Finance vs. Law

Which is a better career path, in terms of:

1) Overall career compensation 2) Difficulty of reaching the top (MD in banking vs partner in law) 3) Career stability 4) Breaking into top firms (BB bank vs top law firm) 5) Work life balance

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https://www.leveragedsellout.com/2006/08/biglaw-bigschmaw/

Although that story is a little exaggerated, it's not far off. Many of the horror stories that you hear about IB are also applicable in the field of law. The only big difference that I would note is that starting pay for lawyers vs. analysts at an investment bank is rather significant. Juniors at a law firm make much less starting out, but virtually do the same types and amount of work (although it may be even more boring), work the same hours, for less pay.

Array
 

In finance, you get paid decent money when you're 22. In law, you take out like $150-250k when you're 22 so you have a shot of making decent money after three years of law school which is literal hell and if and only if you graduate at the top of your class with good grades when you're 25

In finance, you have a three year head start to make the same money and don't have to take out law school loans (or you could just have rich parents). Not to mention the work is more interesting arguably. Fairly similar fields and no work life balance, but if you know how compounding interest works, and would rather get paid for three years of grinding instead of paying to grind for three years, then finance is clearly the better option.

 

finance is more interesting, much less tedious at junior level, generally better culturally (albeit similar work life balance). but biggest difference is much more optionality. increasingly beginning your career as a lawyer means you’ll always be a lawyer, either at a law firm or in house counsel at a company. but finance experience prepares you much better to work in a variety of fields and functions within business

 

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