Over at Poets & Quants, author John A. Byme details the heart-wrenching break up of Harvard Business School and Wall St. It wasn't long ago that HBS was cranking out financial industry professional after financial industry professional, as noted by Byme:
Just before the collapse of such venerable Wall Street names as and Lehman Brothers, the financial sector hired a whopping 45% of all the MBAs Harvard could produce.
Whopping indeed! But, alas, much like Romeo & Juliet, Othello & Desdemona, and Antony & Cleopatra, the love affair was so intense that someone had to go and commit suicide.
This year, only 27% of Harvard’s Class of 2013 ventured into financial services, the lowest percentage of grads in memory, according to a recently released preliminary employment report.
However, the question remains, who broke up with whom? I think we can all agree: it's never mutual.
Luckily, Byme gives us some insight in to who was the one to say, "look, we need to talk":
It’s as if Harvard Business School has walked away from Wall Street. Some of the biggest declines have occurred in investment banking and investment management as well as and leveraged buyouts, the latter of which paid the highest starting salaries this year. Only 5% of Harvard’s Class of 2013 went into investment banking, down from 10% in 2011. Only 5% landed jobs with investment management firms, down from 12% in 2011. And this year, 9% of Harvard’s MBAs went into PE and firms, down from 15% last year. Venture capital, which took 4% of the graduating MBAs from Harvard back in 2008, is now down to hiring just 1% of the class.
For those of you pondering an MBA, this is pretty important. At first look, this appears to be a situation where HBS broke up with Wall St. with a text message. But, upon further inspection, it looks far more familiar to the common college relationship, where after you initially break up, you continue hooking up periodically for a while thereafter.
So, "why now?" you may be asking. Well, like many college relationships, it appears that after HBS initially broke up with Wall St. back in 2009, they started seeing someone else. Consultants.
I know it's tough when someone you love moves on, but don't worry Wall St., Wharton still loves you!