Crossroads
All -
Have been on the buy-side for a total of ~+/-7 years. Started as an analyst, worked my way up to a PM/Partner at a fund. Still pretty young in general / in my career. No kids/significant others/commitments.
Fortunate to have had the career success I've had, but feeling a bit disillusioned/burnt out with my current spot for multiple reasons. I can forecast my career out and see that while I can probably continue doing what I do, I'll never be happy unless I can have real, material ownership in something. Have realized that what drives me/my happiness derives from creating/executing/leading and shaping organizations, and intellectual stimulation. Have multiple options on the table including:
1. Going to a billion dollar SM fund and setting up shop/running a book and having full discretion (initial capital of ~$30mm-$40mm)
2. Starting up a family office with a friend and his contact (think $50mm-$100mm initial capital, 2/20 structure) - full discretion
3. Potentially joining another event-fund ($~50mm-$100mm AUM) as a Partner
4. Launching a Digital Assets investment firm
What would you pick and why? I understand that these are options that all vary, but any and all different perspectives are much appreciated. TY.
Pardon me if I'm not understanding your question but if you're a real partner at your current fund with equity you're essentially a part owner of the fund. So I don't really understand why would want to move elsewhere to attain the same position
Better equity / ownership.
How big is your fund roughly and how much in equity do u have? And are the other places offering u a better percentage? If the fund you're at is big enough i think I'd stick around for 4-5 more years and then reassess but if you're not happy here and u think having more autonomy/ownership will satisfy u then I'd look to move
Yep similar question -- how big is your fund? Also (ballpark), how big is your current liquid NW / PA, and where do you see your comp trajectory for the next 5 years if you were to stay at this fund? Was once in a similar situation, and this is how I thought about it
Fund is sub $50mm, and a 10% partner. Have a nice base and can live pretty comfortably. Comp trajectory is pretty stagnant and a function of capital raising, tbh. Thanks for your thought process here.
One of those options is really, really not like the other ones - why is #4 on the list?
Yep, I get it. It was an opportunity brought to me by a friend who has had good success in the HF space and is now working in Digital Assets. The space intrigues me and I feel as if there's a lot of opportunity here - at least for the short-term with differentiated investment strategies (non-traditional Venture / L/S). Have also been getting decent inbounds from investment firms focused on Digital Assets, which is what piqued my interest and led me to doing some pretty significant work on the sector independently. Tossing it around as an option.
Honestly this forum is not going to be of much help to you. You have far more specific information/insight about each opportunity to utilize to make the best informed decision. If you need external advice, I would ask people who are deeply familiar with these organizations. If one opportunity doesn't really outshine the others I would probably stay conservative and remain at your current shop until your decision becomes more crystal clear. Without any of that you are asking a bunch of people to just pick a firm structure for you (SM or family office). Note: I'm not even sure how you'd have a "book" at a SM because then it wouldn't be a SM (maybe i'm being too nuanced - i understand if you have some discretion over X positions/$s).
Additionally, throwing in the "digital assets" option in there makes me scratch my head a bit because thats a dramatically different career path and an extremely personal decision to make.
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