Interested in pursuing a IB/ High Finance role after undergrad. The idea of NYC/SF/CHI sounds nice because of exit opps, however I don’t think I’m willing to deal with the col in those cities. What are some other cities with great exit opps but a lower cost of living than those listed T1 cities?
| +200 | 2nd casualty of BofA, 25 yo credit trader | 64 | 6h | |
| +179 | Associates not checking my work and getting mad at me? | 35 | 2d | |
| Am I insane? (NEED ADVICE) | 63 | 3m | ||
| +96 | How Much Parental Assistance Do People Actually Have? | 34 | 57m | |
| +87 | Is it appropriate to take time off after a breakup? | 24 | 15m | |
| +86 | the new "email template" | 29 | 47m | |
| +66 | Analysts bitching on WSO | 16 | 1h | |
| +60 | Fitness vs Traditional Watches (in Office) | 40 | 4h | |
| +60 | Why are UK, UK based and UK-countries related (India, Nigeria...) students so cringe on LinkedIn? | 22 | 2h | |
| +51 | How is Northwestern? | 15 | 22h |
Career Resources
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
CHI shouldn't be grouped with NYC/SF in terms of cost of living
If you adjust for the quality of the housing, rent in CHI is easily 50% cheaper (ie. 6th floor pre-war walkup studio in NYC vs 1br 1b in a building <10 years old in CHI). Buying is 5x cheaper than NYC/SF even after factoring in the higher property tax in CHI
I'm not going to claim that CHI gives you the same exit opps as NYC/SF, but it is still a very strong city for high finance with hedge funds/quants/PE that are competitive against their NYC counterparts
If you're paid market rate say 100k+, Chicago is very affordable. NYC/SF are easily twice as much in terms of COL, obviously is wont be as cheap as Charlotte or Houston but you'll be comfortable.
Frankly, you could be make it work with even less at like 75-80k
Probably add Charlotte followed by Atlanta.
Out of Houston, ATL, or CLT, which would likely have the better exit opps?
Depends, Houston is heavily levered to the energy industry. Atlanta has a better buy side universe, but CLT in my opinion is better on the sell side.
Houston is a tier 1 banking city, probably 3rd to NYC or SF. Energy capital of the world. It’s not some bullshit satellite middle market coverage office like Goldman Atlanta or whatever
T1 cities are more likely to be NYC/SF/HOU than NYC/SF/CHI
Bank representation in Houston is greater than Chicago (if not greater then very close to equal). Every BB, EB, and MM bank has a group in Houston, not to mention there are a ton of Industry Specific Boutiques in Houston that absolutely kill it. Houston is obviously energy focused but it’s similar to SF being Tech focused.
If you aren’t sure of what group you want to settle in than I would go to NYC because of the variety of IB groups.
Again, Houston is Tier 1 in my opinion. A ton of people go onto MF PE, HF, Corp Dev, etc. out of Houston. Very low COL in Houston as well.
If you want Tier 2 then Atlanta and Charlotte have good IB groups and lower than NYC or SF COL.
If you wanna get pigeonholed into energy for the rest of your life then sure, Houston is great
CHI has industry coverage in IND, FIG, C&R, a little TMT, RX and it has a much more diverse corporate ecosystem and a better high finance scene -- umm/top quant/hf shops
but houston just doesn't give you the city experience that NYC/SF/CHI do--with all three cities you don't need a car, and everything is within subway reach
You won’t get pigeonholed if you get out after An or even As years. CHI has more coverage but energy definitely has more deal flow (at the moment).
Also, high finance is definitely not as strong in houston as chicago but I never made that argument. I was speaking only in IB terms and exits from Houston IB, not staying in Houston. When you see job listings for IB you find significantly more opportunities in Houston than Chicago from my experience. If you’re looking to go high finance route for the rest of your life then Houston isn’t it but if you’re looking for low COL and IB with good exit opps then Houston is number one in my opinion.
Friend of mine just did 2 years at a BB in Houston, saved nearly $275k and is now MF PE in a different city. This happens quite frequently out of Houston, I can’t say I’ve heard numbers like this out of Chicago.
Ok TX banker
Ok intern
I agree in terms of sophistication of work but it’s all energy focused with everything that entails. Chicago tends to be more middle market focused (not exclusively!) but broad industry experience.
Houston as a Tier 1 🤣🤣🤣
seriously wtf is this take lmao
is this a joke? If we are talking banking, Charlotte is ahead. If we are talking about influence/culture/wealth, LA is miles ahead of Houston.
What are the thoughts on ATL and Charlotte? What is CLT like in investment banking and does it have decent exits?
Washington D.C.?
dc is great, but it's def more expensive than Chicago
What are the exit opps like from DC? Into PE or VC from IB? Would like to live there more than ny or Chicago.
as someone from the area, not even close to NY/SF. You can get a super nice 1BR with great amenities for 2k and I've gone on plenty of nice $60 dates. Can you say that about NYC/SF?
How is boston?
You pay T1 prices for a T3 city
Minneapolis
Tier 2 prices for a Tier 5 city
T1 pay (higher if at the right shop) for T3 city with T3 prices
Great option. For people who aren't aware, Minneapolis has a ton of opportunity and you can live very, very well. Not really the "big city" you may be looking for, but for the right person the lifestyle is killer.
