Starting a Financial Risk Management (FRM) career is a bold move, but it is also beneficial. As the Indian financial landscape evolves, there is a growing demand for skilful FRMs. If you want to earn a good FRM salary in India, it clearly indicates a continually growing awareness of the skills FRMs provide. If you are considering an FRM career, or are newly starting your FRM journey, you might be wondering how much FRM you can actually make? In this blog, we would like to pull back the curtain on the topics of FRM salary in India and empirically show how you can move from 0 to a six-figure income.
In this article, we will also discuss the salary expectancy of FRMs in India and how you can maximise the financial rewards of being an FRM. This guide will help any financial novice, aspiring FRM, or anyone interested in working in the financial sector to comprehend the FRM salary in India. So if you are ready, we will take you on a journey to understand the economic potential of building a career as an FRM in India.
Financial Salary Potential for a Certified FRM in India
The financial salary potential of being a Financial Risk Manager (FRM) in India is substantial. The FRM salary in India can vary by level of experience, size and type of organisation, the city in which you work, among other factors. Entry Level FRMs: At the start of your career, FRMs earn between 6 and 10 lakh rupees on an annual basis—of course, with FRM certification recognition increasing in India, that number is more likely to increase in the near future.
Mid-Career FRM: As the FRM gains more experience, the salary also increases significantly. A mid-level FRM (5-9 years of experience) can earn between 12 and 20 lakh rupees per year.
Senior Career FRM: A Senior (10+ years) FRM position and salary in India can eventually grow to an annual salary of 30 lakh.
The FRM certification certainly improves your financial potential. Below is the average FRM salary in India by experience level:
| Experience Level | Average FRM Salary in India (INR) |
|---|---|
| Entry-Level | 6-10 Lakhs |
| Mid-Level | 12-20 Lakhs |
| Senior-Level | 30+ Lakhs |
The FRM Salary in India highlights the importance and value of the FRM certification. It offers a lucrative career option while providing you with financial and professional development opportunities for those passionate about a financial risk management career.
The Progressive Benefits of the FRM Certification
Financial Risk Management (FRM) provides a uniquely rewarding career pathway in India. FRM salary paths are characterised by an emphatic ascending slope, starting at a modest amount that can quickly escalate into the six-figure range due to experience, abilities, and the distinction the designation carries.
- Entry-Level: The average starting salary of an FRM in India is generally about INR 6-8 Lakhs per year. This is mainly due to the excessive demand for FRMs and the solid knowledge base the certification provides.
- Mid-Level: Once you have a few years of experience, the FRM salary in India rises significantly. At this point in the profession, you can expect to make between INR 12-20 Lakhs per year.
- Senior-Level: Once you reach a decade or more of experience, you are deemed an expert in risk management. The FRM salary in India may increase drastically for this level, frequently exceeding INR 25 Lakhs per year.
Beyond the level of seniority, the FRM salary may continue to rise. Top professionals can expect a salary exceeding 1 crore per year.
This rising pay scale is evidence of the value of FrM certification in the Indian marketplace, with employers who are willing to invest significantly in professionals who can manage financial risk. This rise in pay for FRMs is also reflective of growing awareness of the importance of risk management in economic sectors.
While the FRM salary in India is excellent, it is essential to note that this potential is only realised through a commitment to work hard and continuing to be engaged in learning.
A Breakdown of the Research on the Financial Rewards of FRM Certification in India
One thing is sure: the financial industry offers numerous opportunities for those motivated to advance their careers, and FRM certification is a great way to access these opportunities. So, what are we talking about in terms of financial gain, specifically FRM salary in India after obtaining certification?
To answer this, we should first state that an FRM salary in India, as a general idea, hinges on experience and the type of company you work for. Here you go:
- Entry-level FRM position salary is typically in the range of INR 6-9 lakh
- Mid-Level FRM position salary (3-5 years) typically in the range of INR 10-15 lakh
- Senior Level FRM position salary (> 5 years) is typically over INR 20 lakh
This provides a rough idea of a salary range, but just as crucial to signal is that once you have some experience and seek out other professional learning opportunities and certifications, the FRM salary relationship to opportunity in India will only increase. On top of this, working within multinational firms and large Indian firms, you will often find salaries that cross the ones described above. Again, there is high demand for FRM professionals, and employers are willing to pay a premium for the FRM-certified professional.
To conclude, if you have an interest in finance and risk areas of practice in India, then the FRM certification can provide a rewarding career opportunity. Moreover, the FRM salary after obtaining certification is an outcome of the value and prestige of a globally recognised qualification.
The Lucrative Salary Pathway: Entry Compensation of an FRM Fresher in India
Often, the magnet which pulls you into the world of financial risk management is the entry salary of an FRM fresher in India. As an FRM professional, your salary will depend on your knowledge, capabilities, and the distinguished reputation of the FRM certification.
In India, an FRM fresher’s salary is generally between INR 6 lakhs and INR 9 lakhs per annum. This compensation package indicates that companies place a lot of emphasis on the FRM certification due to the specialised skills it brings.
