1st Year Analyst Laid Off - Next Steps?
I got laid off a few weeks ago from my IB role at a MM. Was in a top group but revenues really dried up once February came around. My lay off was not performance related and many other juniors met the same fate (old managers acknowledged my strong performance and are willing to help me / provide good recs). I studied finance & computer science at a target and finished with a fairly strong GPA (>3.7).
Networking is going alright so far, but the resonating message has been “you sound like a great candidate but we are on a hiring freeze.” My resume has gotten some bites but nothing materialized yet. Also considering whether I should use a recruiter or not - my experiences are hit or miss with them.
Guess I’m looking for some wisdom on what to do next / how to spend all this free time.
Main questions:
How bad does a job gap look during this time? Should I be focused on learning more technicals, modeling, etc for interviews or something else right now?
How long should I take before starting to be less picky with what I want (i.e. considering MO/BO roles)?
Any other advice would be great to hear, especially in terms of navigating the current job market.
Sorry to hear about your situation. This is more gut-based than empirical, so do not take this as advice from someone experienced with this situation, but...
My instinct is to not jump at BO or MO job unless it's at a top shop. It seems like the step back can possibly be stigmatizing and set you back from your IB track. On the other hand, I've read stories on WSO about MO people eventually transitioning to FO (seems like it generally takes years, though), so if you need the money and it's at a firm with a good brand name, then I suppose you should consider taking that plunge.
Sounds like this happened pre-Covid. And this was 8 months into your first year? Was this a well-known MM firm? Sounds like you got raw end of the deal if it wasn't performance related...
Cause was directly Covid-related, and yeah about 8 months into my 1st year. Pretty well-known MM.
What were they saying about hiring and firing up to the point where they fired the group? Know there are a lot of banks saying there will be no firings in 2020 but I don't believe them...
Oh, my bad, I focused on the revenue drying up in "February" instead of you saying you got laid off a few weeks ago. Again, good luck moving forward.
gut based and empirical are the same thing m8
Actually, "empirical " means something that can be verified by observation or experience... and that's something that I prefaced the OP I didn't have.
Keep looking for opps with BBs/EBs but instead of MO/BO jobs, take a look at boutiques that would value your MM experience and pedigree. I'm sure there are many boutiques during this time that are rapidly growing or looking for people just like you. Take for example, Arma, FT Partners or GP Bullhound.
I understand your situation, and strategically I think if you do take the B0/M0 role, do it at an institution that you don't plan on working at again in order to accept a FO role.
Credit Agricole has some bullshit associate program, where you are a contracted analyst for 2 years and get paid a very small bonus + no pay raise for two years. They love people with prior experience and you should definitely take advantage of this while you job hunt. Just look them up on linkedin. Societe Generale also has a similar program, look them up too.
No one is hiring right now, so unfortunately you're out of luck there. I would take the time to stay sharp with your technical knowledge, work-out, and find a hobby to keep you sane. Keep a contact list of the people you reached out to, and once you see things start getting better, reach out to them at full throttle.
You also have a comp sci degree, why not reach out to tech firms?
I'd personally think it's way too much of a pivot to take up a tech job rn and then go lateral back into IB. Better to take a boutique job like from Greentech, FT Partners or Union Square as these shops are always looking for more talented people, especially those with some good pedigrees like OP.
Considering the boutique route but I might wait a bit before aggressively pushing on it. More inclined towards stable capital right now, thinking about something like AM as well.
Was this firm wide or group specific?
He said he was at a top group so if rev is drying up there then I'm sure other groups are also not having the best time
Yeah, it was firm wide.
It'd be nice if you could specify the firm so as to not induce mass panic on the forums. Either way, you don't have an obligation. Best of luck in the hunt!
I'd second this- much better to just spit the name out if you feel comfortable because otherwise this will drive people crazy wondering what size firm, location, etc etc
Houlihan, Lokey, Howard & Zukin, Inc. is my guess. This is separate from their success in the restructuring process.
I'm also thinking Stifel, SunTrust or Cowen. Can't be as top tier as OP is saying since we would be seeing a lot more posts about this MM and it would make noational news.
EDIT: Looks like people assumed I was the OP and that I said HL. My guess was HL but I believe it is any of these firms. I stand by my statement that if it was a well-known MM, many other people would be confirming this on WSO.
Is this across all offices or just a certain one?
Editing my comment given the troll attempt above.
Can someone confirm this? Not doubting OP, but this would be huge news given HL is a top tier MM bank (and a public co). What affect does this have on incoming FT analysts?
fucking hell HL Jesus. that’s big. I’m a little surprised they’re willing to take this reputational hit instead of letting the giant ass RX division prop up revenues for the firm. this is inducing such bad press for a well respected name.
EDIT: it’s not HL so disregard this whole post
Shame on you dude. not the time to be a troll
My guess would be Cantor. They had layoffs a few weeks back and they fit the MM profile.
This checks out based on a brief internet search. Awaiting confirmation from OP.
If you have a background in CS, might make sense to look at SWE roles. It’s not ideal if you are 100% certain you want to stay in finance, but having IB experience with some formal technical experience could make you really valuable. Lots of big, well-capitalized tech companies (i.e. Amazon) are scooping up talent
Very curious what the firm is.
Do NOT under any circumstance go BO/MO unless your financial life depends on it. You were at a solid MM shop and should be able to go to another MM or a boutique once analysts leave for PE. IDK how much your shop's deals dried up that they couldn't keep 1st year analysts on board but there are firms out there who will need to add juniors as analysts leave and interns aren't able to pick up the slack virtually.
yeah do not go BO/MO. 8 months of experience at MM is worth too much. you’re arguably the best ROI for a firm. you’re cheap as fuck and you still know what you’re doing. keep at it. find somewhere/anywhere in FO boutiques/BBs/ who is hiring. do RX if you can even. has amazing exit opps too if that’s what you’re looking for. can still do PE if you want at the end of the day.
i just want to say that I hope you are okay and I am really sorry about this like this is so devasting especially I am sure you worked so hard to get into IB and just like at your job. I am really sorry :( I hope you are okay
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