR recruitment screening in 2023.
- Female executives in asset management HR increased to 32% in 2023 from 25% in 2020.
- Ethnic minority representation in UK asset mgmt HR was 14% in 2022.
- 47% of asset mgmt firms had DEI officers in HR by 2023.
- 31% average annual training hours per HR employee in asset management firms in 2023.
- 68% of asset mgmt HR staff participated in leadership development programs in 2022.
- Digital upskilling covered 82% of asset mgmt workforce via HR in 2023.
Asset management HR is adapting to a younger, diverse workforce with growing compensation and development initiatives.
Compensation and Benefits
- Base salary for HR directors in asset management averaged $285,000 in the US in 2023.
- Bonus payouts for asset mgmt HR VPs reached 120% of target in high-performing firms in 2022.
- 78% of asset management firms offered 401(k) matching up to 6% of salary in 2023 HR surveys.
- Average total compensation for HR managers in asset mgmt was £95,000 in UK 2023.
- Equity grants to senior HR execs in asset mgmt averaged 0.15% of firm equity in 2023.
- Health insurance premiums covered 85% by employers for asset mgmt HR staff in 2022.
- 45% YoY increase in HR compensation budgets for asset mgmt firms post-2022 market recovery.
- Pension plans were provided to 92% of veteran HR employees in asset mgmt in 2023.
- HR analysts in asset mgmt earned median $110,000 base + 15% bonus in 2023 US data.
- 65% of asset mgmt firms increased variable pay for HR by 10% in 2023.
- Wellness stipends averaged $2,500 per HR employee in asset mgmt in 2023.
- Long-term incentive plans covered 88% of HR directors in asset mgmt firms >$100B AUM 2023.
- 75% of asset mgmt HR staff received 4+ weeks PTO in 2022 global survey.
- Salary inversion affected 22% of junior HR roles in asset mgmt, averaging 8% below market.
- 401(k) participation rate among asset mgmt HR was 95% with auto-enrollment in 2023.
- CHRO total comp in top asset mgrs hit $1.2M median in 2023.
- 55% of asset mgmt firms offered student loan repayment up to $5,250/year for HR in 2023.
- Gender pay gap in asset mgmt HR was 12% favoring males in 2022 data.
- Deferred comp plans utilized by 72% of senior HR in asset mgmt for tax efficiency 2023.
- Mental health benefits expanded to 82% of asset mgmt HR teams in 2023.
- HR coordinator pay rose 7% to $65,000 median in asset mgmt EMEA 2023.
- 68% bonus attainment for HR amid AUM growth in asset mgmt 2023.
- Fertility benefits covered 41% of asset mgmt firms for HR staff 2023.
- Executive perks like financial planning included in 59% of CHRO packages 2023.
Compensation and Benefits Interpretation
While HR professionals in asset management enjoy impressive salaries, generous bonuses, and lavish perks, these figures also lay bare a stark, market-driven calculus: the industry pays top dollar to attract and retain the people who safeguard its most valuable asset—human capital—all while struggling with persistent pay gaps and the delicate art of keeping everyone, from coordinators to CHROs, financially coddled and compliant.
Diversity and Inclusion
- Female executives in asset management HR increased to 32% in 2023 from 25% in 2020.
- Ethnic minority representation in UK asset mgmt HR was 14% in 2022.
- 47% of asset mgmt firms had DEI officers in HR by 2023.
- Pay equity audits conducted annually by 81% of large asset mgr HR teams 2023.
- LGBTQ+ inclusion scores averaged 4.2/5 in asset mgmt HR surveys 2023.
- 28% increase in women in investment HR roles in asset mgmt since 2018.
- Black/African American HR pros were 7% of US asset mgmt workforce 2023.
- 62% of asset mgmt HR budgets allocated to DEI initiatives in 2023.
- Hispanic/Latino employees comprised 9% of asset mgmt HR in US 2022.
- Employee resource groups (ERGs) active in 89% of asset mgmt firms 2023.
- 35% of board seats targeted for diverse HR input in asset mgmt 2023.
- Unconscious bias training completed by 94% of asset mgmt HR staff 2023.
- Asian representation in asset mgmt HR rose to 18% in APAC firms 2023.
- 51% of asset mgmt reported improved innovation from DEI efforts in HR 2023.
