Physics PhD looking at ER - London

Hi everyone, long time lurker here. I'm almost half way through my PhD in Physics at an Oxbridge university. ER seems like an attractive career option to me (that I am considering along with quant and consulting), but I can't seem to find much information on some specifics so I have some questions:

  1. I'm aware the transition from biotech to ER is a common one - is it feasible for a physics PhD to join a group researching energy or semiconductors in a similar path?
  2. If not, is this a career more suited to those with an economics background? Should I focus my efforts on other career options?
  3. Is this career as exciting as I think it is, where I can use the research/analysis/communication skills I'm developing in my PhD?
  4. Are there any good resources to learn some of the modelling skills required? I've seen mixed messages on the usefulness of the CFA level 1, and it seems like a significant investment for applications where my CV might just be tossed to the side...

2 Comments
 

Based on the most helpful WSO content, here’s what you need to know:

  1. Physics PhD Transition to ER:
    Yes, it is feasible for a Physics PhD to transition into Equity Research (ER), particularly in sectors like energy, semiconductors, or other technical industries where your analytical and technical expertise can be highly valuable. While biotech is a common path for PhDs, your background in physics aligns well with industries that require a deep understanding of technical and scientific concepts.

  2. Economics Background vs. Physics:
    ER is not exclusively for those with an economics background. Your research, analysis, and communication skills developed during your PhD are highly transferable. Many ER teams value diverse academic backgrounds, especially for sector-specific roles. However, demonstrating an understanding of financial concepts and market dynamics will strengthen your application.

  3. Excitement and Skill Utilization:
    ER can indeed be an exciting career, especially if you enjoy analyzing data, forming investment theses, and communicating your findings. The role involves a mix of research, writing, and presenting, which aligns well with the skills you’ve honed during your PhD.

  4. Resources for Modelling Skills:

    • Financial Modeling Resources: WSO offers financial modeling resources and templates that can help you get started.
    • Excel Skills: Brush up on Excel, as it’s a critical tool in ER. WSO’s Excel resources are a good starting point.
    • CFA Level 1: While the CFA can be useful, it’s not mandatory for breaking into ER. If you’re targeting a specific sector, focus on building sector-specific knowledge and financial modeling skills first. The CFA is a significant time and financial investment, so weigh its value against your immediate career goals.
  5. Application Strategy:

    • Tailor your CV to highlight transferable skills like data analysis, problem-solving, and technical expertise.
    • Network with professionals in ER, especially those covering energy or semiconductor sectors.
    • Consider internships or entry-level roles to gain exposure to the field.

For additional preparation, explore WSO’s Investment Banking Interview Prep and Private Equity Interview Prep resources, as they often overlap with ER skill requirements.

Sources: Physics undergrad admitted to top b-school, 3rd year Harvard Medical School student thinking about high finance transition- am I being realisitc?, Any books to read for an incoming equity research summer associate?, How to pick your next sell-side research job, Senior Looking to get into Equity Research looking for Advice

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