IB: Piper, HL (incl. RX), HW, Laz MM, BMO and several boutiques.
Investing: Castlelake, Varde, Whitebox, AB CarVal, and Norwest are the biggest. Probably dozens of spinoffs (varying size and quality) from these funds as well.
Misc: Tons of smaller funds (mostly credit-focused) and specialty finance firms that do fairly well in their niches. Corpdev at places like UHG or Cargill can also be great for the right person.
Piper is also moving into a brand new building in 2025 right next to Target Field in the North Loop area.
Crime has to be a consideration as well.
sure Chicago is cheaper but it has similar crime issues to NY / SF
CLT seems ok price wise but it’s boring.
would guess Dallas is better than CLT given no income tax - but smaller banking scene
would avoid ATL if you’re not from there
Why avoid ATL if not from there just wondering
Very frat and very SEC focused.
Charlotte is not great for exits but a great place if you want to be a career banker
Dallas doesnt have much banking but is a very strong T2 finance city FWIW.
Los Ang... oh, lower cost of living...
Tbf while LA is expensive, it's materially cheaper than NY or SF.
Honestly, I think Denver will continue to climb and become more of a true T2 city in the future. The only drawback is the increasing COL, but access to the mountains provides a unique benefit, especially for anyone interested in skiing/hiking. Just my two cents though.
Love the mountains. Colorado is awesome for both skiing and biking, depending on the season.
Chicago is the best
Boston?
2nd highest rent in the country. Definitely not cheap
Source? Would’ve thought it’s NYC / SF as pretty interchangeable (think NYC eked out as top rent cost in last year) so if anything boston would be going for 3rd+ most expensive rent / COL
Chicago is MCOL. The price is not the reason to not be there.
Little Rock
As far as cheap cities in IB, you're restricted to Chicago, Houston, Atlanta, Charlotte, and ClevelandIt comes down to what you like to do in your free time and what vibes you get from each city and if you feel like it suits you. Every city is just a place for the most part all it offers is drinking venues and different scenery. (Also different food and shopping)I'm not familiar with Atlanta, so I cannot speak to itCleveland has the lake and a mix of a Midwest/East Coast feel (definitely more Midwest! Comfortable and very cheap.Houston is massive, fun, and cheap but energy focused.Charlotte is a city of bankers. Think of it as a little banker outpost. Personally not a fan of it at all. Landlocked oasis in trees Doesn't feel like there's anything special about it. And I like trees.Chicago is interesting, it is expensive in the city of course but there are options to make it cheaper. You'll still need a car for the most part while you wouldn't in NYC, and that can make the prices near New York level. For the cheaper options you will have a 30-45 minute commute probably to the loop. (wrigleyville) and at that same logic you could live in Jersey or deep queens In NYC (but no one wants to do that understandably). Chicago is a nice city but very Midwest, feels large. And midwestern more so than Cleveland despite being an internationalesque city. Has a weird vibe to it. Winters are brutal.
?
Dude, Cleveland? Do you mean Pittsburgh? Cleveland has nothing east coast about it. And I don’t even mean that in a bad way. It’s pure Midwest.
Opinions on SLC? I know GS has a large office there.
They winded down the IB group some years back. It’s just MO/BO now.
Autem ut at sit minima rerum. Quia voluptatem et magnam voluptas porro voluptatem nisi. Ullam et fugiat incidunt saepe atque aperiam cupiditate. Voluptas sequi sint alias aut tempore doloribus delectus. Deleniti ab incidunt et laboriosam. Velit deserunt architecto cupiditate tempore qui veritatis dicta.
Dolorum praesentium ut accusantium quia quam repudiandae. Est voluptates voluptatum et et vel. At occaecati vel sed rem. Iure ut et et est ipsa consequatur voluptate. Deserunt sed hic dolorem est sapiente hic pariatur veritatis.
Ut eum quidem sint est ducimus quo repellat. Reprehenderit quasi omnis iure est. Id dicta velit sequi ipsam. Dolorem eum recusandae nesciunt aut non est adipisci aliquam.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...
Fuga qui omnis numquam ut dolores. Quaerat voluptatibus dolores at eum laboriosam quia et. Repellat aut et exercitationem ipsum. Magnam amet alias fugiat sed hic incidunt unde. Voluptatum dolores omnis officia maiores. Iusto dolorem tenetur sapiente.
Natus voluptatem eveniet enim inventore ab eos. Eius reprehenderit accusantium et quaerat beatae voluptates. Qui repellendus laborum consequatur. Vel praesentium qui iure vel id iste. Laborum eveniet aut quae sequi voluptate laborum.
Iste quam sit cumque. Dolorum aut molestias esse sed sit distinctio sed. Odio et labore vel aut vitae. Nam recusandae nulla necessitatibus quia sint sint totam.
Suscipit rerum at omnis at odio. Impedit eum quo modi quod. Nihil sint quas dolor molestias eligendi ut. Praesentium aut repellendus at earum tempora debitis voluptatem. Illum voluptatem quasi nulla dolorum non non voluptatem.
Sequi aut quos vel soluta dolore molestias dolorem. Magni ut voluptate autem et. Voluptatem et quasi suscipit consequuntur accusamus.