FT Guidance/Advice
Currently at an MM and I am deadest on lateraling to a better platform (top BB/EB) for the optionality in terms of exits. We haven't done group placement yet for FT and I was wondering what groups I should aim to gun for.
Bank has all the usual industry coverage teams and M&A/Rx teams. However I am not that into Rx. Should I just gun for a group based on deal flow and reps I get with modeling in order to maximize lateralling opportunities?
I tried reading primers for each industry but if working as an intern taught me anything it's that all of them have something interesting going for them and I am not overly crazy about one in particular. Typing this out makes it seem like a good fit for the M&A group but the juniors on that team don't get that many reps.
Based on the most helpful WSO content, here’s how you should approach this:
Prioritize Groups with Strong Exit Opportunities: If your goal is to lateral to a top BB/EB and maximize buy-side exits, focus on groups that are known for strong placement into private equity or other buy-side roles. M&A and industry coverage groups with high deal flow and modeling exposure are typically the best bets. Even if you're not into Rx, M&A is still a solid choice for its broad applicability and skill-building.
Evaluate Deal Flow and Modeling Exposure: Groups with consistent deal flow and opportunities to work on live transactions will give you the reps you need to build your technical skills. This is critical for lateraling and impressing headhunters. If the M&A group at your current bank doesn’t offer enough reps, consider industry coverage groups with high activity, such as TMT, Healthcare, or Industrials, as they often involve complex deals and modeling.
Leverage Networking and Internal Mobility: Start building relationships with juniors and seniors in the groups you’re targeting. This will help you get a better sense of the group dynamics, deal flow, and potential for skill development. Networking internally can also position you favorably when group placement decisions are made.
Keep Optionality in Mind: Since you’re not overly passionate about a specific industry, aim for groups that provide broad exit opportunities. TMT, Healthcare, and Industrials are often sought after for their versatility and strong placement records. Avoid groups like ECM or Syndicate, as they typically don’t lead to buy-side roles.
Prepare for the Lateral Move: While you’re at your current bank, focus on excelling in your role, building a strong technical foundation, and networking externally. Headhunters will prioritize candidates who can demonstrate strong technical skills, a solid track record, and a clear rationale for lateraling.
In summary, aim for a group with high deal flow and strong modeling exposure, such as M&A or active industry coverage teams like TMT or Healthcare. Build your skills and network strategically to position yourself for a lateral move to a top BB/EB.
Sources: https://www.wallstreetoasis.com/forum/private-equity/going-from-mm-investment-bank-to-mega-fund?customgpt=1, https://www.wallstreetoasis.com/forum/investment-banking/breaking-into-private-equity-from-banking?customgpt=1, Accept mid-tier BB Offer or continue recruiting?, PE Lateral Recruiting Advice/Stories/Help?
Depends what exit you are optimizing for. I would rank them in order for generalist-type groups that have the most deal flow (TMT, Industrials, Consumer etc). If M&A doesn’t get much reps is that because there isn’t much M&A at the bank or that they don’t hold the pen on models?
Thanks for replying! In terms of exit I want to optimize for PE. The insight about generalist groups makes sense. The M&A group at my bank is used like a bitchwork support function. They are thrown into deals across the different groups and usually the juniors already in the industry groups take care of the modeling and the M&A juniors help with the rest. However, the bank did hire a big shot name to revamp the M&A team and they kept pushing the notion that the M&A team will now start pursuing their own mandates. I am not sure how likely this is to pan out and that's holding me back from trying to get that group.
Fair enough on the M&A group.
I would say in terms of exits for PE, you might pick the group that had better exits by checking LinkedIn, opportunity for recruiting while on the job, and highest likelihood for deal flow.
While you could take a chance on M&A if the big shot name is really good, you might like to rank it #5 behind 3-4 generalist coverage groups that all fit your criteria.
Are you sure none of the industries appeal to you? Media & communications or tech within TMT, specific parts of healthcare and trends in healthcare PE, subverticals within Industrials or consumer/retail coverage?
Sorry, I should have been clearer. My main objective is figuring out which group I should target to position myself for a move to a stronger bank. The PE exit is more of a longer-term goal rather than the primary driver of that decision. However, I guess the Linkedin thing still works in this context.
In terms of industry appeal, I actually find most of them interesting. The problem is I don't click with one in particular, and I like to find out new things about all of them. I think I would have been perfect for the M&A group if it wasn't for the bet I would have had to place on it.
What MM bank has M&A and RX + coverage groups?
Sounds like HL
no, hes going thru FT placement. hl recruits SA separately for RX/M&A
Et quia autem reiciendis et nemo porro. Quis qui in non repellat. Laudantium sit quo reprehenderit id explicabo minus.
Fugiat facere est ad tenetur harum. Rerum voluptatibus dolorum eveniet suscipit. Distinctio nihil voluptatem ut quam molestiae consequatur nihil incidunt. Sint ipsa eos reprehenderit aut incidunt sed aut. Aut nam sint rerum nihil. Nesciunt minus nostrum ratione tenetur. Aut molestiae occaecati earum sed.
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...