Switch to a US Long-Only RIA as a Consultant or Stay at a US BB?
I’m currently at a US bulge-bracket bank in Change/Product Management. I dislike the work and don’t want to build my career in this area. I’m expecting a promotion in Jan 2027 and recently took CFA Level III.
I’ve been offered a role at a ~$300m single-manager, long-only RIA on the Equity Research team. I’d research and pitch stocks, with the expectation that after ~1 year I’d get a small amount of capital to manage independently, with some variable comp linked to performance.
The catch: because the fund is US-based and I’m abroad, I’d have to work as a consultant/freelancer rather than a full-time employee.
Some context:
* Firm has ~15 employees, with only 4–5 in my country.
* Initial pay is roughly comparable to my current BB compensation, though take-home would be higher due to tax treatment.
* After my BB promotion, BB comp would be ~7–9% higher.
* No employee benefits at the RIA.
* Firm isn’t e-verified.
* Glassdoor is 2.9/5, with several reviews describing the founder/manager as toxic/difficult.
* I spoke to an analyst who has been there ~2 years. He was mostly positive about the work but said he hasn’t received a single recruiter outreach during his time there.
* The RIA work is far more aligned with my long-term goal of equity research/investing, and the lean structure could give me meaningful investment exposure early.
So I’m deciding between:
1. Stay at the BB: Get promoted in January, retain the BB brand/stability, and recruit for ER/AM/PE/Private Credit over the next 1–2 years. The downside is spending more time in a function I know I don’t want to pursue.
2. Take the RIA: Get directly relevant investing experience now, but accept the risks of being a consultant at a small/unknown firm, including weaker benefits, questionable online reputation, and potentially weaker exit opportunities.
TL;DR: I can stay at a US BB in a role I dislike, get promoted and recruit from there, or move now to a ~$300m long-only RIA where I’d actually do equity research and potentially manage capital after a year. The RIA is much more aligned with my goals but comes with consultant status, no benefits, a 2.9/5 Glassdoor rating, concerns about the founder, and potentially poor exits.
Would you take the relevant investing experience now, or stay at the BB, get promoted, and recruit from there?
Based on the most helpful WSO content, here’s how you should approach this decision:
Key Considerations:
Alignment with Long-Term Goals:
Brand and Stability:
Compensation and Benefits:
Work Environment:
Exit Opportunities:
Recommendation:
If your ultimate goal is to transition into equity research or investing at a reputable firm, staying at the BB and leveraging the brand for recruiting is the safer and more strategic choice. The promotion in January 2027 will enhance your profile, and you can actively network and prepare for a move into ER/AM/PE/Private Credit within 1–2 years. While the RIA offers relevant experience, the risks (consultant status, no benefits, poor reputation, and limited exit opportunities) outweigh the potential benefits.
Alternative Approach:
If you’re determined to gain direct investing experience now, consider: - Negotiating with the RIA for better terms (e.g., a clearer path to full-time employment or improved compensation). - Using the RIA role as a stepping stone while actively networking and positioning yourself for a move to a more reputable buy-side firm within 1–2 years.
Ultimately, the BB provides a stronger platform for long-term career growth, even if it means enduring a role you dislike for a bit longer.
Sources: https://www.wallstreetoasis.com/forum/equity-research/career-ladder-equity-research-vs-investment-banking-a-definitive-guide-part-3?customgpt=1, A warning to those aiming for Sell Side Equity Research, https://www.wallstreetoasis.com/forum/investment-banking/qa-md-in-ma-and-capital-markets-with-bulge-bracket-and-boutique-experience?customgpt=1, Work/Life Balance: Equity Research vs. Investment Banking - (A Definitive Guide, Part 1)
what's comp
Adjusted for PPP, it would be around $70-75k
How long are you into your career, and what is your risk tolerance? The LO AM situation is a yellow flag at best in my view - it's a clear workaround to get cheaper offshore resources for a US based fund. You don't normally see that type of arrangement, at least I have not, for investment team resources - it's far more common for support, back office, etc. type functions where offshore contract resources can save significant money and, frankly, outperform domestic hires. If the other 4-5 are in the same situation, similar roles, and arrangement - that would at least give me a bit more comfort. Disclaimer - this may be entirely common outside my own little world in LO AM here in the US, so keep that in mind. This just screams re-classification risk and headaches, given it's literally an FTE role by any meaningful examination.
My advice is to stay the course, hopefully pick up the promotion, get your CFA charter once you are eligible after passing LIII, and then continue full force recruiting throughout. There may also be other opportunities within your bank/company as you start to progress, and build a track record. Look for ways to automate your workflow, and accept that it's a path to where you want to be.
Back to the LO AM - about the only way this makes sense is that their track record is simply incredible, you will get real hands on experience, and you trust that this is a 'real' position - that won't simply be taken out in 12-18 months - although either way, you should be recruiting aggressively once you have the experience. I personally have a hard time seeing a firm hand over part of a book to someone who is an independent contractor - however you are closer to them than I am, and understand your own situation.
Quia et in libero dignissimos aut vel. Quod optio voluptas quia animi ut ut. Minima blanditiis repudiandae placeat minus aliquam et aut. Laborum inventore atque eum necessitatibus sunt eum non. Maxime animi qui eum saepe saepe. Quos nisi sunt sapiente repudiandae aut sapiente nemo.
Dolore aut nobis reprehenderit quia enim recusandae. Sit quia repellendus ratione magni aut necessitatibus. In unde quaerat earum facere. Eveniet quam illo molestiae id. Est ea culpa quia amet.
Facilis eos illo sequi placeat ducimus fugiat voluptatem. Omnis molestiae harum accusamus odit iste non labore quasi. Et quidem enim repellat voluptatem omnis dolorem non numquam.
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...