20 Highest Paid CEOs in the US and Their College Degrees
In this article, we will look at the 20 highest paid CEOs in the US and their college degrees. We have also discussed the relevance of college degrees with CEOs. If you want to skip our detailed analysis, head straight to the 5 Highest Paid CEOs in the US and Their College Degrees.
In a dataset of 2,600 CEOs, 8% lacked a college degree, a surprising finding given the rising demand for academic qualifications in the job market. Currently, one-third of positions that previously mandated only a high-school diploma now require a four-year college degree, with one in four roles that once sought a bachelor’s degree now demanding a master’s. Concurrently, 75% of Americans perceive higher education as financially unattainable.
CEOs without degrees get to leadership roles through different avenues. Firstly, many arose from within their respective industries or companies, possessing specialized knowledge and extensive experience in their niche domains. Secondly, they demonstrate exceptional performance, particularly prevalent in sectors like sales where achievements are quantifiable and conspicuous. Lastly, they excel in assembling talented teams, relying on their insights and expertise to drive success.
The relationship between undergraduate degrees and CEO success varies across industries. While tech sectors often require specialized education, other industries show a broader range of educational backgrounds among CEOs. The significance of pursuing a BA, BS, or BBA in attaining CEO positions remains unclear beyond industry-specific norms.
In analyzing the educational backgrounds of Fortune 100 CEOs, it's evident that undergraduate degrees play an important role in shaping career trajectories. The most common degrees among CEOs are Bachelor of Arts (BA) and Bachelor of Business Administration (BBA), with 53% holding one of these degrees, while 47% have Bachelor of Science (BS) degrees. Notably, 45% of those with BS degrees pursued business-related fields rather than traditional science or engineering disciplines.
It is also worth highlighting that among the 2023 Fortune 100 CEOs, merely 11.8% obtained undergraduate degrees from Ivy League schools, with even fewer holding Ivy League MBAs. The success stories of CEOs like Doug McMillon of Walmart, who graduated from the University of Arkansas, confirm the value of performance over prestige in the corporate world. Furthermore, the prevalence of CEOs from public universities, such as Tim Cook of Apple Inc (NASDSAQ:AAPL) and Warren Buffett of Berkshire Hathaway, highlights the accessibility of success beyond Ivy League corridors.
Nevertheless, tech industry CEOs predominantly hold undergraduate degrees directly related to engineering. Examples include Tim Cook's degree in industrial engineering and Larry Page's in computer engineering. However, exceptions exist, such as CEOs like Lloyd Blankfein of Goldman Sachs and Brian Moynihan of Bank of America, who hold degrees in history despite leading financial institutions.
Speaking of Goldman Sachs Group Inc (NYSE:GS) and Bank of America (NYSE:BAC), let’s look at their latest financial performance.
In the annual report for the year 2023, Goldman Sachs Group Inc (NYSE:GS) demonstrated strong financial performance across its business segments. The firm's Global Banking & Markets segment retained its leadership, achieving milestones such as maintaining the top rank in advisory net revenues for the 21st consecutive year and securing prominent positions in equity and debt underwriting. Additionally, Goldman Sachs Group Inc (NYSE:GS) excelled in Equities and FICC, achieving its second-highest net revenue year since 2010. This performance translated into tangible growth, with financing revenues across FICC and Equities witnessing a 15% compounded annual growth rate since 2019, reaching nearly $8 billion in 2023.
For investors, Goldman Sachs Group Inc (NYSE:GS) showcased impressive returns over the past five years. Book value per share increased by approximately 50 percent, outperforming peers, while the stock price increased by around 130 percent, compared to an average of approximately 60 percent among peers. Furthermore, the quarterly dividend more than tripled during this period. Looking ahead to the first quarter of 2024 and beyond, Goldman Sachs Group Inc (NYSE:GS) remains focused on key priorities outlined by its leadership, including serving clients with excellence, being an employer of choice, and delivering strong shareholder returns.
On the other hand, in the fourth quarter of 2024, Bank of America Corp (NYSE:BAC) faced a downturn in profits, primarily due to $3.7 billion in one-time charges and a decline in interest income as it invested more to retain customer deposits. Despite this setback, Bank of America Corp (NYSE:BAC) executives remain optimistic about the US economic landscape, highlighting consumer resilience.