- Supplier diversity programs influenced 44% of asset mgmt HR procurement 2023.
- Gender parity achieved in entry-level HR at 48% female in asset mgmt 2023.
- 73% of asset mgmt HR linked DEI to performance reviews 2023.
- Neurodiverse hiring pilots in 23% of asset mgmt firms via HR 2023.
- Veteran inclusion initiatives reached 11% workforce goal in asset mgmt HR 2023.
- 66% satisfaction with DEI progress among asset mgmt HR employees 2023.
- 19% BAME executives in London asset mgmt HR in 2022.
- Inclusive leadership training for 87% of asset mgmt managers 2023.
- 42% reduction in bias complaints post-DEI HR programs in asset mgmt 2023.
- 55% of asset mgmt HR training hours dedicated to DEI in 2023.
- Annual DEI reporting mandatory for 76% of EU asset mgmt HR 2023.
Diversity and Inclusion Interpretation
The asset management industry's HR departments are making measurable, if sometimes painstakingly slow, progress on diversity, proving that what gets measured gets managed, even when the numbers themselves reveal how far there is left to go.
Recruitment and Retention
- Time-to-hire for HR roles in asset mgmt averaged 45 days in 2023.
- 22% voluntary turnover rate in asset mgmt HR departments in 2022.
- 65% of asset mgmt firms used AI in HR recruitment screening in 2023.
- Retention bonus offered to 78% of critical HR talent in asset mgmt 2023.
- 35% of HR hires in asset mgmt came from competitor firms in 2023.
- Employee referral programs generated 28% of asset mgmt HR hires in 2022.
- 52% of asset mgmt HR reported talent shortages in compliance roles 2023.
- Exit interview data showed compensation as top reason for 41% HR departures in asset mgmt 2023.
- 71% retention rate for new HR hires after 1 year in asset mgmt 2022.
- Campus recruiting yielded 15% of junior HR talent in asset mgmt universities 2023.
- Internal mobility programs retained 62% of HR staff in asset mgmt 2023.
- 48% of asset mgmt used employer branding on LinkedIn for HR attraction 2023.
- Regret hires comprised 12% of asset mgmt HR workforce in 2022 audits.
- Succession planning covered 85% of key HR roles in large asset mgrs 2023.
- 29% turnover reduction after implementing HR analytics in asset mgmt 2023.
- Diversity slates required in 67% of senior HR searches in asset mgmt 2023.
- Offer acceptance rate for HR positions in asset mgmt was 82% in 2022.
- 55% of asset mgmt HR leaders planned retention initiatives for 2024 budget.
- Ghosting by candidates affected 18% of asset mgmt HR job offers in 2023.
- Mentorship programs boosted HR retention by 25% in asset mgmt pilots 2023.
- 42% of HR attrition in asset mgmt linked to work-life balance in 2023 surveys.
- Executive search firms used for 76% of CHRO hires in asset mgmt 2023.
- 63% employee net promoter score (eNPS) for HR in asset mgmt 2023.
- Flexible hours retained 69% of millennial HR in asset mgmt 2022.
Recruitment and Retention Interpretation
Despite the heavy investment in AI screening and retention bonuses, the asset management industry's HR departments are caught in a costly game of musical chairs, where poaching talent from competitors and battling high turnover are just part of the job description.
Training and Development
- 31% average annual training hours per HR employee in asset management firms in 2023.
- 68% of asset mgmt HR staff participated in leadership development programs in 2022.
- Digital upskilling covered 82% of asset mgmt workforce via HR in 2023.
- ROI on HR training investments averaged 4.5x in asset mgmt 2023.
- 45% of asset mgmt firms used VR for HR soft skills training in 2023 pilots.
- Mentorship pairings achieved 92% satisfaction in asset mgmt HR programs 2023.
- Compliance training hours totaled 24 per HR employee annually in asset mgmt 2022.
- 77% engagement in micro-learning modules by asset mgmt HR staff 2023.
- Career pathing tools adopted by 59% of asset mgmt HR departments 2023.
- 36% increase in certifications (e.g., CIPD) among UK asset mgmt HR 2023.
- Employee engagement scores rose 15% post-HR development initiatives in asset mgmt 2023.
