Lost Graduate: Big 4 Audit or Boutique Hedge Fund

Hi guys, I'm a recent graduate facing a dilemma. Currently I have two offers: 1. Join a big 4 as an audit, do my CPA and aim for finance controller or jump into Private Equity/IB. 2. Join a small Hedge fund (aumCFA, and hopefully join a larger fund or enter Investment Banking. Although I have a stronger interest in the 2nd job, the future prospects for career development and job progression for 2 are very uncertain. Can anyone share more information on the future progression if I join a small hedge fund or provide advice? Thanks a lot :(

 
Best Response

Can't comment on the hedge fund option, but I can tell you that you're not going to have an easy time jumping to either IB or PE straight from audit. Virtually zero chance for PE, unless you want to be a fund accountant.

General rule: If you want to be an accountant, do audit. If you don't want to be an accountant, don't do audit. If you make the mistake of doing audit, there are ways to escape, but you have to dig yourself out of a hole. Best not put yourself in the hole to begin with. I've made the climb out, fortunately.

 

Thats a tough one. I'd say it would be better to follow the career path that you ultimately want to work in. I understand the lure of a more stable career path but people jump around in finance all of the time and its much better that you gain a working knowledge of the HF industry - it will make it much easier to transition to a larger firm.

 

Hard to comment on your pay as I'm not familiar how much HFs pay ppl straight out of undergrad. I'd imagine it is less than in an analyst program in banking. The boutique hf option will give you better exit opps into other finance fields if that's where you want to be. I think generally it'll be hard not coming from a banking background to get looks from a respectable HF, but it's not impossible. Having some experience in the industry is always better than having none.

 

If the 2nd job itself interests you more, then you should go that route. Sure, that path may seem daunting now but you never know what life will bring. You will be employable in other fields with that experience even if you don't get into IB - so it's not like you are weighing an audit offer vs. one in historical archiving.

If your risk tolerance does make option 1 where you land, you should also know that going into audit now won't resign you to years and years of audit and controllership either. People have gone from audit to banking or hedge funds. They are rare but it is possible with enough work and some strategic maneuvering along the way.

 

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