Return Offer Rate Drawdown
I’ve been seeing return offer rates of roughly 50-65% across the board. Don’t know whether it’s because of AI replacing juniors or whether it’s due to high comp packages for seniors or whatever it dosent matter. I’m wondering if there are that many people not getting return offers, they would be forced to do FT recruiting.
However I am also hearing FT recruiting is somewhat slowing or is even being ran exclusively through networking (no formal apps) at some banks.
Genuinely wondering what a person does if they didn’t get a return offer and also strikes out on FT recruiting. Like where do you go? Small LMM boutiques?
If you don’t get a return offer and also strike out on full-time (FT) recruiting, there are still several viable paths to consider. Based on the most helpful WSO content, here’s what you can do:
Cast a Wide Net: Expand your job search beyond traditional investment banking roles. Apply to asset management (AM), investment management (IM), wealth management (WM), consulting, sales & trading (S&T), sales, tech business roles, and other finance-related positions. Limiting yourself to top-tier IB roles could leave you with no offers at all.
Network Aggressively: Networking becomes your most powerful tool. Reach out to every contact in your network, including alumni, former colleagues, and professionals at various firms. Some FT recruiting processes are indeed heavily reliant on networking rather than formal applications, so this step is critical.
Consider Internships Post-Graduation: If you graduate without a full-time offer, pursue internships to build your resume and fill any gaps. These internships can also help you grow your professional network and potentially lead to a full-time role.
Leverage Smaller Firms: Look into small lower middle market (LMM) boutiques or regional firms. These firms may not have the same prestige as bulge brackets, but they can provide valuable experience and a stepping stone for future opportunities.
Skill Development: Use the time to enhance your qualifications. Consider certifications like the CFA, GMAT, or other relevant credentials that align with your career goals. This not only strengthens your resume but also demonstrates your commitment to professional growth.
Stay Persistent: Some candidates secure FT roles as late as May of the following year, right around graduation. Keep applying, networking, and preparing for interviews.
Adapt Your Story: If asked why you didn’t get a return offer, be prepared with a concise and honest explanation. Avoid blaming others but acknowledge external factors like market conditions if applicable.
Remember, not getting a return offer or striking out in FT recruiting isn’t the end of the road. Many professionals have successfully pivoted and even landed at better firms by staying proactive and persistent.
Sources: For those of you who don’t get returns…, No return offer - advice needed, How to Navigate FT Recruiting: Learn from My Successes/Failures, Failed FT 2023 London - what now?, No return offer SA23.
are offer rates actually down? not doubting you but seems like every year around this time there's posts talking about returns getting slashed and it being the worst year in a decade
Definitely not an outlier year- as in we’ve seen this many times before. Moreso just a concern given the current environment with new unprecendted factors.
First new factor being record high senior comp packages at EBs and some BBs.
Second being introduction of AI integration within banks.
makes sense. percentage of interns cut may not be special, but re-recruiting will be as difficult as ever
the person who misses both lands in off-cycle territory, and it has more structure than people think. seats keep opening after the formal FT calendar ends, mostly from analyst attrition and from intern classes that under-converted, and the one predictable pocket is the wave of seats created by return-offer declines, which tend to surface in September and October because interns only get about two weeks to accept. the catch is that postings aren't the reliable way in. when a backfill does get posted the listing can be up for only a couple of weeks, so it goes to whoever was already watching or already known to the team, and the people who hear first are the junior analysts sitting near the empty seat and whoever staffs them.
which is the argument for keeping fall contacts warm while everyone else waits on portals. and yes, smaller shops are a realistic landing spot, with real precedent for trading up later.
the underrated piece is having the what-happened answer worked out before any of those conversations. blaming the market reads as deflection and gets checked. the version that holds up names one specific fixable thing you caught and corrected, then puts the outcome down to seat math.
appreciate the high quality comment
Can confirm ~60% return for my group. I was not one. Having seen how the sausage is made, it is incredibly unimpressive and leaves much to be desired. My recommendation is to find a new career path, unless you want to live behind a screen for 14hrs a day, make a menial time adjust salary, develop paranoia for fear of missing an email or a DM, have no personal relationships, and the wonder 2 or 6 or 15 years later what happened to your life and what you’ve accomplished - what a terrible existence. No wonder most burn out after 2 years. It’s very apparent the only reason individuals become MDs is because they failed to transition out earlier, pigeon holing themselves into a morbid existence with absolutely no transferable skills. Skip this rat race.
Doubt you’d be saying this if you got a return
100% feel this either way. Good luck banker bro, I’m sure you’re learning some super valuable skills. How was work today? 🤣🤣
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