Need LevFin Advice

Transitioning into Investment Banking (IB) from a corporate banking credit underwriting role can be a strategic move, especially if you're targeting a LevFin (Leveraged Finance) team. Based on the most helpful WSO content, here are some key considerations for your situation:

1. LevFin Portfolio Management Role:

   • While this role may not involve holding the pen on underwriting or modeling, it offers exposure to the LevFin space, which is highly relevant for transitioning into IB.
   • Being part of a LevFin team at a bulge bracket bank with a strong franchise is a significant advantage. You'll gain proximity to front-office bankers, which can help you build relationships and network effectively.
   • Even with limited underwriting exposure, being involved in the process and understanding deal structures can still add value to your skill set.

2. Comparison to Current Role:

   • Your current role provides both underwriting and portfolio management experience, which is broader in scope. However, it is still within corporate banking, which may not align as closely with IB as LevFin does.
   • The LevFin role, despite less underwriting exposure, positions you closer to IB functions and could serve as a stepping stone for a future transition.

3. Networking and Long-Term Goals:

   • Networking is critical for making the leap into IB. The LevFin role could provide better opportunities to connect with IB professionals, especially if you actively engage with the front-office team.
   • If your long-term goal is IB, the LevFin role aligns more closely with the skill set and experience IB teams value, even if it sacrifices some underwriting exposure in the short term.

4. Strategic Considerations:

   • If you take the LevFin role, focus on leveraging the exposure to front-office bankers and demonstrating your interest and capability in IB-related tasks.
   • Consider how this move fits into your overall career trajectory. If the LevFin team has a track record of facilitating transitions to IB, it could be a worthwhile step.

In summary, while the LevFin Portfolio Management role may have less underwriting exposure than your current position, it offers a more direct pathway to IB, especially given the proximity to front-office bankers and the relevance of LevFin experience. If transitioning to IB is your ultimate goal, this move could be an upgrade strategically.

Sources: Leveraged Finance – 2017 Update, Corporate Banking Huddle, What is corporate banking?, Why corporate banking instead of investment banking?, A Guide for Switching From Commercial Banking to Investment Banking