Currently in credit risk at a large bank, have been doing this for many years and on the verge of making VP at the end of the year. Given how closely we work with IB (coverage teams too, but mostly LevFin/DCM), there have been many exits every year to IB from my group. Hours right now are ~65-70, which is manageable but definitely not a ‘chill’ lifestyle for the steep discount in pay to IB. Curious if things would change on the comp or lifestyle front upon making VP that would make it worthwhile to stick around instead of actively recruiting for IB or buyside roles? Or should I be aiming to get out sooner rather than later?
Alternate option is to stick around, clip the VP title and leverage it for an M7 MBA application
Any insight is appreciated. Thank you.
Based on the most helpful WSO content, here are some insights to consider:
Staying in Your Current Role:
Moving to Investment Banking or Buyside:
MBA Consideration:
Personal Considerations:
Conclusion:
Ultimately, the decision should align with your long-term career goals, personal preferences, and the current market conditions.
Sources: Stuck in Corporate Banking - Fighting Complacency, Lifestyle Change from Associate to VP, From Private Equity Associate to VP in Private Equity, Why move to PE/HF at all?, Should I leave IB for my girlfriend, who I want to marry and have a family with?
You waited far too long. If you wanted to pivot to banking, 2021 was a perfect opportunity to do so.'
Does your firm have a leveraged finance group? If so, and they like/respect you, id try like crazy to join them.
Otherwise I doubt a front office team would let you join as an associate 1 in this market. Your best bet is an mba imo
Thank you. But how would you approach this looking forward?
youre too senior at vp unfortunately i feel.
Agree with the rest, being VP and it being a very tough market are big hurdles. I'm sure the analysts and some junior ASOs move but does your team actually exit VPs to IB?
VP in IB is a VERY tough role to move into without experience, you are expected to have a lot of knowledge and build a book quickly. You'll just inherently be bottom bucket vs the people with 4 years of ASO experience, and at risk of being shuffled out quickly. Same with buyside, you don't have the skillset for vanilla PE.
Grass is always greener too. VP is IB is more like 80 hours and very high-stress given how many deals/clients VPs are managing. Even more if you are trying to learn the ropes, figure out how to check a model, etc
ETA I missed this the first time - if you want to go to M7 MBA that's fine, but you'll lose 2 years of salary just to then start over at ASO 1 with 4 years to VP, which doesn't make a ton of sense. No options to recruit for buyside without prior experience from MBA. I would lateral to a very small bank that might take a chance on you to do IB before doing that...
Thank you for the comment - you are right, very few moves, if any, at the VP level. Usually just to similar roles at a different bank for a pay bump. Analysts make the move every year.
What would you do in my position then? It seems like sticking around would further pigeonhole me into being a ‘risk guy’, despite the benefits of better hours, marginally higher comp at VP.
Risk is so broad, it varies by group - sounds like you're in a more credit focused role, and potentially cover a specific industry or two? Or do you cover credit products?
I'd look for smaller (MM and below) banks / firms: credit research, fixed income AM, equity research, lev fin/DCM at MM or international bank, etc. Do it now before you make VP. The more market risk focused groups tend to exit to S&T. If you are an expert in a handful of debt products that might be an option.
MBA is always there, maybe take the GMAT and start thinking about it while you apply to other jobs. I assume you're in early 30s, you certainly wouldn't be the oldest person there but you'd be losing a lot of experience - and just go to into IB ASO, which the vast majority of MBA graduates leave as quickly as they can.
Beatae odit id aperiam doloremque sed amet libero aut. Praesentium sed voluptas nemo rerum dolor. Similique quo distinctio numquam est. Deserunt facere et est ut.
Quia nesciunt rerum qui. Odit magnam tempore totam ut excepturi saepe qui. Consequatur nostrum ab aspernatur quos in voluptatem.
Sit veniam occaecati aliquid aspernatur natus aperiam vero incidunt. Enim dolor omnis sed ab consectetur quos excepturi. Repellat nihil in veniam est tempora et. Autem ipsa laborum laboriosam quas. Officiis magnam laboriosam et distinctio quae. Provident ea qui et ipsa. Delectus eligendi consequatur ut minus possimus aut et error.
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...