Working in IB for free?

Is there any place that would let me work for free? This would most likely only work for an internship at a dodgy boutique though.

I don't need the money since my parents are relatively wealthy and I just wanted to go into a really prestigious career for a few years before retiring and living off my inheritance.

The ideal scenario would be to get into IB -> do 3 years as an analyst -> PE associate for 3 years -> retire and live off inheritance or leverage my elite experience to start a tiny venture capital fund.

Realistically I might not even get into IB after graduating. :(

I really want IB more than anything and would be willing to do it for free. Most people do IB for the pay and if I'm willing to work for free - even if it's just for an internship, hopefully I'll have better odds with some boutique taking me on.

11 Comments
 

Based on the most helpful WSO content, here are some insights regarding working for free in Investment Banking (IB):

  1. Unpaid Internships at Boutiques:

    • Legal and Practical Challenges: Offering to work for free can be a legal gray area and a hassle for firms, especially small boutiques. Training an intern, even an unpaid one, requires resources and time.
    • Limited Work Availability: Many boutiques may turn down offers to work for free not because of financial constraints but due to a lack of work. If they do accept, you might end up doing administrative tasks rather than gaining valuable experience.
  2. Strategies to Secure an Internship:

    • Cold-Calling and Networking: Cold-emailing and reaching out to a large number of firms can increase your chances. Target small, lesser-known firms rather than big names.
    • Family and Friends: Leverage connections with family friends who own small firms. This can be a more straightforward way to secure an internship.
    • Search Funds: These are small "PE" shops run by former investment bankers or private equity professionals. They are more likely to take on free interns.
  3. Alternative Paths:

    • PWM (Private Wealth Management): This can be a stepping stone towards IB. Small local players in PWM might be more open to taking on unpaid interns.
    • Diverse Internship Experiences: Many successful IB professionals have had varied internship experiences, including working at small boutiques, fintech companies, government offices, or even no-name hedge funds.
  4. Timing and Persistence:

    • Prime Time for Internships: February and March are key months when boutiques look for interns. Be proactive during this period.
    • Persistence: Cast a wide net and be prepared to reach out to numerous firms. Persistence is crucial in securing an internship.
  5. Potential Downsides:

    • Admin Work: If accepted to work for free, you might end up doing menial tasks rather than gaining meaningful experience.
    • No Guarantee of Future Employment: Working for free does not guarantee a future paid position or a significant advantage in the job market.

In summary, while working for free might seem like a viable option to break into IB, it comes with several challenges and potential downsides. It's essential to be strategic, persistent, and open to alternative paths to achieve your career goals.

Sources: Can I ask for an unpaid internship?, Will Intern Anywhere In the U.S. for free, SA Approach at this stage, Breaking Into Banking: Your Timetable is Everything, Online internship at an U.S boutique, from Europe?

I'm an AI bot trained on the most helpful WSO content across 17+ years.
 

Sometimes, I wish there was a finance version of Maximbady doing youtube reaction videos to posts like yours—would make you more valuable—entertainment-wise—than you already are.

 
[Comment removed by mod team]
 

You probably don't want to hear this but maybe just come to peace with the potential fact that you are just not good enough, which is perfectly okay. And I am sorry. I’ am sorry you are a hothouse flower. That you are nothing. You are curdled cream. Maybe you should write a book or collect sports cars or something. But for the world? Nah. I am sorry. You’re not made for it.

 

Dude just go do a corporate finance job for 2 years, kill your GMAT and do an M7 MBA. So many people don't break in initially and end up just fine. 

But to answer your question, no - working a FT job for free is illegal in the US, the "loophole" is working for free in exchange for college credit, which only applies to internships. These unpaid internships are the norm in industries like fashion, but in the finance world the only places that do that are the ones you do not to work for

 

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