Compensation Trends amongst CFOs: What Candidates Expect in 2025

As the market tightens and top finance talent becomes more selective, compensation expectations are shifting. In 2025, candidates aren’t just benchmarking salary — they’re weighing up the full package: from bonus structure and equity to flexibility and future upside. For employers, understanding these evolving expectations is critical to attracting and retaining high-performing professionals.

Recent repeated increases to base salaries mean that employers point their progessionals towards their total compensation figures, if grumblings on bonus totals are voiced, citing factors like increased length of deals and an increase to the cost of capital. 

Employees will hit back saying that their friends at other banks/funds are earning more on the variable part of their pay packet. But are they really? 

Base Salaries Are Holding Steady — But Expectations Are Sharper

Despite a more cautious macroeconomic environment, senior finance candidates still expect competitive base salaries — particularly for roles involving transformation, commercial complexity, or investor exposure. Employers can’t rely on brand or mission alone. Candidates are scrutinising offers more carefully, and expecting packages to reflect both the scope of the role and the value they’re expected to deliver, often with chunky guarantees up front.

Bonuses Need to Be Transparent and Attainable

A recent trend within boutique investment banks and smaller, more nimble funds, is the sharing of the internal mechanism used to calculate variable compensation. 

In 2025, finance candidates expect bonus structures to be aligned with outcomes they can influence. Vague or discretionary schemes are losing appeal. Clear performance metrics, tiered targets, and a track record of paying out make a difference, especially at the senior end of the market.

With the draconian bonus cap now a thing of the past, many banks are looking to reduce generous cash allowances given to MDs in addition to their base salaries and bonuses. 

Equity and Long-Term Incentives Are Under the Microscope

In PE-backed and high-growth environments, equity is a major draw — but expectations have matured. Candidates want clarity: how is the equity structured, when does it vest, what’s the exit horizon? Offers that lack detail or over-promise can erode trust. Transparency here builds credibility and reinforces long-term alignment. Decide on what you’re prepared to give away before meeting the first candidate and the clarity will pay off in the long run. 

Culture and Progression Still Influence Decisions

While compensation matters, candidates are increasingly looking at what comes next. Is there scope to progress? Will they be supported to grow? What’s the leadership style like? A competitive package might get a candidate to the table — but a clear path for development and influence is often what seals the deal.

In 2025, finance compensation is about more than numbers. It’s about structure, transparency, and alignment. The most successful firms are those who understand what candidates value, communicate it clearly, and offer a package that speaks not just to where the candidate is today — but where they want to go next.

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