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PE
 

Exit Opps: No name boutique with well connected MD's

Plastic Cup Boys's picture
(Baboon, 139
 
Points)
 on 5/3/13 at 4:09am

What are your thoughts on exit opps (PE / VC / Corp Dev / HF) for an analyst at a no name boutique with well connected MD's? Not a complete no-name but one that has a recognizable brand in the niche market it focuses in. Does anyone have personal experience successfully jumping to a legit buy-side firm from a lesser-known boutique?

How hard is it to get interviews in such a case? Even if the analyst were to get interviews, will he / she be at a big disadvantage compared to a peer who is at a BB / MM / elite boutique, assuming both candidates have the same amount of knowledge? How much weight is put on the name of the firm?

Tried the search function, but didn't have much luck. Thanks in advance.

Lateralling from a BB

Eli20's picture
O
(Monkey, 32
 
Points)
 on 5/2/13 at 4:26am

How hard is it to lateral after one's first year at a BB to a better bank (BB or EB), in a different (better) group? Or lateral within a bank to a better group? When I say better, I mean a group with more headhunter attention and greater optionality for exit opps.

Move from boutique PE to top tier BB

kath123's picture
IB
 
Points)
 on 4/24/13 at 3:41am

Hi guys, has anyone ever done the above?

I have an interview coming up at top tier BB (MS/JP/GS) (natural resources team) and they are looking to hire someone from the buyside.

Quick background - did internship in BB (generalist role), full time offer in a boutique PE after undegrad covering coal industry for a specific country market for 2 years and now considering moving back to BB.

Reason: disillusioned by PE - screened tons of deals in 2 years but only closed 1 deal. Attracted to BB due to higher deal traction in Asia + coal sector is bearish.

I wanted to see what you guys think of my response to 'why apply to us?' question

JMI Equity

Lame Duck Analyst's picture
(Monkey, 34
 
Points)
 on 4/17/13 at 10:05am

Was wondering if anyone on this forum had any insight into JMI Equity. It is a $2b growth equity firm with offices in Baltimore and La Jolla. I was curious what a pre-MBA associate's experience there is like, whether it is an entirely sourcing focused role, and how business schools / post-MBA opportunities view the firm. Any insight is much appreciated.

KKR Menlo Park

nutsaboutWS's picture
IB
(Gorilla, 642
 
Points)
 on 4/11/13 at 4:06pm

Wanted to get info on hours, culture, deal flow, sector focus, etc. thanks guys.

Internship plans dilemma....renege?

investmentpimp's picture
(Monkey, 37
 
Points)
 on 4/10/13 at 3:38pm

Hi,

I am a sophomore at a semi target w/ 3.7+ wanting to do IB and here's the dilemma I'm in. At the start of this semester I had no offers for summer, I had multiple chances during my first semester but I'm a terrible interviewer and got nada. To give you an idea of my interviewing skills well I had a ib interview, 2 PE, an interview with a boutique PWM and 2 with BB PWM and couldn't get any, a joke right?

However, I got my story down and was able to land a NYMEX internship (business dev) and had verbally accepted the offer. The offer is for part time this semester and full time summer. I was still interviewing after I accepted the offer and actually got a PE internship for this semester.

PE shop in Newport Beach

monkeyfest's picture
(Monkey, 40
 
Points)
 on 4/3/13 at 10:40pm

Hi fellow Westcoasters,

Can you guys think of a PE shop with AUM close to 35 billion in Orange County? Most likely Newport?

Soph PE Internship

MyronGPA's picture
 
Points)
 on 4/3/13 at 9:41pm

Hey guys,

I'm a soph at a Target currently doing a PE gig this semester at school. I'm interested in IB and Consulting. In case I can't get a boutique/MM IB internship whats a good internship that I should be looking for this summer? I have an interview with a BB in PWM soon and can probably secure that but it seems like PE -> PWM is going backwards.

How Much Do ALM Analysts Make?

John Daggett's picture
 
Points)
 on 3/25/13 at 12:48am

How much do they make relative to PE analyst? Is it comparable on a per hour rate?

