Pros
-The only 'Pro' for 40|86 is the ability for young employees to advance within the company at a rapid pace. Due to the turnover problem that the company possesses (will be discussed later in the 'Cons'), open positions within the investment process are often filled with junior employees. This provides the opportunity to gain experience early on in your career.
Cons
KEY POINT: DO NOT RELOCATE FROM ANOTHER CITY TO WORK HERE, ESPECIALLY IF YOU HAVE A FAMILY. THERE ARE NO OTHER JOBS SIMILAR TO THIS IN THE INDIANAPOLIS AREA. -The Culture: 40|86 Advisors is an organization of roughly 80 employees, entirely dominated by a single individual. CIO Eric Johnson has created a 'culture' that is fear based. By constantly harassing individuals about their outward appearance, personal time/vacation, etc., Mr. Johnson makes it very clear that he is always watching what you do. Walking laps around the trading floor, while looking at employees screens only further enhances this fear of sticking out or making oneself know. Calling individuals 'soft', and nagging others employees that don't work enough hours, helps to encourage the culture. "Personal Development" is required of all employees (CFA, MBA, etc), and not progressing towards one of those distinctions has resulted in termination for some employees (Mr. Johnson has neither of these designations). -The Individuals: Because Mr. Johnson has created a fearful culture, the managers that report to him (department heads) behave as an extension of his bizarre behavior. Employees find it is almost impossible to receive a direct answers from their department heads, as they are unsure of how it will affect the mood/emotions of Mr. Johnson. Department heads are also in many meetings during the day with Mr. Johnson, making it extremely hard to make timely investment decisions. Relating back to the 'Culture of Fear', the department heads are concerned with falling into the bad graces of the CIO, which could have severe financial ramifications. -The Compensation: The junior and senior employees who are not department heads are not compensated in line with an asset manager of similar size. In order to keep these employees around, department heads resort to promising that 'next year will be better', or 'we'll make sure you're taken care of next year' regarding the company's raise and bonus structure. By making vague promises such as these, they attempt to motivate employees without actually producing tangible financial rewards. However, department heads have very little control regarding the compensation given to employees. Mr. Johnson personally appropriates the bonus pool to employees, and approves any raises to be given. Therefore, the individuals that get the most face time with Mr. Johnson, are disproportionally compensated. The end result is those individuals leaving for better opportunities, with roles being back filled by junior employees.