Recruiting environment right now?
Title -- how're things looking like these days? Pretty bleak at my firm, hiring freeze remains (no layoffs yet). Externally I see very few LO firms hiring right now and HHs are not reaching out much anymore
What are you all seeing these days?
Based on the most helpful WSO content, the recruiting environment seems to be quite challenging at the moment. There have been reports of headcount reductions and a decrease in available roles. Lateral hiring, especially into tier 1 cities, appears to be particularly difficult.
However, it's important to remember that these conditions are not permanent and the market can change. It might be a good time to focus on improving your skills and networking. The WSO Academy offers a range of courses that could be beneficial, such as the Networking Guide and Investment Banking Prep.
As for the lack of outreach from headhunters, it could be due to the current market conditions. However, it's always a good idea to reach out proactively and keep your lines of communication open.
Remember, even in tough times, opportunities can arise. So, keep your spirits high and continue to work towards your goals.
Sources: State of Lateral Hiring Market?, PE Recruiting from Houston O&G IB in Current Environment, Full Time Recruiting outlook for 2021
Recently out of work as an associate at a top LO (didn't convert). Have been looking since this past spring. I had a few interviews that didn't materialize into anything this summer and has been quiet since.
I was hoping for an uptick post-labor day/pre-thanksgiving, but it has been concerningly slow (only one call from a recruiter in the past month). I've heard that AMs have been telling M7s that they are hiring less/no MBA interns for this upcoming summer which might not be a great sign.
Curious what others are seeing ...
Didn't convert into Analyst? Or from intern to associate? V different since I'm primarily targeting question towards Analyst roles but either way thanks for color
Unfortunately I don't see a catalyst for things to change (at least for North American AM recruiting) in near-term, especially not by end of year. AUM is massively down at most shops vs. 2020/2021 levels and everyone is swamped with earnings...followed by multiple consecutive holidays when people want to slow down
Frankly my base case for when environment substantially improves is in 2025...doesn't mean nothing will be around in 2024 but it's rough. We need inflation to come down much more and then rate cuts to start happening...and then 2 qtrs of lag after that to show an improving environment. All said we're looking over a year out is my guess. Others might have diff perspectives
Didn't convert into analyst from FT associate, was lucky enough to get the seat out of undergrad. With my YOE I'm gunning for an analyst/sr.associate seat somewhere else.
In the few processes I've been in, I've been getting to the later stages but get passed over for experienced analysts in the end. Recruiters told me it's pretty competitive right now for seats that are out there.
How competitive have you found yourself for corporate roles? Curious if that’s a valid exit from AM
I am intentionally not reaching out to HHs at this point. I've learned that they don't really care much about you and you've got to be in front of them when there are actual opportunities on the market.
I have realized that as well. Used to get a bunch from certain HHs, but suddenly just getting ignored. I even reached out to one that seemed genuine, he didn't even bother getting back
Are most people commenting on equities or more broadly (FI, Commodities, etc)? I'd think it's a decent time to pickup a few fixed income analysts/PMs quite cheap while client funds start slowly shifting away from money markets into longer term fixed income.
I haven't seen much elsewhere but we have been adding a few people here and there across multiple asset classes mainly in PM roles though.
AM post-MBA analyst hiring environment has been rough for over a year now.
I am one of the few in my MBA class (2023) who landed at a big LO and had to re-recruit for it after not getting a return at the other LO fund I interned at. Most people who interned at Cap/Fido/T Rowe/Etc didn’t get returns after their summers and many of those didn’t hire anyone from what I heard. International seats seem to have fared better. It’s rough and I still have a few friends looking for seats / going to SS ER or doing consulting work for small startup hedge funds instead.
From what I’ve heard it’s even worse for the current 2Y MBAs despite the market performing better.
Interesting how international seats fared better - any insights there?
Congrats on your gig! How tough was it to navigate your current firms process when you learned you weren’t getting a return offer from the firm you interned at? Did they understand very well and you feel any hesitation on their end?
No unique insights really. Most were for seats in China/SE Asia so maybe there’s more demand for U.S. MBAs there or something? All the people were international students - U.S. offices for the big LOs seem to favor U.S. applicants and often feed internationals into their other offices. I know a few of my friends who were internationals were frustrated because they wanted to say in the U.S. but it was hard to turn down a seat at a Fidelity/T Rowe only to risk not getting anything here.
The process for my current job was very unstructured - they weren’t formally looking for anyone but I developed a relationship with two PMs at the firm who ultimately thought I might be a good fit. I coincidentally had done a lot of work on two names they held and think I had some unique insights/data points they weren’t aware of. There perhaps was some hesitation but they reference checked me with the LO I was at (they knew a PM there who I worked closely with and confirmed I wasn’t hired due to headcount vs. performance) and I also did a pretty detailed case study that I think got them comfortable. The investment process here is very different than the spot I was at before but for me that’s a good thing. It’s taken adjustment but going well so far.
Just feel very lucky to have a seat, let alone at my specific firm. Recruiting was incredibly stressful and grueling - you talk to a million funds and very few are hiring, and those who are often want more experience or specific backgrounds. It’s just a really tough industry to break in to and you really have to be willing to risk striking out while your friends all have banking and consulting offers in hand going in to 2Y. I did not have a traditional background either which did not help.
Things have been busy here on the Beach. Lots of inflows back into fixed income after getting killed these past couple years..
AMs losing out on PM talent for sure. They still hire like it’s 1979 and discussions even with top tier firms have been among the worst experiences in more than a decade.
Bump. How are people finding the environment to be today now that we're in the new year?
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