BB to EB laterals (and vice versa)

Based on the most helpful WSO content, lateral moves between BBs and EBs are not uncommon, but the direction of the move often depends on career stage and goals:

1. EB to BB: It's generally less common for senior analysts or associates to move from an EB to a BB. EBs often provide more hands-on experience, leaner deal teams, and higher compensation at the junior levels. However, BBs offer broader exposure to products, larger deal flow, and stronger brand recognition outside of finance. If your long-term goal is to work at a BB, it might be easier to make the switch earlier in your career, as moving from an EB to a BB at more senior levels can be challenging due to differences in deal focus and skill sets.

2. BB to EB: This is a more typical path, especially for those looking to specialize in M&A or advisory work. BBs provide a strong foundation with exposure to a variety of deals and products, which can make the transition to an EB smoother. Many professionals aim to make MD at a BB and then move to an EB for higher compensation tied to deal success and a more focused advisory role.

3. Key Considerations:

   • Brand Recognition: BBs like GS, MS, and JPM have unparalleled brand value, which can be advantageous for long-term career growth, especially outside of finance.
   • Skill Development: EBs often emphasize technical skills and responsibility at the junior level, which can be attractive for PE recruiting or other exits.
   • Career Goals: If your goal is to stay in banking long-term, BBs might offer a steadier career path with more predictable growth opportunities. Conversely, EBs can be more lucrative and rewarding for those who thrive in a leaner, more entrepreneurial environment.

If you have a strong shot at a top EB in London, it could be a great stepping stone, especially if you later aim to lateral to a BB. However, keep in mind that moving from a BB to an EB is generally seen as a more natural progression.

Sources: The Case for Elite Boutiques over any Bulge Brackets in 2022, Why would any associate+ banker choose a BB over EB?, The Case for Elite Boutiques over any Bulge Brackets in 2022, David and Goliath: The Boutique and The Bulge Bracket, Boutique vs. Bulge Bracket in a Recession