Lateraling between PE firms
(Gorilla, 590
Points)
on 12/18/07 at 11:59pm
How common is it for someone to lateral between PE funds? A specific situation I am wondering about is this: What if someone were to start at a lower mid-market PE fund with $300mm-500mm under management either right after undergrad or 2 years after undergrad, they work at the lower mid-market fund for 2-3 years and go leave for an MBA. After an MBA, would they be able to get a VP job at a fund with $10bn+ under management?





There is a lot of lateral
There is a lot of lateral movement in PE. That said, competition is fierce for spots at the big funds (although analysts/associates from those funds often lateral to MM's as well).
Also, I think you would come in as an Associate after B-school.
re:
There is a lot of lateral movement in PE. That said, competition is fierce for spots at the big funds (although analysts/associates from those funds often lateral to MM's as well).
Also, I think you would come in as an Associate after B-school.
I thought that most people come in as VPs after B-School? Would it at least be a Senior Associate position? Comp after B-School at even a mid-market fund should run $400k+ all-in, correct? So a larger found shound be more in the 600 range?
Our freshly minted MBA
Our freshly minted MBA employees were all hired at the associate level and make less than 400K all-in and only MPs get a carry.
I am in a similar situation as the one described: graduated in 05' and just kicked off my 3rd year as an anlyst (consindering b-school matriculation 09' but only if I get into an M7). My group doesnt have an up and out policy and I have been asked to consider staying on long-term and foregoing b-school (at least for the time being). I will apply 1st round 08' and make my decision from there.
JBS, do the freshly minted
JBS, do the freshly minted MBA employees at your firm have prior PE experience? what pre-MBA experiences do they have?
Can you tell us a little more about your fund (size, sector focus)? I had the impression that PE funds do not hire fresh MBA candidates unless they had previous PE experience.
no I've met people that got
no I've met people that got post MBA PE jobs without pre MBA PE, even at bstone.
I asked a question in an earlier post about how hard it would be to go banking -> top HF -> MBA -> top PE just because I thought the variety might make for an interesting and broadening couple years, and I'll ask that again here. I know of lots of guys that have done large cap PE -> HF, but wonder how seriously a PE firm would look at someone who went to a really top HF like Och-Ziff/Maverick/Perry before Bschool when they could have done PE. Also, how much would this depend on what strategy the fund was?