PE Interview Questions

MBA_Junkie's picture
(Chimp, 14
 
Points)
 on 3/23/13 at 11:20am

Got asked this question in a PE interview for an Associate position. 'wondering how people on this forum might have answered it.

You are an associate supervising an analyst who builds a model and brings it to you for review. What are the 5 most important things you would look at to ensure that the model is correct/accurate/consistent?

Private Equity vs Hedge Funds: 4 Key Differences

alpha mail's picture
IB
(Baboon, 168
 
Points)
 on 4/10/13 at 4:30pm
PE VS HF.png

Mod note: This comment was originally posted in
HF vs. PE for Pre-MBA Associate and we wanted to share this great post on the differences between the two routes to those who missed it. Click here to see more top rated comments.

Full disclosure, I'm biased to the HF path, but have friends at top PE shops. First things first, PE and HF are two fundamentally different career paths. Yes, they're both buyside gigs and both pay extremely well. However, it's the differences you'll have to pay attention to.

1. I would say HF is less modeling intensive than PE just BC at the top PE funds you're only going to be modeling as a pre-MBA associate, whereas at a top HF (fundamental value / long-short equity) you'll be doing some modeling to support an investment thesis but you'll also be screening for ideas, crafting the thesis, and defending it with valuation models, et al. Obviously this a blanket statement and realistically the real answer is that it depends on the shop.

At the top non-sourcing PE shops, dealflow is going to be driven primarily by bankers and the rolodex of your operating advisors and senior professionals. This means that as an associate you're going to primarily do LBO modeling with little work on the sourcing side and little work on the post-acquisition operations side. This is great because it'll make you extremely comfortable with modeling down to a very granular level and it'll help you understand swappable cap structures and HY debt. As mentioned in some other threads, megafund PE is very much banking 2.0.

PE Interview Question - Etiquette

Ronburgundy229's picture
(Chimp, 2
 
Points)
 on 3/18/13 at 2:15pm

Hey guys. Question regarding best practices here. I'm targeting a medium sized city and shooting for an Associate role at a smaller middle market type shop. My background is slightly non traditional but my aggressive networking efforts have been garnering decent response. So here is my situation: I have been talking to several firms and one just offered me to come out and do an on site (I live in another state). I'm thinking if I am gonna miss one day from my current role, I mine as well just miss two and try to get some face time with these other groups. Is it rude or considered a snub to politely inform the firm that was going to pay for my travel accommodations that the requested site visit day works out perfect with my schedule as I'll already be in the area the day prior?

Capital South Partners

Brotannical's picture
(Monkey, 38
 
Points)
 on 3/18/13 at 1:02pm

Can anybody tell me anything about them? Good reputation? Decent comp?

A thousand thank yous

Milestone Partners

Lame Duck Analyst's picture
(Monkey, 34
 
Points)
 on 3/9/13 at 3:29pm

Has anyone heard of Milestone Partners in Philadelphia, PA? If anyone has any experience interviewing with them, what was the experience like? Any insight on the firms reputation, culture, pay, hours, etc. would be greatly appreciated. Thank you in advance for your help.

PE Case Question -- PIK Preferred and Seller Note (And Returns)

jn525's picture
(Chimp, 10
 
Points)
 on 3/4/13 at 3:32pm

Got a sample PE case from a friend of mine and had a couple of questions.

The case is laid out as a majority recap financed with:

Senior bank debt,
Sponsor participating preferred with both PIK and cash annual dividends (80% common equity ownership)
Seller note

Owner in turn gets similar participating preferred with both PIK and cash dividends (20% of common).

Owner also receives an initial cash payment, and will hold the seller note.

Couple of questions here:

tier2 consulting to PE

wsib1's picture
IB
(Baboon, 149
 
Points)
 on 3/4/13 at 12:14pm

Currently, I'm at a tier2 consulting firm (one of few decent firms below MBB). Is there a best strategy to break into a good PE shop?

Not sure how much MBA would help if I do not get any good buy-side experience before it.

Private Investment Asset Management Role Help

Granous's picture
(Chimp, 7
 
Points)
 on 3/2/13 at 10:50am

Came across an analyst position in asset management division of PE division of pension fund and I am unsure if this role is MO/FO and also what kind of role this is. If you guys can give me some insight, I would appreciate!

