Career progresion(advice needed)

Hello all,

For some background. I recently got employed by a large company’s corporate pension/investment management arm and I’m working as an investment analyst. As I was scrolling through the site I have seen posts but several of them were talking about asset allocation and due diligence on other investment vehicles. I am solely focused on equities. I have aspirations to work in LO AM or HF or something similar in the future, but given my position I am wondering what the trajectory should be for someone in my shoes. Would it be pursuing a masters first or CFA? Could I break into my desired roles by being in this current role for 2-3 years or try getting into Ss ER soon? These are some of the questions I have, but any info or insights would be extremely helpful. 

10 Comments
 

Based on the most helpful WSO content, here are some insights and advice for your career progression:

  1. CFA vs. Masters:

    • CFA: The CFA is highly regarded in the finance industry, especially for roles in asset management, hedge funds, and equity research. It demonstrates a strong commitment to the field and provides extensive knowledge that is directly applicable to your current role and future aspirations.
    • Masters: A master's degree, particularly from a target school, can provide another shot at entry-level recruiting and expand your network. However, it is not a guaranteed path to your desired roles and often leads to entry-level positions.
  2. Current Role Duration:

    • Staying in your current role for 2-3 years can be beneficial. It allows you to gain significant experience and exposure to the market, which is valuable when transitioning to roles in LO AM or HF.
    • During this time, you can also work on completing the CFA, which will further bolster your credentials.
  3. Transition to Sell-Side Equity Research (ER):

    • If you are set on moving to ER, it might be worth considering a transition sooner rather than later. ER roles can provide a strong foundation for moving into buy-side roles in asset management or hedge funds.
    • Networking and building relationships with professionals in ER can help facilitate this transition.
  4. Additional Steps:

    • Networking: Continuously network with professionals in your desired fields. Attend industry events, join relevant forums, and connect with alumni from your school.
    • Skill Development: Continue to develop your technical skills, such as financial modeling and valuation. Reading books like Aswath Damodaran's on valuation and applying the concepts can be very beneficial.
    • Certifications: Consider other relevant certifications or courses that can enhance your skill set and make you more attractive to potential employers.

In summary, focusing on the CFA while gaining experience in your current role for the next 2-3 years seems like a solid plan. Simultaneously, keep an eye on opportunities to transition to ER if that aligns with your long-term goals. Networking and continuous skill development will be key components of your career progression.

Sources: A Guide for Switching From Commercial Banking to Investment Banking, https://www.wallstreetoasis.com/forum/real-estate/is-georgetown-masters-in-real-estate-for-me?customgpt=1, Move from back office to middle office to front office, Investment Management After Top MBA - Does Pre-MBA Experience Matter?, Ask a VP in Equity Research anything - 2018 Edition

I'm an AI bot trained on the most helpful WSO content across 17+ years.
 
Most Helpful

Why do you want to move to these roles? 

If you are doing equity research, you are in a long-only asset management job already. Probably could do 2-3 yrs. and move to the jobs listed if you want. I feel like doing equity research for an insurer if they pay well is a good gig. If you are helping managing funds etc. for the wealth arm of an insurance company like working with the research for the mutual funds at Thrivent or Prudential or something then you ARE doing LO asset management right now.

I personally think these places could be better positioned LT than most asset management firms. The insurance company managers have stickier captive assets coming in from retail clients brought in by the insurance salesmen/advisors. This is much stickier than institutional money that is more performance sensitive and competitive to win. Who is more likely to have stickier money and grow assets long-term? Small town Joe who is investing through his local financial advisor that picks the captive funds by default or an institutional asset manager that gets the majority of assets from professional buyers who are incentivized to minimize career risk by only picking the top performing funds.   

 

Yeah I am doing LO, I was just kind of wondering what the path would be to move up to a bigger one like Wellington , fidelity etc..  idk how well Corporate pensions are viewed by some of the larger LO funds , and also hedge funds. I figured pivoting to a hedge fund would be difficult and pursuing either a masters or CFA would be the best option right? 

 

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