Rothschild or UBS (IBD) in london for LO AM
An incoming IBD analyst with offers at both UBS and Rothschild in london but my real interest lies in LO AM but just missed undergrad recruitment and was wondering which one is better and any general tips to get to LO AM from IBD .
Just a quick question if someone is interested in LO AM does it make sense to first move to HF if possible or should I just wait for the LO AM role
Bump?
I did banking -> PE -> MBA -> LO AM (all US). Longer path but was very worth it for me. You learn the tools in banking, the rigorous DD / investor mindset in PE, and the MBA is the perfect pivot point to an Analyst role.
Anecdotally, that PE experience was very much in demand at both HFs and LOs
Why IBD not ER if your real interest is public equities?
The whole 'good HFs only hire from IBD' mentality is a very US-centric one and doesn't really apply in London for vanilla L/S equities. Maybe think about which bank would give you opportunities to move across internally into ER / do some kind of secondment there (which answers your question for you since only one of those banks has an ER department).
LO AM isn’t only public equities, the kid may be interested in CLOs, who knows. But I’d say both firms will get you to LO AM after a year or two of IB
Thank you for your reply.I couldnt decide between IBD and ER. Coming from a non target, I stayed laser focused on IBD and realised I hated it after the summer, it was already late as I am out of uni now and would do a master if I could but cant afford it. I had also recruited for ER on the buy-side but my internship got cancelled due to covid. So I was always interested.I asked if I needed to move to ER, but people say it is possible from IBD, would you say it is significantly harder from IBD to LO AM (cap group, fido, well and others) vs from ER. I just stayed with IBD since it paid more money and heard ER SS can be similar culture wise.
For LO equities ss ER would set you up better as you'll get experience developing an investment thesis & defending it from clients (which is what any LO interviews will involve). It's closer to the holy grail of 'being able to think like an investor' that most interview processes are trying to test for. You'll develop a bunch of pitches you can use in interviews just doing the day to day of the job rather than having to try and build them in your (limited) spare time.
SS ER culture can be crap if you're working for a bad analyst, but from what I've heard of IBD it's generally better. Early mornings but you can actually make & keep evening plans.
You can make the move from any background, some will be easier than others though. At my shop I've been involved in the hiring process for a few juniors (2-5 years of experience) and we don't interview people with only IBD or private markets backgrounds - we're looking for people that understand what makes a stock move on a day to day basis, understands how to think about market expectations / what's priced in, and can build an investment thesis not just a model. Yes you might be able do all that having only worked in IBD, but for us it's a safer bet to interview people with ER / sales / buyside experience given the huge volume of applications we'd get for any opening.
Thank you very much for this.
I actually took a year break and want to develop the skills you are talking about before going IBD. Any idea on how I should best use it? I have also checked with recruiters at CAP/Fido/T-rowe price and they seem to like peoole with IB background. I will also send a few apps to ER, see if I get any traction in the meantime.
So just to clarify banks prestige doesnt matter much? And can I con choose based on fit.
I also have my last interview coming-up with fido, would you have any advice for buy-side interview in general. I failed the last round of Cap group and that destroyed me lol.
I have seen that IBD to HF from IB is way easy, would you day IB-Hf-lo AM is possible? Just asking cause I saw very few very exit directly to LO AM
Sorry for the many questioms and thks for all.
A lot of the narrative around 'IBD to HF' being the 'correct' route, or 'way easy' is quite US-centric, where that seems to be the norm. Look at some London HFs (AKO / Egerton / Lansdowne) etc and you'll see a lot of people came from LO equities or SS ER originally (especially the ex Cazenove analyst network). I'm sure you can do it in London, and for more event-driven / activist type funds they will definitely have a preference for an IBD background. The MM platforms hire such a huge volume of juniors they will take both SS ER and IBD backgrounds. To be honest a lot of it depends on where the PM started out, as they will invevitably have a bias towards people who look like them (e.g. one of my old PMs started out on the buyside without spending any time on the sell side at all, so they overweight buyside experience a lot more than some do when hiring).
Bank "prestige" doesn't really matter and is very different for ER vs IBD anyway (e.g. you probably wouldn't call BNP a 'prestigious' bank, but they have one of the best ER platforms in Europe in Exane, and GS is irrelevant as far as ER is concerned). Obviously if you're coming from Zeus Capital or some spivvy smallcap broker like that it's a different story, but any mainstream bank will give you a pretty similar shot. What matters more than the bank is the analyst you work for, the sector you cover, and how quickly you get up and running with client & stock coverage.
For interviews know what makes an investment thesis, and what 'edge' is / how to get it. Then have several differentiated investment theses to talk about.
Rerum iste laborum nisi provident. Ut voluptatem voluptates voluptatum aut minima distinctio voluptatum. Blanditiis sunt voluptates dolore recusandae.
Qui odit sit non neque ut vel. Possimus eius mollitia reprehenderit qui. Officia qui cupiditate sequi cupiditate labore minus necessitatibus. Amet doloribus dolorem explicabo qui laboriosam nemo.
Excepturi et enim eveniet ea at eius assumenda enim. Cum dolorum ipsa voluptatibus ad et quia odio. Ex harum omnis perferendis aut voluptas iure. Illo quidem nemo et exercitationem laudantium nulla. Et iure repellat voluptas aut explicabo culpa. Non at quia qui aut sed.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...