The times are good for mutual fund portfolio managers. The group has seen its compensation jump 34 percent over the past two years according to a new Russell Reynolds and CFA Institute joint survey.

Total pay for portfolio managers hit $390,000 last year, according to the executive recruiting firm and trade group. That is up from $291,000 two years ago.

The two-year increase roughly matches the 30 percent gain in the Dow Jones Industrial Average and 28 percent gain in all mutual fund assets over the same period.

It also makes mutual fund portfolio managers more highly compensated than their counterparts in the hedge fund industry, according to the report. Hedge fund managers earned a median pay of $330,000.

The date was collected through an email survey of more than 10,600 CFA Institute members in February and March. It includes 2005 base salary and bonuses, including noncash compensation such as stock options. Bonus pay accounted for 45 percent of the median compensation.

Stock fund managers continue to out earn fixed income managers. The median pay for equity jockeys was $460,000, a 48 percent gain from 2003, but still short of the $481,500 earned by the median manager in 2001.

Meanwhile, pay for bond managers hit a new peak at $340,000, a gain of 30 percent from 2003. Foreign bond fund managers earned a 92 percent increase to a median $460,000.  

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