Is it essential to work at a big name bank early on in your career? Not necessarily, say recruiters.

“Opinion is divided as to the benefits of working for a large versus a small organisation at the beginning of one's career,” says Stephen Small, director at headhunter Pelham Search Pacific.

While larger firms can provide more structured training, larger and more complicated deal experience plus a number of seniors to learn from, he says smaller firms can provide a more diversified role and a more personable level of interaction with colleagues.

Small says it’s largely down to personal preference but adds that structured training at the beginning of your career, as well as a larger brand on your CV, is never a bad thing.

Richie Holliday, managing director of recruiter Morgan McKinley Hong Kong, says that whilst landing a job with a big bank can show you have good interviewing skills and the minimum academics, it is not in itself a test of the individual in that role: “There are certainly some poor quality individuals working in big banks, so people should not rely on the name alone in judging your ability.”

One banker we spoke to believes it’s definitely better to work at a big-name bank early on: “You get better training across different fields and functions, more exposure to different people and companies faster, more responsibility faster and often better financial rewards.”

Typically, smaller houses don't pay as well as bigger banks, say headhunters. Small says market-leading niche players/boutiques can pay comparable salaries but that this is not the norm.

Banks that have performed well, particularly within equities in Hong Kong, have established a good reputation for rewarding their staff, says Holliday. However, he adds that it’s not always about money, with factors such as work-life balance, pensions, holiday allowances and flexible working often more important, especially if you don’t work in an area with a high bonus element.

Thomson Financial’s most recent league tables for corporate finance advisory work in Asia ex-Japan found UBS to have made the most from M&A in 2007, followed by Goldman and Morgan Stanley. However, according to Bloomberg, US brokerage regulators recently fined 19 firms, including Merrill Lynch, UBS and Lehman Brothers, for overstating trading volumes.