Hi All -
Little background: started in PE at a MF right out of undergrad, transitioned to a smaller MM fund. I really want to transition over to the public markets and curious how ya'll framed your reasoning / thought process during the interviews?
For me, I really like the fast paced / eat what you kill work style, focus on macro / geopolitics / etc., dont have to actively manage the investments
Also, this may or may not be a hot take but the MM and LMM PE firms are so commoditized at this point there's virtually no differentiation and honestly my firm hasnt closed a deal in so long
I really dont like doing these LBO models where we basically just have to back solve to a 3x and the MD already knows what he's willing to pay anyways.... I want to learn how to be able to invest for myself in the long term and understand how the financial markets work and for me I think a HF role would suit that. I want to focus on L/S
Also, lets be real, the money is a big draw too...no risk no reward
Plz no snark and ty!
Why'd you switch to a smaller fund?
it was an opportunity to join a new fund that's more horizontal / less bureaucratic, wear various hats, and actually get the opportunity to source (this industry is all relationships any way)
my old firm got very crowded at the top w external hires and candidly culture was pretty bad as well
Think you answered your own question there
ha yes i did i guess...just wondering if it will suffice / is compelling enough
I joined a pod from a LMM/MM PE shop. I wouldn’t worry too much about it tbh. Ya you’ll get asked why you want to make the move and your answers are fine. In reality it’s not really all that important because you’ll be talking to people who think public is better by proxy so it’s not like you’re trying to convince anyone - you’re just showing that you know what the key differences are. The process will reveal if you actually know what you’d be getting yourself into and if you’d be a decent enough fit. It’s up to you to know if the job is a good fit for your personality/style, and let me tell you, it’s not for everyone.
Who is it for?
Hey,
It sounds like you've got a solid background in PE, which will definitely help with the transition to public markets. In interviews, I’d focus on how you're drawn to the fast pace of public markets, the excitement of following macro trends and geopolitics, and how you’re eager to move away from the repetitive nature of LBO modeling in PE.
You can also mention that you want to gain the skills to invest independently and understand the markets better. And yeah, it’s totally okay to admit that the potential for higher earnings is a factor—especially when you're willing to take on the risk.
Good luck with your move to a hedge fund role! Sounds like it could be a great fit.
not sure if youve de activated your account but would love to chat! thanks
Hey man!
That accounts been taken down PM me on this dude!
Your reasoning makes sense. In interviews, you can frame your transition by highlighting your passion for public markets, your enjoyment of macro and geopolitical analysis, and your desire to move away from the more commoditized aspects of PE. Emphasize your skills in understanding financial markets and your drive to invest independently. Also, be honest about how the potential for high returns in a hedge fund aligns with your career goals.
super helpful thank you. the way you phrased is much more cohesive than my ramblings
Hey Finance gal,
Are you still active on WSO?
yes sorry just responded to your dm
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