Is going back to IB realistic?

Based on the most helpful WSO content, your situation is not uncommon, and there are several factors to consider when evaluating a return to investment banking (IB). Here's a breakdown of your options and realistic expectations:

1. Returning to IB: Feasibility

• Your Profile: Your 4 years of IB experience at a BB, coupled with your unique corporate development (CD) role, positions you as a strong candidate. However, the 5-year gap and the lack of recent deal experience in a specific sector or product could be a hurdle.
• Market Conditions: The current IB hiring market is competitive, and firms often prioritize candidates with recent, directly relevant experience. That said, your emerging markets exposure and diverse skill set (strategy, M&A, credit rating, project finance) could appeal to firms looking for candidates with a broader perspective.

2. Level of Entry

• Associate Level: Given your prior IB experience and the seniority you achieved (Associate 2), you could potentially re-enter at the Associate level. However, you may need to demonstrate that your skills are still sharp and relevant. Some firms might view your CD years as partially transferable but may not fully credit them.
• VP Level: Moving directly into a VP role is less likely unless you can clearly articulate how your CD experience aligns with the responsibilities of a VP in IB. VP roles typically require significant deal execution and client management experience, which may not align perfectly with your recent work.

3. Challenges

• Non-Traditional Experience: While your CD role is impressive, the lack of recent buyside or sector-specific experience may make it harder to compete with lateral hires or candidates with continuous IB experience.
• Emerging Markets Perception: Some firms may undervalue experience gained in emerging markets, especially if they perceive it as less relevant to their core business.

4. Strategies to Maximize Your Chances

• Leverage Your Network: Your existing network is a key asset. Reaching out to former colleagues or mentors can help you gauge interest and get a realistic sense of where you might fit.
• Target Boutique or Middle-Market Firms: These firms may be more open to candidates with non-traditional backgrounds and could offer roles that better align with your experience.
• Highlight Transferable Skills: Emphasize your M&A, strategy, and project finance experience, as well as your ability to adapt to different industries and geographies.
• Consider Sector-Specific Roles: If you can reconnect with your previous IB coverage sector or develop expertise in a specific industry, it could make you a more attractive candidate.

5. Alternative Paths

• Corporate Development: If returning to IB proves challenging, you could explore CD roles at larger, more acquisitive companies in developed markets. These roles often value your diverse skill set and could offer a better work-life balance.
• Private Equity or Infrastructure Funds: Your project finance and emerging markets experience could be valuable to PE or infrastructure funds with a focus on those regions.
• MBA or Executive Education: While not strictly necessary, pursuing an MBA or executive program could help you rebrand and re-enter IB or pivot to other high-level finance roles.

6. Final Thoughts

• Returning to IB is possible, but you may need to temper expectations regarding the level of entry and be prepared to demonstrate your ability to hit the ground running. If you're not willing to start at the Associate level, you might find better opportunities in CD, PE, or strategy roles that align more closely with your recent experience.

Before reaching out to your network, take time to refine your story, emphasizing how your unique background adds value to potential employers. If you're set on IB, focus on firms or groups that value diverse experiences, such as those with a strong emerging markets or infrastructure focus.

Sources: Corporate Development Manager - Q&A, 34 year old day trader to investment banker, Corporate Development: My Experiences and Background, Q&A - Top Tech / Media Corporate Development Associate