Investment Banking Australia “Tiers”
As summer internship interviews are approaching, I was wondering where everyone places the banks in terms of tiers in Australia?
I know UBS/GS/Mac are among the best in Australia, but how do the boutiques compare with the other BB’s?
For example, would you rather join a Gresham over BofA, etc.
Would appreciate some people’s thoughts on rough tiers of competitiveness in Aus
BofA deez dingo fuckers
In Aus you always want to be at a balance sheet bank, far more crucial here than it is in the US. Only EB I would consider over BBs would maybe be Moelis, and even then, that is pushing it.
Can I ask, why this is the case?
To be honest, Australia high finance is not as rigid as US.
You can go buyside (PE MM and UMM) with Big 4 TAS/CF experiences.
Nonetheless, should aiming for Macquarie Capital as your top choice, follow by GS or UBS.
Then JPM, MS, Citi, Moelis and Luminis (Evercore).
You can forget the rest.
Agreed - I think if offered a position, given there is so much mobility in Australia, you'll be stupid not to take it. Same deal with respect to banks: I don't believe one is necessarily better than another. Whilst Macquarie/UBS/GS definitely have the highest deal flow, every advisor here in Australia all offer quite a good learning experience for new graduates
Definitely not as rigid as in the US, but GS winning the most meaningful work by far this year - and when put next to UBS and Mac Cap, you should be taking GS every time given their #1 global rep. Jarden & CS pay the most for junior bankers
I personally wouldn't join a boutique firm over a balance sheet firm (e.g., BofA in your example) UNLESS you are certain to pursue an investment banking career for life. In this case, the learning experience at these boutique firms are considered to be better (general consensus and talking with others - personally, I've never worked at a boutique bank). You also get to avoid raising (ECM/DCM stuff) which is very process-driven.
However, even then, I'm personally not sure if it's worthwhile because I feel the landscape in Australia is not large enough for boutique firms to offer a better graduate experience. Whilst Mac/UBS/GS are definitely the leading firms in Australia, the types of deals they conduct are relatively smaller compared with the US leading firms (hence the teams aren't as bloated). In other words, I don't believe the pro's of boutique banks necessarily exist in Australia, when most of the big Australian players operate on a similar scale to US boutique banks.
Do many bankers actually pursue careers other than IB? Ive never known if PE exits are anywhere near as common as they are in the US
To my understanding, it's considerably less popular. The main reason I think is that banking in Australia offers a much better lifestyle compared with the US. Most in America/Europe/Asia are driven out due to severe burnout - in Australia, however, there is a relatively better culture with shorter hours and 'nicer' seniors. Evidently, a lot of bankers from Europe and the US have actually transferred to Australia (especially Sydney) to seek a better lifestyle.
The other reason would be the paucity of PE positions. There are less buy-side opportunities available so PE exits are relatively less common.
Hi yeti, in your view what is "boutique"? Assuming in your definition here, you mean firms without any balance sheet access at all (whether through a partnership with another bank or with their own balance sheet) to underwrite equity / debt markets transactions. So Allier, Lum, Record, Greenhill, Gresham, and those smaller ones. Thanks!
Hey,
My views on what constitutes as a boutique firm are exactly as you say - firms which have no balance sheet access and no research department. I agree with all the firms you mentioned as examples. I guess given these firms are more strategy-orientated, the work can definitely be considered more interesting.
Curious on whether you agree with the definition? Thanks in advance
Been hearing that PE comp (excl MFPE) in Australia is below BBIB can someone confirm?
Also agree with above sentiment regarding BBIB over boutiques. Currently work at top BB and there is lot of negative sentiment surrounding UBS and JPM. UBS is still good but given half the team got poached by Barrenjoey I would be mindful if I had a better offer.
Understand UBS, but why JPM? Is it because they have also lost senior bankers?
Expedita aut velit sint. Est est consequatur in expedita facere ex qui. Expedita quia pariatur quod saepe.
Dolore aliquid et et. Iusto vero voluptatem vitae voluptatibus. Sed ut illo commodi omnis voluptate ut porro eum.
Officiis voluptatem consequatur impedit libero ipsa consequatur consequuntur. Ipsam minus voluptatem esse voluptatibus qui autem rerum laboriosam. Est omnis est quisquam consequuntur eos et.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...