What are the Big 4 trading firms?
The Big 4 are the four largest international accounting and professional
PwC is the largest by revenue and the most prestigious of the Big Four with a strong and established audit client base.
The Big Four are the four largest professional services networks in the world: Deloitte, EY, KPMG, and PwC. They are the four largest global accounting networks as measured by revenue.
History of the Big 4 accounting firms
In the late 1990s, the Big 6 became the Big 5 when Price Waterhouse merged with Coopers and Lybrand to form PricewaterhouseCoopers (later stylised as PwC). Five became four in 2001 after the insolvency of Arthur Andersen due to the firm's involvement in the Enron scandal.
These companies, as you may already know, are Deloitte, PwC, Ernst & Young, and KPMG. A staggering 100% of the Fortune 500 are audited by one of the Big 4 accounting firms.
Deloitte scored higher in 8 areas: Overall Rating, Culture & Values, Work-life balance, Senior Management, Compensation & Benefits, Career Opportunities, Recommend to a friend and Positive Business Outlook.
Typically, the Big 4 apply specific, predetermined tools to problems within defined subsets of the client company. This is very different from the Big 3 consulting firms, which employ more wide-ranging, free-form solution-finding processes and deal with the client company as a whole.
Klynveld Peat Marwick Goerdeler (KPMG)
Among the Big 4, KPMG is the oldest firm, with its earliest parent company founded in 1818.
PwC Work Culture
Ranked as the most prestigious accounting firm by Vault for seven straight years, PwC boasts the largest audit fees and biggest number of Fortune 100 audit clients.
The Big 4 accounting firms (Deloitte, PwC, EY, and KPMG) are the largest and most well-known accounting firms in the world. They have a global reach and a wide range of services, including audit, tax, consulting, and advisory services. BDO is a mid-tier accounting firm that is ranked 5th in the world.
Who is Deloitte owned by?
The international firm is a UK private company, limited by guarantee, supported by a network of independent legal entities. Deloitte provides audit, consulting, financial advisory, risk advisory, tax, and legal services with approximately 457,000 employees globally, and operates in over 150 countries.
The smallest of the Big Four by revenue is KPMG. The accounting firm has roots in the Netherlands, the United Kingdom, and the United States. Starting in 1815, the company grew via several mergers and acquisitions.
While the origin of the name KPMG is based on the abbreviation of the names of some of the principal founding members; Klynveld, Peat, Marwick, Goerdeler, today the name is simply 'KPMG'. When asked what it means we often simply say "business".
| Company | Sector | Market Cap (in USD) |
|---|---|---|
| #1 Microsoft | Technology | $3.1 trillion |
| #2 Apple | Technology | $2.68 trillion |
| #3 Nvidia | Technology | $2.21 trillion |
| #4 Saudi Aramco | Oil & Gas | $2.01 trillion |
Walmart has been the world's largest company by revenue since 2014. The list is limited to the largest 50 companies, all of which have annual revenues exceeding US$130 billion. This list is incomplete, as not all companies disclose their information to the media and/or general public.
Big Daddy Deloitte is one of the Big Four professional services firms that own the market on tax, audit, and advisory services. Within Big Daddy Deloitte, there are 4 business units – Tax, Audit, Financial Advisory, and Consulting. Each of these is a separate legal entity owned and managed by a partner group.
The top three of PwC's competitors in the Accounting And Tax Services category are EY with 29.66%, CCH Axcess with 3.17%, AndersenTax with 1.48% market share.
PwC is considered the most prestigious due to its position as the largest professional services firm in the world by revenue. Some key facts about PwC: Generates over $43 billion in annual revenue. Employs over 295,000 people across 157 countries.
Whether you joined a Big 4 as a springboard for your career or were set on making partner, we generally advise professionals to make a move around three to six years of experience, in order not to leave either too early or too far into their Big 4 career.
Why not choose Big 4?
While the higher salaries offered by a Big 4 firm are a huge benefit, they almost always translate into a longer working week for fee earners than if they worked in a Mid Tier Firm. This means long hours, working weekends, and zero social life.
PwC (PricewaterhouseCoopers) LLP
PwC is widely considered to be the world's most prestigious and progressive accounting firm.
We can estimate that based on job openings for students, Deloitte's acceptance rate is around 3.7% (which makes sense, considering it's also the biggest of the Big Four), based on 2,500 entry level job openings and 250,000 total applicants (which includes applicants to non-entry level roles).
This book focuses on the firms that make up of the Big Eight – Arthur Andersen; Arthur Young; Coopers & Lybrand; Deloitte Haskins & Sells; Ernst & Whitney; Peat, Marwick, Mitchell; Price Waterhouse; and Touche Ross.
Because of their reputation and reach across several industries, the Big Four are known to employ thousands of graduates every year. Despite this, competition for places in any of the firms is fierce and gruelling. Consequently, landing a job with one of the Big Four firms is sometimes viewed as a difficult task.
