What minimum PA size would you need to quit your job

What PA size would you need in order to feel comfortable leaving your HF job and living off PA returns? How would you allocate it - 60/40? 

Obviously this number depends on your personal circumstance, type of lifestyle, kids, etc. 

7 Comments
 

The context doesn't directly address the specific question of the minimum personal account (PA) size needed to quit a job and live off PA returns, nor does it provide a detailed investment allocation strategy like the 60/40 split. However, based on the insights from the WSO threads focused on career transitions, health priorities, and strategic job exits, we can infer some principles that might guide someone considering leaving their high-finance job to live off investments.

  1. Health and Lifestyle Priorities: One of the top-rated threads emphasizes that if a job is deteriorating your health, leaving is a non-negotiable decision. This principle can extend to considering the stress and personal satisfaction of continuing in a high-finance role versus the potential peace of living off investments. Your health and well-being should be paramount in making this decision.

  2. Strategic Planning for Job Exits: Another thread advises on the importance of strategic planning when quitting a job. This includes recognizing early when it's time to leave and setting a plan in action that benefits you most. Applying this to your question, a thorough plan for living off PA returns would involve detailed financial planning, understanding your expenses, and having a clear investment strategy.

  3. Lifestyle and Expenses Consideration: The context suggests considering personal circumstances, lifestyle, and responsibilities like kids when making significant career decisions. Therefore, determining the PA size would require a deep understanding of your annual expenses, desired lifestyle, and future financial obligations. This would help in calculating the necessary PA size to generate enough returns to cover these costs comfortably.

  4. Investment Strategy and Risk Tolerance: While the context doesn't provide specific investment advice, the principle of aligning your job and investments with your passions, values, and risk tolerance is highlighted. A 60/40 allocation (stocks/bonds) is a common strategy for balancing growth and risk, but the right allocation for you would depend on your risk tolerance, investment horizon, and financial goals.

In conclusion, while the context doesn't specify a minimum PA size or investment allocation, applying the principles from the WSO threads suggests that leaving a high-finance job to live off PA returns requires careful consideration of your health, strategic planning, understanding of personal expenses and lifestyle, and a tailored investment strategy. Consulting with a financial advisor to create a personalized plan based on these principles would be a prudent step.

Sources: How To Quit Your Job (And Still Win), When would you quit?, https://www.wallstreetoasis.com/forum/private-equity/leave-pe-early-or-stick-it-out-2-years?customgpt=1, Talk me off the cliff, Quitting time - views on how to leave your job

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

Cupiditate eaque molestiae omnis non tempora. Odit velit quia consequuntur et. Alias eligendi officiis exercitationem et sint qui. Modi et aliquid perferendis esse velit. Consequatur animi mollitia ut reprehenderit in sit iusto alias. Ab nulla sed vero consequatur dolorum. Rerum molestiae quibusdam molestias neque.

Sint perspiciatis rem temporibus similique. Eum non ullam aut mollitia. Sit delectus ab soluta nobis et. Incidunt et saepe facere aperiam odio eos.

Career Advancement Opportunities

August 2026 Hedge Fund

  • Point72 99.0%
  • D.E. Shaw 98.0%
  • Citadel Investment Group 97.0%
  • AQR Capital Management 96.0%
  • Magnetar Capital 95.0%

Overall Employee Satisfaction

August 2026 Hedge Fund

  • Magnetar Capital 99.0%
  • D.E. Shaw 98.0%
  • Blackstone Group 97.0%
  • Citadel Investment Group 96.0%
  • Two Sigma Investments 94.9%

Professional Growth Opportunities

August 2026 Hedge Fund

  • AQR Capital Management 99.0%
  • Point72 98.0%
  • D.E. Shaw 97.1%
  • Citadel Investment Group 96.1%
  • Magnetar Capital 95.1%

Total Avg Compensation

August 2026 Hedge Fund

  • Portfolio Manager (9) $1,648
  • Vice President (27) $464
  • Director/MD (11) $372
  • NA (9) $320
  • Engineer/Quant (83) $287
  • 3rd+ Year Associate (26) $284
  • Manager (4) $282
  • 2nd Year Associate (32) $253
  • 1st Year Associate (76) $193
  • Analysts (234) $178
  • Intern/Summer Associate (29) $145
  • Junior Trader (5) $102
  • Intern/Summer Analyst (276) $95
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
Secyh62's picture
Secyh62
99.0
3
kanon's picture
kanon
99.0
4
BankonBanking's picture
BankonBanking
99.0
5
DrApeman's picture
DrApeman
98.9
6
Betsy Massar's picture
Betsy Massar
98.9
7
CompBanker's picture
CompBanker
98.9
8
dosk17's picture
dosk17
98.9
9
GameTheory's picture
GameTheory
98.9
10
Linda Abraham's picture
Linda Abraham
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”