TMT bankers: why did you choose TMT

Incoming BB TMT analyst here. My placement was random, so I'm curious to know, for TMT bankers, why you would choose TMT (if applicable) and which parts you like the most (apart from exit opportunities)?

Thanks.

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Well I'm not currently in TMT but have worked in TMT before. It comes down to personal preference. Personally, I really like tech companies because they improve business making and are at the forefront of innovative value creation. I like their business models (especially Enterprise SaaS: these are sound, defensible businesses that solve real life problems and create massive efficiencies, moreover, they're highly scalable due to their low variable costs. You also have more vision over whether they're sound of not due to the contractual nature of those businesses and metrics such as CLTV/CAC), their growth and the fact that tech exposes you to a lot of underlying target industries. However, in M&A, you're likely not going to work for Salesforce or Stripe. You will work on media, hardware and IT infrastructure companies too so you have to ask yourself whether this is something you'd like to learn about.

You also need to know whether you're prepared to work longer hours than in other coverage departments. Lastly, TMT will better prepare you for VC/growth exits or to be a tech entrepreneur if that's of interest.

 

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