Coverage vs. M&A IB for HF opportunities

Incoming analyst at BB/EB with an opportunity to join a coverage or M&A group. I am interested in L/S and MMHF opportunities after my analyst stint. Do HFs value coverage groups more given the exposure to a particular industry, particularly MMHF as they have dedicated pods specifically for those, or a generalist M&A stint that runs the model for most traditional industries?

FWIW, the coverage group is the sector I am interested in and would want to join at a pod.

15 Comments
 

Don’t think it really matters, as long as you get modelling experience.

i do not think pods hire bankers for sector expertise unless it’s for a niche vertical

 
Most Helpful

hi...it doesnt matter. i've hired junior guys from i-banking in coverage groups and m&a groups, generalist/specialist pe associates etc...i give everyone time to ramp up regardless of where they started

maybe pick the group where you'll get the most reps in (and a sector that you don't hate) to get as good as possible at modeling...i'd prioritize reps > coverage at this stage...don't be the 23 yr old i-banker that fails the hf modeling test...!

 

Any advice for what I should be doing to prepare for HF recruiting as a senior in college? I know recruiting is happening earlier and earlier and I want to be ready when my IB stint starts. Thanks!

 

There is no formal recruit cycle for pods like there is for PE. Most people I’ve interviewed form banking have been around 18-24m into their stint.

Work on well structured stock pitches and models. Pick a few companies, model them and try to understand what the key debates are, what’s moving the stocks and how you can form views on these drivers. Monitor and update them for a few months. 

 

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