TPG Updated Views
Hey all, second year going to TPG/software this year and looking for some updated views on the firms.
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what is comp/exits/b school looking like nowadays? Seems like tpg has historically had strong b school exits but unsure how that’s changed over past years
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What is the culture? Expect it be sweaty but curious how it is compared to other MFs
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Purely for my own curiosity, How would you compare this to other MF opps? Felt that software was an opp I couldn’t turn down but very curious on how it is viewed to other funds (Carlyle Bain HF silver lake etc.)
thanks!
Curious as well
Curious
Congrats on the offer - killer stuff. For others perusing this thread, if you have an offer at TPG, you do not turn it down. Full stop. I would probably become celibate for my IB analyst years for an associate position in one of their top groups (hc, consumer to a lesser extent).
From speaking with people there, the culture seemed pretty solid and the hours were in line / slightly less than typical MF.
Not gonna compare to other MFs because you won't be in that position. Business school, hf, etc exits are all MF-level (that's to say extremely good lol) and again, I am willing to be celibate to put that shit on my resume.
Agreed. However, hours at the top groups are terrible (not saying which one to be anon). My friend constantly pulls all nighters when on a live deal. I was visiting her once and she slept maybe 10 hours in a whole work week
At peer MF - that's definitely not normal. Either culture sucks or your friend is very slow. Normal to work 80-90+ a week if a live deal but PE hours are generally much less than banking. There's much more thinking involved rather than pure execution (unless you're a 1Y associate), so it's actually quite difficult to do your job without being in a decent mental state.
On TPG - they are one of the OG most recognizable MFs. Returns have done down and corporate private equity is less their bread and butter given they have all these new funds (climate etc). Still a great place to get training as an associate and a great brand name, but not a place for a long term career in private equity. Also one of the statistically easiest places to get an offer at if you're just solving for MF. 20 seats + SF (which means less competition). Compare that vs a KKR NYC corporate private equity that has 5 seats and everyone and their mother vying for those.
In private equity, most of your wealth is tied to carry. Now if you're a public firm like TPG, around 50% goes to the house (ie public shareholders), and you add to poor returns (look at their fundraising - $14bn private equity fund is in line with Leonard Green, Veritas, Genstar, all of which have better returns and 60%+ fewer investment professionals), it becomes clear why the economics don't work well. B school placement year has not been good with less than half of associates getting H/S (though this is pretty in line with other MFS). Historically one of the best placing firms for b-school.
This is the associate experience at my comparable firm
Healthcare I'll give you. Consumer? What are you talking about. They've been terrible at consumer for years.
Agree. Biz services team doesn't really exist anymore from my peers there. Healthcare team top notch.
Understand that hc has a sidecar fund and tpg has strong history in the space, but any other reasons that the hc group differentiates itself from other groups? Interested bc I’m joining software which I understand to be a strong group too
have heard TPG HC is absolutely brutal in terms of culture…
do you know if this is referencing brutal hours / tons of work or the people themselves
Both. The hours are bad and then leadership is really demanding so VPs demand a ton of extra work to impress the partners.
The CFO of my portco (TPG was in the process but lost) mentioned that TPG walked through a 100+ page pack of various cuts from the VDR during diligence.
Also have heard you still do a ton of work even when you’re not on a live deal and several people I know mention it’s not uncommon to not take any PTO during your time there
I don’t understand these periodic threads asking for the latest update on the top MFs
I guess I see the value if you have an offer from TPG and like LGP and trying to decide and want to solicit views incremental to those from your network, but it just sounds weird like the guy the other month who was like “starting to really respect WCAS in healthcare,” no way dude I bet that means a lot to them
I generally appreciate the sentiment here but there are moves being made even at the MF level that are harder to suss out from public or old info that are interesting to keep tabs on. B-school placement (and its degradation over the years, worse at some places than others) is an obvious one. Other things also are interesting to suss out like culture (THL improving, for example, or Platinum / Gores being shitshows), organizational changes (CD&R verticalizing, Carlyle downsizing not being limited to consumer), investment strategy (Veritas staying with its "concentrated bets"), class size changes, and performance (Clearlake marks being awful / debt trading poorly). On balance, I'd rather have this info with slight overkill on "2023-4 update" threads than not have the info at all.
I agree with that
At peer and have partnered with them on few potential deals.
SET is sweaty and culture is bad. Associates consistently complained during sprints about their experience. Long hours consistently irrespective of live deal or not. Mid level team is highly stressed and consistently trying to add value to team (similar to banking) just to try to differentiate themselves.
Associates consistently working even after live deals so no breaks in between.
Comp is 300-350k I believe, in line with others.
Good luck.
Interesting other perspectives in this thread, but I think bschool exits are still strong for those that want it given the high concentration of H/S alumni at the senior level (partners in funds want to help you land bschool if you want it).
As with anywhere, culture is group dependent. Some sweatier groups, some chiller groups. Will say that I think the SF culture means it’s generally slightly more chill than NY-based firms (like a little less buttoned up). Comp is street ($350kish asso1, $400ish asso2), benefits are phenomenal (rides to and from office, lunch paid for, bonus 401k match). Anecdotally my experience has been significantly better than friends at other MF (better hours, benefits, etc.).
Any update on Growth? Heard WLB is much better in growth but would appreciate any insights here
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