This position is responsible for monitoring portfolio cash flows and has the authority to request and distribute up to an authorized limit as a result of capital calls, expense payments, dividend, currency hedge cash inflows/outflows, interest, etc.

The successful incumbent will support and coordinate new deal funding, support investment, legal and financial structuring, monitor investment and pool performance, prepare performance information and commentary for reports, and construct and monitor risk proxies, and liaise with the Risk group.

Primer on the Private Equity Agency Business

Terri Tierney Clark's picture
(Chimp, 2
 
Points)
 on 3/20/13 at 10:30pm
m7fdxt-m7fdxodollarincrack560.jpg

Mod Note: This was written by Terri Tierney Clark, one of the first female Managing Directors in the Investment Banking Division at Merrill Lynch.

Primer on the Private Equity Agency Business

There was sort of a manhood issue regarding fundraising in the late ‘70’s and early ‘80’s when private equity investors like Kohlberg, Kravis and Roberts came together to form blind pool limited partnership vehicles. They would call on past equity investors from their direct deals and shun assistance from Wall Street. But as the number of private equity shops expanded, principals began to worry about the demand for institutional funds.

That’s when these firms began to look to Wall Street for help. In 1989, after Merrill Lynch raised Thomas H. Lee’s first half billion dollar fund, the bank refocused its private placement group to capitalize on the growing demand from private equity firms. Merrill was the only game in town briefly; then other banks saw the opportunity and began developing competing agency businesses. Boutiques also started to appear, offering private fund placement services.

Private equity agency businesses have multiplied since the late 80’s so that now finance professionals can develop careers solely within the industry. Here’s a quick view of how the business works:

Three Do's and Don'ts of Private Equity Interviews

TheKing's picture
O
 
Points)
 on 2/28/13 at 10:30pm
Do's and Dont's of Interviewing

On Tuesday, I gave a thorough breakdown of how a pre-MBA candidate should approach the Private Equity Interview Case Study. In keeping with the PE interview theme, I thought I'd touch upon the actual interview portion of the process.

Rather than doing a deep dive into answers to technical questions and related minutia, which is better suited for a formalized interview guidebook, I thought I'd give a brief overview of the more easily brushed over aspects of PE interviews. Things that can easily be missed when you're busy prepping your technical knowledge and brushing up on your deal experience.

To be clear, my focus is on superday style interviews, the kind in which you've already completed your case study and are meeting with multiple members of the firm. A day in which you should expect to meet anyone, from Associate on up to Partner and everywhere in between.

Without further ado, let's have a look at three Do's and three Don'ts of private equity superday interviews...

Some Thoughts on Private Equity Interview Case Studies

TheKing's picture
O
 
Points)
 on 2/26/13 at 9:30pm
PE Case Study

When you go through the interview process with private equity firms, particularly if you move along in a process at a middle market PE shop, you will almost certainly be asked to do a case study. I know from personal experience that I had to do it with the middle market firm I ended up working at in my post-banking days.

So, just what is the case study? While it varies from firm to firm, here's what it generally will look like. You get a copy of a CIM (Confidential Information Memorandum), usually from an old sell-side process that the PE firm took part in, and are asked to throw together a basic LBO and write up a basic buy-side investment memo.

The fun of this sort of process is that the end product is often very much in your hands. In my interview process, I ended up going with a two page memo that more or less condensed the important parts of the CIM, analyzed the pros / cons of the business, and included a SWOT analysis. While I went for brevity, I've also seen people throw together brief PowerPoint decks. If you aren't given a particular format, you can run with it in whatever way you think will be most effective.

Format aside, let's breakdown some of the important elements to keep in mind when you're putting together a memo for a Private Equity Case Study.

LEK vs. Booz vs. Parthenon

buysideconsulting's picture
(Chimp, 2
 
Points)
 on 2/19/13 at 11:41am

Hey monkeys,

I received offers at all three firms for a summer position (they will explode in a couple weeks) and I am coming from a target consulting school (Dartmouth/Duke). Last summer, I interned at a small VC firm in Boston.

I have no idea what I want to do after consulting, whether that's going in to nonprofit, private equity, or corp dev. However, I do know that I want to summer at a firm that I can see myself being at full time and will offer me the best b-school opps.

