Effort level
Analysts and associates (or former an/asc): how much effort do you genuinely put into your job? Has it evolved over time? It’s pretty standard that analysts who have a PE job lined up take their foot off the gas and as their last day approaches put less and less effort in. This is intentional to pass the baton to the next group of analysts. But for associates that are in it for the long haul or analysts going A2A, how much effort are you putting in?
Let’s say 100% effort is immediately responding to every email, going above and beyond with every task, thinking ahead and doing work before asked, diligently reviewing your work for 100% accuracy, being intimately familiar with every workstream even jf you aren’t owning it, proactively cancelling plans to be available during busy times, and highlighting potential issues to your seniors.
Let’s also say that 0% effort is only doing tasks when explicitly asked, passing tasks to others whenever possible, no checking of work, never adjusting your personal life for work, and generally optimizing for minimal effort.
Based on the most helpful WSO content, the effort level among analysts and associates in investment banking can vary significantly depending on several factors, including career aspirations, personal work ethic, and the culture of the firm. Here's a breakdown of how effort levels might evolve over time for different types of investment banking professionals:
Analysts with PE Jobs Lined Up: It's a common observation that analysts who have secured private equity positions might start to reduce their effort as their departure date approaches. This gradual reduction in effort is often seen as a way to transition responsibilities to the incoming group of analysts. Initially, these analysts might operate at a high level of effort, possibly close to the 100% mark, as they aim to secure their exit opportunities. However, as they secure positions and their focus shifts towards their next role, their effort might decrease, potentially dropping to a lower percentage as they start to delegate more and prioritize their upcoming transition.
Associates in it for the Long Haul: Associates who are committed to building a long-term career in investment banking or aiming for promotions within their current firm are likely to maintain a high level of effort consistently. For these professionals, effort levels might consistently hover around the 80%-100% range, as they understand the importance of building a strong reputation, delivering quality work, and contributing to the success of their team and firm. They are likely to go above and beyond in their tasks, proactively manage workstreams, and be prepared to adjust their personal life to accommodate work demands.
Analysts Going A2A (Analyst to Associate): Analysts who are aiming to be promoted within their firm to an associate position are also likely to maintain a high level of effort, similar to long-term associates. These individuals understand that their performance, work ethic, and contributions are under scrutiny as they seek promotion. Effort levels for these analysts might also be in the 80%-100% range, as they strive to demonstrate their readiness for the next step in their career by taking initiative, ensuring accuracy in their work, and being proactive in their responsibilities.
In summary, while effort levels can vary widely among investment banking professionals, those with clear career goals within the industry (whether aiming for promotion or building a long-term career) tend to maintain high levels of effort. On the other hand, those with secured exit opportunities might experience a natural decline in effort as they prepare for their next career move.
Sources: What do your IB associates do?, Observations of an Equity Research Associate, Work/Life Balance: Equity Research vs. Investment Banking - (A Definitive Guide, Part 1), Do you guys actually enjoy your jobs?, Associates who “Do” vs. “Review”
From my experience, the A2As that I worked with and were in it for the long haul were at 40%.
I’m going A2A. For me, I’m incapable of giving 100% effort on everything. I turn into a miserable human and performance drops like a rock on everything. So instead I try to identify which projects actually matter and which ones do not. For the projects that matter, I give up to 80% effort. The ones that don’t, I’m giving a solid 35-50p. It’s kinda worked so far. Can be an issue when you think a project doesn’t matter and the director starts digging in.
As an A2A myself, I agree with the above. Banking is a marathon, and sprinters die young
Went A2A - in my first year I put in full effort and wasn’t good at my job. Bottom bucket.
In my second year I put in 75% effort on projects that mattered, probably 30-40% effort on pitches, was upper middle (skills and modeling improved since prior year)
After that, have been at 70% effort on deals, and 25% effort on pitches. Eventually, by even analyst 2, you become familiarized with most tasks and workstreams, and you can feel confident to head home at 7pm, hit the gym, eat, watch a show while checking for emails, make some revisions at 9pm and wrap up by 10:30pm on most evenings if nothing super urgent needed on the next day. This is for middle market, ymmv at larger firms.
These are generalizations, but based on my experience at a BB:
Analyst / Associate 1s: Close to 100%. Reasons could be i) because they’re slow at the job, ii) grinding for the exit opps or iii) trying to establish internal reputation
A to A first year Associates: the laziest cohort in my opinion. Were likely treated like kings/queens because they stayed at the bank, and are now coasting and riding their reputation until they can find their next role. 30-60%
Experienced Associates and VPs: All over the place, although the lower effort individuals have recently been getting laid off or screwed via shitty bonuses, so skewing higher recently. To be “good” at this level requires a lot of hard work, both in terms of hours and stress level. Probably the hardest workers at the bank in this regard. 70-100%.
*I’m a part of this cohort and would say I average ~90% effort. Slightly more on live deals and slightly lower on pitches
Directors: similar to the above, although a bit less hours and more travel. Saw some really lazy ones but they’ve been getting axed or moved around internally. 80%
MDs: no idea
As some posters have said, this can (and should) vary wildly based on type of project (deal vs pitch vs internal bullshit)
you have to do 100% in the first couple of years to make yourself a reputation and then can chill.
for me Y1-2 100%, Y3 80%, Y4 70%, Y5 20%.
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The level of effort can also be influenced by individual motivations and goals. Those who are driven by a passion for their work or a desire to excel in their careers may consistently put in high levels of effort, regardless of their career stage. Others may prioritize work-life balance or have different priorities outside of work, leading to varying levels of effort. Expectations for effort and performance can vary between firms and teams within the finance industry. Some firms may have a culture of long hours and high intensity, while others may prioritize work-life balance and efficiency. The expectations set by senior leadership and the team culture can impact individual effort levels.
easy there Altman
I'm putting 100%, but everyday I try to put 1% more so when you add it, that's an increased 365% effort per year. So next year I hope to put a total of 465% effor and do the same, so it will look like this:
Y1: 465% effort
Y2: 800% effort
keep adding 365% for 2 more years, because then I will be the youngest BB CEO in history before my 30s 🐺🐺
#fewWillUnderstand #sigmaGrindset #shineandgrind
Strong pro forma adjusted effort level.
in Y2 it's not 830% because I busted a nut after 6 years of NoFap and I felt down for almost 1 month (=30% effort lost)
While I don’t agree with what you consider “0%” (0% is quiet quitting and doing no work), I’m close to 0% by your standards as an A2 moving to PE
Doing no work is negative (not zero) effort because you are literally not doing your job and the rest of your team has to pick up your slack causing them to have to work harder. Also, because you are on the team, staffers won’t add another person. But fine if you’re leaving for PE. Would think you would still do work if explicitly asked to do something
I see what you mean but what you described is closer to value add. By being at 0% effort you are a negative% value add (ergo value detract) as you’ve described.
0% effort means doing nothing.
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