The financial performance of Bank of America Corp (NYSE:BAC) garnered mixed reactions from analysts. While the bank managed to exceed estimates by reporting a profit of 70 cents per share, excluding one-off charges, some analysts noted its underperformance compared to peers like JPMorgan Chase & Co (NYSE:JPM). Despite challenges in this domain, Bank of America Corp (NYSE:BAC) exhibited strength in other areas, such as trading and investment banking.
Looking ahead, Bank of America Corp (NYSE:BAC) anticipates modest growth in loans, expecting a low-to-mid single-digit percentage increase in 2024. However, the bank foresees continued challenges in net interest income, projecting a decline in the first and second quarters before a potential recovery in the latter half of the year.
A successful CEO in a modern office with a sweeping view of the financial district.
Our Methodology
To list the highest paid CEOs in the US, we relied on data compiled by the AFL-CIO Executive paywatch about annual compensation of CEOs in the US. We then looked at the individual profiles of these CEO’s through their business websites or official linkedin to identify their college degrees. Please note that we excluded two names from our list i.e, Austin Russell and Tomer Weingarten. Austin Russell was a college drop out and Tomer Weingarten didn’t attend college after high school.
Please note that Elon Musk was not in the original list by AFL-CIO, probably because Musk doesn't have a traditional salary and his salary is often tied with Tesla Inc (NASDAQ:TSLA)'s financial performance. However, we have added Musk to the list, given his consistently high compensation packages which have also sparked debates recently.
By the way, Insider Monkey is an investing website that uses a consensus approach to identify the best stock picks of more than 900 hedge funds investing in US stocks. The website tracks the movement of corporate insiders and hedge funds. Our top 10 consensus stock picks of hedge funds outperformed the S&P 500 stock index by more than 140 percentage points over the last 10 years (see the details here). So, if you are looking for the best stock picks to buy, you can benefit from the wisdom of hedge funds and corporate insiders.
20. David Epstein
College Degree: Pharmacy
David assumed the role of CEO at Seagen in 2022, capitalizing on his 30+ years of global expertise in drug development and leadership. Under his guidance, Seagen's cancer drug portfolio flourished, emphasizing R&D and global expansion. Previously, David held executive roles at Flagship Pioneering and Novartis AG (NYSE:NVS).
19. Hock Tan
College Degree: Mechanical Engineering
Tan Hock is a Malaysian-American CEO of Broadcom Inc (NASDAQ:AVGO). He graduated from MIT in 1975 with a bachelor's degree in mechanical engineering and later earned a master's degree in the same field. He also pursued an MBA at Harvard University. Tan's career has justified a perfect blend of engineering expertise and business acumen.
18. Thomas Shanon
College Degree: International Relations
Thomas F. Shannon, founder of Bowlero Corp (NYSE:BOWL) is a seasoned business leader with a distinguished career. Currently serving as Chairman & CEO of Bowlero Corp. and its New York division, he also holds key positions in subsidiary companies including AMF Bowling Worldwide, Inc., AMF Bowling Centers, Inc., and Strike Holdings LLC. With an extensive background in the industry, Shannon has driven significant growth and innovation. He earned his undergraduate degree from American University and an MBA from the University of Virginia Darden School of Business.
17. Peter Anevski
College Degree: Accounting and Finance
Pete, CEO of Progyny, Inc (NASDAQ:PGNY) has over 20 years of leadership in healthcare, with a strong focus on improving access to fertility and family building benefits. Committed to realizing individuals' parenthood dreams, he collaborates with top employers to offer comprehensive, inclusive, and managed fertility benefits. His tenure as WebMD's CFO confirms his financial acumen and strategic vision. Pete's $68,580,072 salary in 2022 also speak volumes about his invaluable contributions to Progyny, Inc (NASDAQ:PGNY)’s growth and mission.
16. Peter Zaffino
College Degree: Economics
Peter Zaffino, an insurance industry executive, graduated with a BA in economics from Boston College and earned an MBA in finance from NYU's Leonard N. Stern School of Business. He also holds CPCU and Associate in Reinsurance designations. Serving as Chairman and CEO of American International Group, Inc (NYSE:AIG), Zaffino's had an annual salary of $75,314,199 in 2022.
15. Eric Yuan
College Degree: Applied Mathematics
Eric S. Yuan, a Chinese-American billionaire businessman and engineer, is the CEO and founder of Zoom Video Communications, Inc (NASDAQ:ZM) holding a 22% ownership stake. With an annual salary of $75,959,683 in 2023, he exemplifies success in the tech industry. Yuan's educational background includes a bachelor's degree in applied mathematics from Shandong University of Science and Technology and a master's degree in geological engineering from China University of Mining and Technology in Beijing. He further honed his skills through a Stanford University executive program in 2006.
