Given the lack of a direct balance sheet, how much of a difference is it working in FSG at an Elite Boutique (Evercore, Laz, etc) versus at a bank? Is the day-to-day similar to the banks? Would assume the M&A/industry team does most of the heavy lift on M&A deals and the Capital Markets Advisory/industry does most of the heavy lift on capital raises
| +149 | Return Rates For Interns Are Falling? | 46 | 1h |
| +127 | UBS Americas IB: The Kids’ Table of Wall Street | 16 | 2h |
| +84 | I am a drunk MD AMA | 35 | 2h |
| +73 | London IB BB is a challenge | 40 | 9h |
| +61 | VP Lifestyle at Top BB Coverage Groups | 39 | 7h |
| +52 | An Outsider’s View of RX Banking Out of College | 6 | 1d |
| +51 | One year since I didn't get a return - advice | 2 | 3h |
| +48 | SharePoint makes IB hours HELL | 15 | 2d |
| +42 | momentum of Rx groups | 15 | 10h |
| +39 | Fired during interview | 8 | 15h |
Career Resources
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
Based on the most helpful WSO content, working in a Financial Sponsors Group (FSG) at an Elite Boutique (EB) like Evercore or Lazard can be quite different from working in FSG at a full-service bank due to the lack of a direct balance sheet. Here are some key points to consider:
Leveraged Finance: At a Bulge Bracket (BB) bank, the FSG has access to the bank's balance sheet, which is crucial for leveraged buyouts and other sponsor-related deals. This means that BB banks can underwrite and syndicate debt, which is a significant part of sponsor deals. EBs typically don't have this capability, so they may have to partner with other institutions for the financing aspect.
Advisory Focus: EBs, including Evercore and Lazard, pride themselves on their advisory expertise. Without the balance sheet to provide financing, EBs focus on providing high-quality, conflict-free advice. This can mean that the FSG at an EB might be more involved in the strategic aspects of deals.
M&A and Industry Teams: In an EB, the M&A and industry teams might indeed take on a significant portion of the work related to M&A deals. Since EBs are known for their advisory services, these teams are crucial in delivering the in-depth analysis and strategic guidance that clients expect.
Capital Markets Advisory: For capital raises, EBs may have a Capital Markets Advisory group or similar teams that work closely with clients to structure and advise on capital raising strategies. However, they would typically not be underwriting or directly providing the capital, as a BB would.
Client Relationships: The FSG at an EB might focus more on building and maintaining relationships with private equity firms and other financial sponsors. Since EBs are not providing the full suite of services that a BB can offer, these relationships are key to winning advisory mandates.
Deal Flow: The deal flow at an EB might be different as well. While BBs might see a larger volume of deals due to their financing capabilities, EBs might work on more complex or high-profile advisory mandates.
In summary, while there are similarities in the day-to-day work, such as conducting due diligence, financial modeling, and preparing presentations, the lack of a direct balance sheet at an EB means that the FSG's role is more advisory in nature, and there is a greater reliance on the M&A and industry teams for executing deals.
Sources: https://www.wallstreetoasis.com/forum/investment-banking/whats-so-good-about-evercore?customgpt=1, What Is The Next Bulge Bracket Bank or Will There Ever Be Another Bulge Bracket Bank?, Another Way to Classify Boutiques, https://www.wallstreetoasis.com/forum/investment-banking/why-go-from-elite-boutique-to-bulge-bracket?customgpt=1, Life In The Financial Sponsors Group
Unde qui eligendi velit pariatur id qui quia. Reprehenderit eveniet pariatur magnam minus hic. Soluta cum consectetur esse excepturi officiis. Quas qui nobis deleniti corrupti eum voluptatum nemo. Reprehenderit soluta voluptatem odit consequatur.
Voluptatem eveniet voluptatem aliquid repellendus sint. Ab dicta repudiandae omnis maiores qui. Ex eos animi rem. Aut distinctio quaerat voluptatum recusandae quia est ratione. Laboriosam neque sed quis quas id. Minima incidunt vel quia.
Facere quae expedita tempora qui ut. Nisi sed quia ea nemo unde quisquam. Deserunt dolorum non tenetur est est. Facilis deserunt aut et animi labore similique.
Dignissimos quam non est veritatis sed sit repellat modi. Qui qui quos quae error ex architecto at. Dolor aliquid incidunt quam aut.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...