Going into private investment/hedge fund at BB out of undergrad with connections?

Long story short, my childhood friend's dad is the head MD at a BB. I know that the normal path is to go into IB after undergrad, but it is also hard to turn down this connection. Do bulge brackets normally accept undergrads in the private investment/hedging department? If I were to take this path out of undergrad, would I feel out of place on the team/lacking the knowledge to do well?

Also, what salary/lifestyle differences can I expect as a first year in private investment/hedging versus IB?

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I think you need to think about this from another perspective. Sure, you can speak to your childhood friend's dad about his division and opportunities there. However, he can introduce you to a couple other MDs in the IBD/Capital Markets divison across different product and coverage groups (he may have stronger relations with some groups than others). A strong connection can lead to an interview but not necessarily an SA/FT job, sure if the MD can pull some strings for a college kid but you need to show a strong conviction and passion for that job so he can vouch for you. I would say speak to him with an open mind but eventually aim for a role that best fits your interests/goals/passion that just assuming what your career might be in his division.

To answer your original question, can you share a specific department so it's easier for the rest of the folks to have a base case to understand what you're shooting for. For instance, I have a friend who moved from MM IB to MS PE in Philly (don't know more about the division or the role just that he was an experienced hire).

 

I understand, thanks for the advice.

In terms of the department you asked about, he is at the hedging of real estate and IM merchant banking. Any thoughts?

 

is it possible to go into GS Merchant Banking out of undergrad with connections? Would I be behind my coworkers without having an IB background?

 

Possible? Yes. Likely? No. They selectively recruit for a handful of analysts (3-5) per year, mostly in RE PIA.. you might find 1 or 2 in MBD Credit or MBD SSG Private Capital, but none in MBD corporate PE.. usually pretty top notch kids from top targets who either got it through a special application pool on campus or sophomore to junior summer. Again, it's possible, just very difficult.

 

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