SM fixation on developing interns/grads vs lateral hiring

Just wanted to cross check the my experience of noting no correlation with high returns the strategy of some SMs that pride themselves of having a large % (sometimes all) of their analysts coming from intern programs or developed "in-house" right after college. Those funds use that as marketing that make they seem to attribute this hiring style to their returns. This is so cringe. I see an almost inverse correlation to that - most of the best funds seem to focus on laterals. What about you?

3 Comments
 

Who tf says this? Feel like no fund does this, 95% of good funds won’t even hire out of ug… also looking for the 5% that might as a sophomore in college :)

 

Quo beatae modi qui iusto molestiae quam repellat. Iste odio illo et earum earum. Molestiae earum qui nemo omnis iste et doloribus. In sed dolor atque sint fugiat eaque doloribus. Aut et voluptas tenetur tempora aut.

Career Advancement Opportunities

June 2025 Hedge Fund

  • Point72 99.0%
  • D.E. Shaw 98.0%
  • Citadel Investment Group 97.1%
  • AQR Capital Management 96.1%
  • Magnetar Capital 95.1%

Overall Employee Satisfaction

June 2025 Hedge Fund

  • Magnetar Capital 99.0%
  • Millennium Partners 98.0%
  • D.E. Shaw 97.0%
  • Blackstone Group 96.0%
  • Citadel Investment Group 95.0%

Professional Growth Opportunities

June 2025 Hedge Fund

  • AQR Capital Management 99.0%
  • Point72 98.1%
  • D.E. Shaw 97.1%
  • Citadel Investment Group 96.1%
  • Magnetar Capital 95.1%

Total Avg Compensation

June 2025 Hedge Fund

  • Portfolio Manager (9) $1,648
  • Vice President (26) $463
  • Director/MD (12) $423
  • NA (8) $337
  • Engineer/Quant (84) $285
  • 3rd+ Year Associate (26) $284
  • Manager (4) $282
  • 2nd Year Associate (31) $257
  • 1st Year Associate (76) $192
  • Analysts (236) $182
  • Intern/Summer Associate (27) $144
  • Junior Trader (5) $102
  • Intern/Summer Analyst (270) $92
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
BankonBanking's picture
BankonBanking
99.0
3
Betsy Massar's picture
Betsy Massar
98.9
4
Secyh62's picture
Secyh62
98.9
5
GameTheory's picture
GameTheory
98.9
6
kanon's picture
kanon
98.9
7
CompBanker's picture
CompBanker
98.9
8
DrApeman's picture
DrApeman
98.9
9
dosk17's picture
dosk17
98.9
10
Jamoldo's picture
Jamoldo
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”