Coverage (MM) or M&A (LMM)

Currently in a predicament with an offer for AS1 M&A at a MM/LMM bank and currently an AN3 at a MM coverage group in their strongest industry group. Lateraled to my current back about 10 months ago after 1.5 years doing M&A at a very small boutique. Miss doing M&A and have a “promotion offer” for associate. This is in a tier 2 city with both banks paying street so that isn’t a concern.

The work in coverage has been on much bigger companies and deals, but seems like the work is just all profiles and only so much deal work. Anyone else make this decision? Thanks in advance!

4 Comments
 

I would think if you plan to stay in banking long term, coverage is 100% better for becoming a senior banker. At that level industry knowledge is significantly more valuable than modeling and process knowledge. If you want to leave and do something else, I’d probably argue M&A but there’s still something to be said for coverage skill set.

 

Sounds like the job offer is for more pay, with a more senior title, doing higher quality work, and grabbing more M&A reps. Genuine question: why wouldn’t you take it? Without more context, unless you love your industry group and plan to stay in it forever, it sounds like a no brainer.

Even if you do love your industry group, switching from making company profiles all day to actually executing deals STILL sounds like the right move. Can always move back into coverage later.

 

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