Middle-aged breaking into HF?
I know I'm about to get catch a ton of shit...Let's say I'm mid-40's, have been my career in CPA and consulting firms...And I want to break into HF. A career reset.How do I do it? Here's my plan on the education side - go back to school, get second masters in quant (math, financial engineering, statistics) Obviously network anyway I can: I'm a vet so look for vets in HF network with, find alumni from the schools I went to, etc.What should I do study for second masters? Have finance MBA from "decent" school. I'll take all the hate, jokes, and feedback I can get.
Breaking into hedge funds in your mid-40s is undoubtedly challenging, but not impossible. Based on the most helpful WSO content, here’s a structured approach to maximize your chances:
1. Leverage Your Unique Background
2. Networking is Key
3. Education Strategy
4. Target the Right Funds
5. Position Yourself Strategically
6. Practical Steps
While the journey won’t be easy, your unique background and determination can set you apart. Good luck, and remember—Marines don’t quit!
Sources: Networking into a Hedge Fund? It's Unstructured., https://www.wallstreetoasis.com/forums/qa-hf-out-of-undergrad?customgpt=1, Transitioning from IB/ER to HF Series - Part 2: Where to Interview and Behaviorals, Lost job at L/S HF - looking for advice, Graduating MSF - no job
Doubt the education will get you any extra recognition. Invest that time developing ideas/pitches and networking.
Your odds are extemely slim, obviously. But yes, your odds will be best using your network the way you say.
Thanks!
What strategies are you trying to break into with your background? L/S equities?
That's my target at the moment
As someone who made the transition from consulting to HF lateish (~30). The problem your facing is not just one of credentialism, its competition. When you get out of whatever graduate program you're thinking of doing, you're going to be competing with your 20 something year old classmates whom are just as "credentialed" as you are. You're experience doing business valuations and in the Marines will carry very little weight with hiring PM's.
These 20 something year olds are likely a ways away from facing the same grown up problems (i.e. family) that you are. As such, they can be relied upon to effectively dedicate their lives for at least a few years to the associate/analyst role. They also likely have the flexibility to move anywhere they need to.
This makes it extraordinarily difficult for you to present aa a compelling candidate for hiring PM's. I don't mean to be discouraging but I'd hate for you to make a decision based on a long shot. There isn't anything magic about HF work. At the end of the day, its just a job that may or may not be lucrative depending on a number of factors outside your control.
I appreciate the insights and candor here
How do you feel your career has progressed given that you started a little later than the norm? I am also early 30s looking to start mba next yr
ageism is an unspoken thing in industry -- imagine reporting to a 27-32 y/o sr analyst who is gonna expect you to be up at random hours like a 23 y/o with no other obligations. never say never + all that good stuff. but encourage you to have eyes wide open on the challenges.
i would sooner advocate for developing specialized knowledge in hard science / medicine or CS which can be be applied in more unique value-add manner. general mid-tier bschool and desire to get in the game is likely insufficient, even with networking
This.
Also, the HF game is a the purely meritocracy in the world. No one cares about your age, your military service, or your (sorry to say) fairly stupid credentials you misguidedly spent and money time obtaining.
First and foremost, all they care about is whether you’re a money maker or not. Or at a junior level, whether you can help them make money or not.
Second, they don’t want to waste their time and will use short hand to get to the right answer. Not trained in the gauntlet of IB / PE — easy pass. 40-something years olds and not sitting in an outlier fuck you seat — easy pass.
Sorry for the harsh truths, just being brutally honest so you can figure how our/if to address these seemingly insurmountable obstacles.
Its not nearly as much of a meritocracy as it's thought to be. Its almost impossible actually compare the track records of analysts so PM's end up using work history, relationships/reputation, etc. as a shortcut when hiring.
It’s going to be tough but not impossible. Get a job at sell side and try to pivot that. I’ve seen it done by a guy in his 40s who moved to buy side single manager after sell side
If you are serious about it. You have audit / accounting skills. Use your professional skills. Write financial breakdowns of highly leveraged companies. Show them to people who invest. Maybe you can add value.
This kind of thesis is a great fit for VIC btw. And that can open certain doors in the value/distressed world where your skills are a better fit.
Do not go for another degree. Total waste of time and money to accomplish this career shift.
Understand it is low probability it will work out.
Go to IB, they will eat that military shit up. However, as mentioned above, HFs don’t care.
Might be biased but SS ER could be good step stone. We Interviewed some unique laterals into SS when team was hiring sr assoc level and knew of a few vets in ER - it might out be a paycutj (which is better than paying $XXX for a non-guaranteed placement from MBA). Also would naturally build the network and a more compelling story to eventually get to buyside
Since nobody asked; what precisely do you mean by "a second masters in quant"? You want to recruit for quantitative investing/research and that is your pivot? What's your actual background? I see you said you want L/S but that isn't the most straightforward for it.
For instance, if you just wanted to do fundamental investing it may prove to be easier to break in because the scale of common systematic groups means opportunities are often opaque if you don't have a linear background.
Sometimes I see smaller private credit and private equity funds which explicitly ask for accounting experience for associate level and up, maybe something to consider too.
You could probably find some smaller single manager fundamental shops and try to demonstrate a thesis if your heart is set on L/S though. Not uncommon for people to make a free substack and share some reports and try to market themselves like that. Also, if you want to pivot you'll eventually be asked to pitch something anyway.
I'm going for an MS in mathematics, statistics or financial engineering (or similar)
But, I've decided going to pursue the second masters regardless because even industry corporate finance roles are seeking those types of backgrounds now.
If you look at the resume books for the programs you're interested in you'll see that outcomes may skew towards trading, research, whatever random group etc... even if they aren't explicitly targeting that goal. Example, but the gap between random math program or targeted masters is large enough the discussion should be about exact programs at specific schools not general subjects.
too late tbh
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