Trading prestige for sanity…worth it?

Based on the most helpful WSO content, your situation is a classic example of trading prestige for sanity, and it's a decision many in finance grapple with. Here's a breakdown of your options and considerations:

1. Lateral Move to a Smaller Shop

• Pros:
  • Better work-life balance: Smaller shops often have less rigid structures, shorter hours, and more flexibility, which is crucial with a child on the way.
  • Mental and physical health: A 90-minute commute each way combined with long hours is unsustainable, especially with family responsibilities.
  • Financial stability: If you're content with mid-six figures and don't need to chase seven figures, this move aligns with your priorities.
• Cons:
  • Buy-side exit challenges: Moving to a smaller shop with a less prestigious analyst could make it harder to transition to LO or IR in the future. However, if you're okay with prioritizing family now and revisiting this later, it's a reasonable trade-off.
  • Perception risk: Some may view the move as a step down, but this is mitigated if you frame it as a lifestyle choice rather than a career failure.

2. Stay and Keep Grinding for LO/IR

• Pros:
  • Prestige: Staying at a top-ranked BB with a highly regarded analyst keeps your resume competitive for LO/IR roles.
  • Momentum: You've already invested 18 months into recruiting, and persistence could eventually pay off.
• Cons:
  • Burnout risk: With a child on the way and your current workload, the grind could take a toll on your health, relationships, and overall happiness.
  • Missed family time: The early years of your child's life are irreplaceable, and the current setup may leave you absent for much of it.

3. Key Considerations

• Long-Term Goals: If LO/IR is still your ultimate goal, consider whether the lateral move truly closes that door. Smaller shops may not have the same prestige, but they can still provide relevant experience and networking opportunities.
• Family Priorities: Your child and family life are non-negotiable. Missing out on these moments for a job you already find draining may lead to long-term regret.
• Market Conditions: The current market for LO/IR roles is tough, and waiting for the perfect opportunity may not align with your immediate needs. A lateral move could provide breathing room while you reassess.

4. Actionable Advice

• Network Strategically: Even if you move to a smaller shop, keep networking for LO/IR roles. Relationships matter more than rankings in many cases.
• Frame the Move Positively: If you lateral, position it as a deliberate choice for balance and family, not a step down. Highlight how this decision aligns with your values and long-term goals.
• Explore Hybrid Roles: Consider roles that blend finance and lifestyle, such as corporate IR or FP&A, which may offer better hours and still leverage your skill set.

Final Thoughts:

This isn't a "dumb move"—it's a thoughtful recalibration of your priorities. Lateraling to a smaller shop for better balance is a reasonable play, especially if you're okay with potentially delaying or altering your buy-side ambitions. Your family and well-being are worth the trade-off, and you can always revisit career aspirations once you're in a more stable and balanced position.

Sources: Do you guys actually enjoy your jobs?, BB Analyst Impacted By Layoffs - Looking for Insight, Work/Life Balance: Equity Research vs. Investment Banking - (A Definitive Guide, Part 1), For Those Considering Banking - Some Broad Advice, The best of the back (or middle) office?