"Exit Opps" and the sequential nature of early finance careers

More of a question out of sheer curiousity than anything concrete.. but why and how did the idea of exit opps and jumping from one job to another to another to B-school then another job come about?

Why is it that finance has such regimented steps/pathways that rely on prior brands/credentials in other areas before settling in?

Case in point, take getting into an activist or deep value fund:

Step 1: top university; Step 2: top bank in a top group in IBD; Step 3: top private equity fund as an associate.

Isn't this just credential collecting? What's the logic here - why not just recruit out of university?

2 Comments
 

Hi princepieman, whoops, looks like nobody chimed in here.... maybe one of these discussions below is relevant:

  • Exit Opps from Accenture, Deloitte, and The Monitor Group the exit opps for The Monitor Group; I think they may be better than Accenture and Deloitte. careers ... opportunities. manbearpig- Corporate Finance Vice President: They have the same exit opps as any other consulting ... exit opps, but if you're doing actual MC at any of these places,
  • Burning out and don't know which exit opps I want soon be completing my 2nd analyst yr in IBD at a BB bank (MS/ GS), and don't have an exit opp ... in advance for any advice IBD BB banking Burn Out exit opp to Saturday, April 2, 2016- 4:55pm ... (not in the US), as well as move out of finance entirely if the role is interesting My situation:- Will ...
  • Moelis LA vs Moelis NY. How do they compare in terms of exit opps and career projection? What would you choose? that Moelis LA gives you better exit opps but is that true only for PE or is it true for HFs as well? ... become a PM at a hedge fund. Also, are you aware of any other difference between the offices? Does the ... amount of working hours change? Is compensation the same despite LA's lower cost of living? Assuming ...
  • Lower Lower Middle Market M&A and exit opps; how small is too small for a deal?? deals in the $25-50 million range. They have a headcount of 200 employees in about 10 countries, and the ... All, I'd really appreciate your insight and career advice. I know there are several posts ... (emphasis on lower) middle market M&A shop that targets deals in the $5-10 million range with occasional ...
  • Lifestyle/Pay/Exit-Opps/Job locations.... A lot of questions! just put it here. So basically, I'm thinking about a career in finance and wanted to get some ... I'm not really sure where this would go since it's kind of a broad topic, so I'll ... real-life advice from people in the industry. I know that this may sound immature, childish even, but, ...
  • Investment Consulting vs PB/PWM: Which has better exit opps, better regarded the industry compared to PB, and also presents better exit opps and valuable finance exposure, ... all great opportunities. Personally, if I were to stay within finance as a long term career, I would ... be interested in being in a sales or fundraising type of role, with a strong aspect of relationship ...
  • Big 4 Valuation Career (entering, compensation, exit opps, etc.) From what I've seen in this board exit opps include: Corp Development in industry, Hedge Funds, ... guys/gals/monkeys...... compensation Exit Opps Salary ... to make the switch? In other words, are there any benefits of getting out after a few years versus ...
  • More suggestions...

I hope those threads give you a bit more insight.

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