Factors affecting FRM fresher’s salary:
- Company Size: Larger companies typically tend to pay more than smaller and medium-sized companies.
- Location: Most organisations that pay higher salaries are in metropolitan cities like Mumbai, Bangalore, and Delhi. This is because they have a larger and diverse number of financial institutions supporting their financial markets.
- Experience: Although we are referring to freshers here, with a few years of experience, it is possible to make quite a significant jump in salary.
Even at entry level, the FRM salary in India is handsome and competitive, and a career in financial risk management is a rewarding prospect for finance enthusiasts. Many opportunities will arise for increased wages, and as more experience and skill are obtained, more career opportunities will present themselves. The FRM qualification not only increases salary potential but also opens doors to a plethora of career opportunities in the vast financial sector. Keep in mind, the FRM salary landscape in India is about more than a friend’s initial salary; it is about the financial progression it can provide in the future.
How Earnings Progress: Navigating the Incomes of the FRM Salary in India
To understand the earning potential of a Financial Risk Manager (FRM) in India, it is essential to examine wages through a careful lens to see the importance of experience. As with any profession, an FRM’s salary growth will correlate with the amount of experience gained in the role since they became an FRM.
- Entry Level: New FRMs who recently received their certification should expect an initial salary in the range of INR 4-6 lakh per year. While some of these jobs might be entry-level or comparable positions, the amount reflects the industry’s respect for the higher standards and broad skill set of FRM certification programs.
- Mid Level: An FRM can expect these salaries to increase substantially with 5-10 years of active experience. By this point, an FRM salary in India would be expected to be in the pay scale between INR 12-20 lakh per year.
- Senior Level: 10-20 years of service as an FRM would equate to a significant salary jump to upwards of INR 30 lakh per year. At this point, their salary reflects their market share of knowledge and anticipated leadership roles. In the FrM sector of finance, the job duties of FRM employees combine into leadership positions.
We provided a brief overview of FRM salaries by experience level:
| Experience Level | Salary Range (INR) |
|---|---|
| Entry-Level | 4,00,000 – 6,00,000 |
| Mid-Level | 12,00,000 – 20,00,000 |
| Senior-Level | 30,00,000 and above |
So please keep in mind that the numbers are averages, and actual salaries will fluctuate based on factors such as employer size, sector, and a candidate’s role and responsibilities. Regardless, the data shows that an FRM certification is a wise investment with significant financial returns.
At Imarticus Learning, we are happy to provide the FRM Certification course, which is globally recognised and designed for finance professionals interested in improving their risk management skills. It provides a detailed understanding of the elements of financial risk management on market risk, credit risk, operational risk, and investment management. If you’re looking to advance your career or boost your earning potential, this course is for you. Importantly, the FRM Salary in India is particularly high against the market due to the demand for FRM Certified professionals.
Our course is well-aligned with our blog on quality education and career advancement, providing our readers with opportunities to expand their career and professional paths. Participating in the FRM Certification course is a crucial step towards achieving your career objectives in the finance industry.
Frequently Asked Questions:
- What is the average FRM Salary in India for entry-level professionals?
On average, an entry-level Financial Risk Manager (FRM) earns around INR 6-7 lakhs per annum in India. However, the FRM salary in India depends on various other factors too, such as the educational background, the company, and the region in India. Nevertheless, the FRM Salary in India as entry-level professionals pays quite well overall, and this indicates how much businesses value experts in risk management. - How does the FRM Salary in India progress with experience?
Once an FRM professional has developed experience in the profession, their salary possibilities will drastically increase. After 5-7 years of experience, FRMs will probably earn around INR 12-15 lakhs annually. After over 10 years of experience, these professionals can earn salaries upwards of INR 20 lakhs annually. The FRM Salary in India tends to increase proportionally to experience, and the more complex the position, the more the salary can potentially increase. - Does the type of employer impact the FRM Salary in India?
Yes, there is a substantial difference between employers. Larger organisations and multinational corporations pay a higher salary than small firms or start-ups. This is due to an increase in scale and complexity within risk management tasks, requiring a higher salary and overall compensation. - What role do certifications play in increasing FRM Salary in India?
While not every role pays equally in the finance profession, certifications play a significant role, and the same applies to being qualified in FRM. Gaining the FRM certification from a well-respected global authority can lead you to earn higher salaries than your non-certified counterparts. The FRM gives you a competitive advantage in the job market and validates your knowledge and skillset in financial risk management. Not surprisingly, certified FRMs earn a higher salary than non-certified FRMs in India. - Is the FRM Salary in India affected by the cost of living across cities?
Yes, the cost of living across different cities affects the FRM Salary in India. In general, professionals working in high-cost-of-living towns (such as Mumbai, Delhi, and Bangalore) tend to earn more than those living and working in lower-cost cities. But nevertheless, the salary is still higher, although one needs to factor in the increased living costs.