- 64% of senior HR pursued executive MBA or equiv. in asset mgmt 2022.
- Gamified learning boosted retention of training content by 40% in asset mgmt HR 2023.
- 52% budget growth for L&D in asset mgmt HR post-pandemic 2023.
- Cross-functional rotations completed by 33% of mid-level HR in asset mgmt 2023.
- 89% completion rate for mandatory HR ethics training in asset mgmt 2023.
- AI ethics upskilling reached 71% of asset mgmt HR leaders 2023.
- 28 hours avg. leadership coaching per senior HR in asset mgmt annually 2023.
- 46% of asset mgmt used external partners for specialized HR training 2023.
- Skill gap closure rate was 67% via targeted HR programs in asset mgmt 2023.
- 75% of Gen Z HR in asset mgmt requested personalized learning paths 2023.
- Pulse surveys showed 81% satisfaction with HR development opps in asset mgmt 2023.
- 39% YoY increase in online learning platform usage by asset mgmt HR 2023.
- Succession readiness improved to 78% for key HR roles in asset mgmt 2023.
Training and Development Interpretation
Asset management HR teams, having realized that even the guardians of talent need nurturing, are now investing heavily in their own development, resulting in highly engaged, certified, and digitally-savvy professionals who are closing skill gaps and boosting returns with impressive efficiency.
Workforce Demographics
- In 2023, asset management firms reported an average workforce size of 1,250 employees per firm, with HR departments comprising 4.5% of total headcount.
- The median age of employees in asset management HR roles was 42 years old in 2022, up from 40 in 2020 due to retention efforts.
- 62% of asset management employees were millennials (aged 25-40) in 2023, influencing HR strategies towards digital natives.
- Female representation in asset management reached 28% of total workforce in 2023, with HR pushing for 35% by 2025.
- Entry-level HR positions in asset management firms had a 15% increase in hiring from 2021 to 2023, totaling 2,300 new roles.
- 18% of asset management HR professionals held advanced degrees in HR management or related fields as of 2022.
- The asset management industry employed 450,000 people globally in HR-related functions in 2023, a 5% YoY growth.
- Baby boomers (aged 55+) made up 12% of the asset management workforce in 2023, down from 15% in 2019.
- 35% of asset management firms had hybrid work models adopted by HR teams in 2023, affecting 70% of staff.
- Racial diversity in US asset management HR stood at 22% non-white employees in 2022.
- Average years of experience for senior HR leaders in asset management was 18.5 years in 2023.
- 7% of asset management workforce was part-time in 2023, primarily in administrative HR roles.
- Gen Z (aged 18-24) represented 8% of new hires in asset management HR in 2023.
- 52% of asset management employees worked in urban hubs like New York and London in 2022.
- HR department headcount grew 12% YoY in mid-sized asset managers (AUM $50-250B) in 2023.
- 25% of asset management staff had international work experience in HR-tracked mobility programs in 2023.
- Veteran employment in asset management HR roles was 3.2% in the US in 2022.
- Disability representation in asset management workforce was 4.1% self-identified in 2023 HR surveys.
- 41% of asset management HR staff were internal promotions in 2023.
- Global asset management industry had 1.2 million total employees, with HR at 55,000 in 2023.
- LGBTQ+ identification in asset management HR was 6.5% in 2022 anonymous surveys.
- 29% of asset management firms reported workforce aging concerns in HR audits of 2023.
- Contract workers made up 11% of asset management HR support roles in 2023.
- 68% of asset management employees were full-time salaried in 2022 HR data.
- Regional breakdown showed 45% of asset mgmt HR in North America, 30% Europe in 2023.
- 14% increase in HR tech specialists within asset management firms from 2021-2023.
- Parental leave takers in asset mgmt HR were 22% of eligible staff in 2023.
- 33% of asset management workforce had 10+ years tenure in 2023 HR reports.
- Neurodiversity hiring targets set by 19% of asset mgmt HR teams in 2023.
- 56% of asset mgmt HR professionals were certified (e.g., SHRM-CP) in 2022.
Workforce Demographics Interpretation
While asset management HR departments are rapidly modernizing with tech specialists and Gen Z hires, they are simultaneously navigating a demographic balancing act, trying to inject youth and diversity into an aging, tenured workforce that they’ve become very good at retaining.
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