14. Joseph Bae
College Degree: Economics
Joseph Y. Bae, co-CEO of KKR & Co Inc (NYSE:KKR) alongside Scott Nuttall since fall 2021, played a pertinent role in KKR's Asian expansion after joining in 1996 from Goldman Sachs Group Inc (NYSE:GS). Graduating from Harvard College, Bae, with his wife Janice Y. K. Lee, donated $45 million for Harvard's Asian American studies program in 2021. Additionally, he co-founded The Asian American Foundation in the same year.
In 2022, Bae was paid an annual salary of 79,999,836 as the CEO of KKR & Co Inc (NYSE:KKR).
13. Allan Thygesen
College Degree: Economics
Allan Thygesen is the current CEO of DocuSign, Inc (NASDAQ:DOCU) He formerly served as President, Americas at Google. A graduate of Stanford University Graduate School of Business, Thygesen had an annual salary of $85,035,380 in 2023.
12. Tim Cook
College Degree: Industrial Engineering
Timothy Donald Cook is the current CEO of Apple Inc (NASDAQ:AAPL). He became CEO after working closely with CEO of Apple Inc (NASDAQ:AAPL)’s co-founder, Steve Jobs. Cook started at CEO of Apple Inc (NASDAQ:AAPL) in 1998 and moved up to become a top executive. He studied industrial engineering at Auburn University and got an MBA from Duke University. In 2022, Cook earned $99,420,097 as CEO of CEO of Apple Inc (NASDAQ:AAPL).
11. Aneel Bhusri
College Degree: Electrical Engineering
Aneel Bhusri is an American business executive who serves as the CEO of Workday and is a partner at Greylock Partners. Formerly a member of Intel's board of directors from 2014 to 2019, Bhusri has been a billionaire since 2014, with a net worth of $3.1 billion as of 2021. Educated at Brown University with a Bachelor of Science degree in electrical engineering, he later earned an MBA from Stanford Graduate School of Business.
10. Kiwi Camara
College Degree: Computer Science
Kiwi Camara, CEO of CS Disco, Inc (NYSE:LAW), graduated summa cum laude with a Bachelor's degree in Computer Science from Hawaii Pacific University. He completed his degree in two years and received recognition for his outstanding academic performance. In 2022, Camara earned an annual salary of $109,531,440.
9. Bill Ready
College Degree: Information Science
In our top 10 highest paid CEOs in the US and their college degrees list, Bill Ready is ranked 8th. He is the current CEO of Pinterest, Inc (NYSE:PINS). He previously worked at Alphabet Inc (NASDAQ:GOOG) as President of Commerce. Ready attended Harvard Business School, and in 2022, he earned an annual salary of $122,651,735.
8. Douglas Ingram
College Degree: Psychology
Douglas S. Ingram, President and CEO of Sarepta Therapeutics, Inc (NASDAQ:SRPT) since 2017, is committed to the growth and development of precision genetic medicine for rare diseases. Holding a JD from the University of Arizona and a BS from Arizona State University, Ingram's mission-driven approach seeks to revolutionize treatments.
7. Micheal Rapino
College Degree: Business Administration
Michael Rapino, CEO and President of Live Nation Entertainment, Inc (NYSE:LYV), holds a Bachelor of Business Administration degree from Lakehead University since 1989. In 2022, his annual salary as CEO of Live Nation Entertainment, Inc (NYSE:LYV) amounted to $139,005,565.
6. Nikesh Arora
College Degree: Electrical Engineering
Nikesh Arora, an Indian-American business executive, formerly held senior positions at Google and served as president of SoftBank Group from October 2014 to June 2016. Graduating from the Indian Institute of Technology, BHU in Varanasi, he earned a Bachelor's degree in Electrical Engineering in 1989. Arora furthered his education with an M.S. degree in Finance from Boston College and an MS in Business Administration from Northeastern University. He has held the CFA designation since 1999. On June 1, 2018, Arora assumed the role of CEO and chairman at Palo Alto Networks with an annual salary of $151,425,203 as of 2023.
Click here to see the 5 Highest Paid CEOs in the US and Their College Degrees.
Suggested Articles:
Disclosure: None. 20 Highest Paid CEOs in the US and Their College Degrees is originally published on Insider Monkey.