Growth equity analyst to private equity?
Incoming analyst at a top GE shop after interning this past summer. Although I had a great experience, I'm more inclined to potentially working in PE down the line given the emphasis on sourcing at the junior level so I tried to recruit for banking around halfway through the summer, but wasn't able to make it to any of the processes. Is there still a possibility of me participating in on/off cycle for MF/UMM/MM firms? I understand that the typical background of PE associates is mostly banking with a smaller consulting presence, but I'm not too sure of the possibility from GE, especially as an analyst.
Based on the most helpful WSO content, transitioning from a growth equity (GE) analyst role to private equity (PE) is possible, but it comes with challenges. Here’s what you need to know:
Sourcing Experience Challenge: Many PE firms, especially at the MF/UMM level, may view sourcing-heavy roles at GE shops as less favorable compared to the deal execution experience gained in investment banking. This could make it harder to position yourself as a strong candidate for PE roles.
On/Off-Cycle Recruiting: While on-cycle recruiting for MF/UMM PE roles is highly competitive and typically favors candidates from top IB groups, off-cycle recruiting could present opportunities. MM and lower MM PE firms may be more open to candidates with non-traditional backgrounds, especially if you can demonstrate strong deal exposure and analytical skills.
Lateral to Investment Banking: If your ultimate goal is to maximize your chances at MF/UMM PE, lateraling to a top IB group after 1-2 years in GE could be a strategic move. This would align your background more closely with the traditional PE recruiting pipeline.
Networking and Headhunters: Building relationships with headhunters and leveraging your network will be critical. Highlighting any deal experience you’ve had during your GE role can help position you as a viable candidate.
Targeting MM/LMM PE: If you’re open to MM or LMM PE firms, your GE background may be more appealing, especially if you’ve gained exposure to investment processes beyond sourcing. These firms often value diverse experiences and may have less rigid recruiting criteria.
In summary, while breaking into PE from a GE analyst role is less common, it’s not impossible. Focus on networking, showcasing your deal experience, and considering a lateral move to IB if necessary. Off-cycle recruiting and targeting MM/LMM firms could also increase your chances.
Sources: MM/UMM PE Analyst Exits, Ask me anything - Non Traditional Background to MM PE to H/S/W, Q&A: Barclays IB to MM Private Equity, Q&A: woman in growth equity, Q&A 2.0: 3rd Year BA/A/AC At MBB Going To UMM/MF This Summer
Depends on the GE firm. Is this a TA/Summit/GA type of investment firm or Accel/Bessemer? If the former, yes more than doable. If the latter, you will have a more difficult time.
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