If you can offer up some insight as to how I can best make my decision and what factors I should consider, that would be great.

need internship choice advice

hbear's picture
(Monkey, 39
 
Points)
 on 2/18/13 at 7:46am

-

BB risk management vs reputable boutique/MM IBD

black mamba22's picture
IB
(Baboon, 127
 
Points)
 on 2/17/13 at 6:15pm

I realize the brand name at the BB is big, but how far does that take you with exits like PE/VC and chances of getting into a good b school, as compared to IBD at a top boutique/MM in NYC?

Got an interview need help

hbear's picture
(Monkey, 39
 
Points)
 on 2/13/13 at 2:14am

I just received a call from one of the largest PE firms in Korea for an invite for an internship interview.
I have internship experiences at a conglomerate's strategy team and at PricewaterhouseCoopers.
I have a week to prepare for this interview and I have 0experience nor knowledge of buyside firms.

CAN YOU HELP ME PLEASE!!!

Prep for PE interviews before IB stint?

Newspeak's picture
IB
(Orangutan, 340
 
Points)
 on 2/12/13 at 2:38am

I'm currently a second semester senior with a IB job lined up at a BB/Elite Boutique. I know that it's really tough to find time to practice PE interview stuff while working 100 hour weeks in IB.

Is there anything I could self study before I start in IB that would prepare me for PE interviews?

I know this is incredibly early and might seem like I'm going overboard but I want to make sure I'm prepared. I want to enjoy my last semester of college but I'm willing to spend a bit of time on this a day for the next few months if it would make an appreciable difference in my interview game once PE recruiting starts up. Is this a worthless endeavor?

Silverlake / Tech PE placement

Blinx's picture
(Chimp, 15
 
Points)
 on 2/5/13 at 10:30pm

I'm starting at a non big 3 BB next year (think CS, Barclays, Citi, etc) in the tech / TMT group and I'm very interested in tech related PE opportunities. I am also interested in VC, but focusing on PE as of now.

I am doing everything I can to make myself competitive for elite PE recruiting with an eye toward silverlake and similar tech shops, but I'm not sure what else I can do to make myself more competitive at this point.

I am using my last semester to work at a startup near my college that isn't incredibly well known but is successful and is held in the portfolio of most good VC shops.

Undergraduate --> PE

cakepie's picture
CF
(Orangutan, 300
 
Points)
 on 2/2/13 at 4:28am

Is this even possible? When I look at the websites of firms they all say Associates with at least 2 years work experience.

Is there any way in hell I could network into a small-mid sized PE shop in a regional city straight out of undergraduate? I have a 4.0 and decent internship experience but no full-time obviously.

Is there such a thing as an analyst at a PE shop?

Thanks.

Can you work at a megafund after Houston IBD?

Ab1's picture
(Chimp, 10
 
Points)
 on 1/31/13 at 11:54pm

Hi everyone, long time reader first time poster.

I'm interning in Houston this summer in energy IBD, and I'm not originally from the Texas area so I don't know much about the exit ops. I know some of the banks place really well in PE, but I was wondering if this is only specific to energy PE? Or is it possible to place at a megafund in NY? If so, which banks in Houston would allow for best placement?

Information on specific PE / Mezz Funds

fullofdebt's picture
IB
(Chimp, 7
 
Points)
 on 1/28/13 at 4:56pm

Can anyone provide color on these firms? Through networking I have contacts at them and was wondering if anyone has worked with / for or interviewed with any of them. Any help is greatly appreciated.

NGP Technology Partners
MCG Capital
BIA Digital Partners
Private Advisors
The Grosvenor Funds

Thank you.

Is Going to the Buy Side at Junior Level Really a Good Idea? I Don't Think So.

HedgeKing's picture
 
Points)
 on 1/27/13 at 3:42pm

If we look at the bios of senior people at buy side firms, whether they be HFs or PEs, we would find the senior level rarely come from the ranks of the junior staff, with the exceptions of AM firms. It seems promotion from the junior level to the senior level on the buy side is hard and rare. This brings up a question. Is going to the buy side at the junior level really a good idea?