GMAT Score Necessary for PE Recruiting?

Hi everyone, I have been visiting WSO for the last couple of years and will be joining the LevFin / M&A group of a middle market investment bank this summer as a first year analyst. My short term career goals are IB --> PE --> MBA --> PE.

I spent the free time before work prepping for the analyst stint and spending time with family, therefore I did not get a chance to take the GMAT. I am also from a non-target. Will PE recruiters ding me for not having a gmat score?

 
Best Response

PE firms don't hire you based on your ability to get into business school, so having a high gmat score in and of itself means absolutely nothing. So disagree with this response.

It does however help if you went to a non-target and/or have mediocre SAT scores for whatever reason. If you graduated from Texas A&M with a 3.6 GPA and got an 1100 on your SATs (whatever that means on today's scale)... having a 790 GMAT score would certainly nip in the bud any concern about your intellectual horsepower/caliber. You'd obviously still have to have an explanation for the 3.6 and 1100 SAT.

 

Headhunters / PE firms will require you to list your SAT scores on your resume. However, if you score well on the GMAT you can put that in lieu of your SAT score and most HHs and interviewers won't ask questions. So to answer your question, yes, it would be beneficial to take the GMAT especially if you scored subpar on the SAT. Others can chime in, but if you got below a 2000 (and you're serious about PE recruiting), I would highly recommend taking the GMAT. I scored a 2190 and still strongly considered taking it. Keep in mind you'll be recruiting against an abundance of BB/EB bankers who graduated from target schools with near perfect test scores/GPA. If you ultimately decide to take the GMAT, I would highly recommend doing it before training starts. Once training and work starts, it'll be very difficult to find enough time to be able to study with any continuity (speaking from first hand experience).

 
I_Like_To_Win:

This is strange to me also. So people actually list their SATs on their resume for recruiting out of undergrad? That test would have been taken 4+ years ago. And some firms actually require it to be listed?

im pretty sure they are wrong

I think if your having to list SATs out of undergrad then you are seriously short of stuff.

haha I should have listed my SATs lol when I was recruiting my senior year. missed a trick I guess.

but still confusing. I can understand listing it when you are graduating from college and looking for first job. understand it but barely and I am sure its not ideal

but the discussion here is PE 3-4 years out of college

 

SATs aren't relevant; what're you like 16 or 17 when you take them? The worst are the analyst resumes I see that list their private elementary schools. GMAT can help but not required... just get to the interview stage and do well. Why are you assuming you'll need an MBA unless the firm requires it? It's possible to bypass it at some places if you do a great job.

 

Almost every headhunter asks for SATs in the sheet for PE recruiting, and for PE firms it's one of the five or six items, along with school, GPA, firm and group, that is listed on the headhunter sheet used (along with resumes) to decide who gets interviews

 

While I agree with the sentiment, when you're assessing people on paper based on their resume and other stats, what you're looking for is a pattern of behavior that indicates a very high propensity to excel at the highest levels and in various arenas.

So between two top KKR Associates, one graduated from Andover at the top of his class, got a perfect SAT score, and then Princeton at the top of his class, all-american athlete, then Goldman, then KKR. And the other went to a Michigan, solid but not stellar SATs and UG GPA, then BAML, now KKR. They are both at the same exact place and hypothetically performing at the same exact level... but one demonstrates a pattern of behavior that would indicate he is -- atleast on paper -- the superior candidate. And the part of the recruiting process where SATs are looked at (if at all), is when candidates are being screened based on how they look on paper.

Its also the most universal and standardized means of comparison. Something you don't have much of when assessing candidates based on differences in where they went to school, whether they were high-level athletes/distracted, what their majors were, where they worked post-UG, etc.

 
wso_user:

Almost every headhunter asks for SATs in the sheet for PE recruiting, and for PE firms it's one of the five or six items, along with school, GPA, firm and group, that is listed on the headhunter sheet used (along with resumes) to decide who gets interviews

Even at the MBA level, I got asked about my SAT scores by pretty much every headhunters I spoke to. Outside of some MF and quant focused HF, I don't think people really care that much about test scores (acknowledging that getting the experience necessary to interview for these position will require high scores).

 

A 740 is in the 97th percentile - I think you should put it on. In my experience, most PE shops are looking for people who are winners at everything they do, and a great gmat score can only strengthen the package you bring to the table.

I will say, I put my GMAT score on my resume and was asked "why did you take the GMAT in college?". I had an answer so it wasn't a big deal (interviewer was more curious than looking for anything), but just make sure you can explain your thought process.

 

i know i would never work with anyone with less than a 750 on GMAT or with anyone who doesn't have national merit from high school

"The right to have children should be a marketable commodity, bought and traded by individuals but absolutely limited by the state."—Kenneth Boulding
 
corruptbargain:
im actually curious about this as well, all jokes aside. if it's over 700 is it worth putting on? could it be seen as a deterrent to a PE firm that doesn't utilize the pre-MBA associate approach?
Yes, a high GMAT certainly helps with PE recruiting. I personally wouldn't recommend putting a 700 score on your resume, but certainly 750+.
CompBanker’s Career Guidance Services: https://www.rossettiadvisors.com/
 

test scores probably matter more on buyside than they did for banking recruiting.

during one of my interviews with a megafund I actually saw that my interviewer had circled my sat score on the copy of my resume he had in front of him (i did very well)

 

test scores are important because employers know that colleges are using "holistic" admissions, landing tons of dumb kids into the best schools.

college name is no longer a good proxy for iq

"The right to have children should be a marketable commodity, bought and traded by individuals but absolutely limited by the state."—Kenneth Boulding
 
OnTheTrack:
test scores are important because employers know that colleges are using "holistic" admissions, landing tons of dumb kids into the best schools.

college name is no longer a good proxy for iq

Makes no sense. In that case college GPA from the best schools is still a better indicator than SAT score.

 
wso_user:

Could it hurt you for the hedge funds that are anti-MBA, because it shows that you are either considering or considered an MBA at one point?

this is a good question. no, don't include it. there's very little upside (a high gmat score won't get you the job) and potentially a ton of downside (you don't know how they feel about mbas)

 

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