Infrastructure Private Equity
I was hoping to hear about some alternative paths to infrastructure private equity outside of the typical 2 year IB analyst window. Does an infrastructure project financing role on the sell-side help make that leap or do you have to sort of hop into an IB associate role along the way? Other thoughts on the matter appreciated
Bump, interested as well.
Edit: Anecdotally, I looked up the backgrounds of some analysts/associates at some infra investors (mostly pension funds, World Bank/IFC, and some insurers), and almost all had previous experience at a BB or similar working in project finance lending/advisory.
interesting what is difference between PF lending and advisory? wouldn't lendors still have their own advisory services?
interested as well
KKR just had its infrastructure p.e call today. They hire directly from undergrad.
Did you attend, and if so, what are your thoughts? Haven't heard many positive things about the fund...
I have an interview with them. Any thoughts?
Macquarie MIRA recruits directly from undergrad as well
Interested in hearing the attractiveness of Infra PE over generalist or other kinds? Thanks
Depends fund size, reputation, geographic location.
I find that, in my region at least, that intrastructure PE funds are alot more forgiving in terms of hiring outside of IB compared to corporate PE.
Paths that I have seen into Infra PE are: - Project Finance from Commercial banks - Infrastructure/Project finance lawyers - Corporate Finance/M&A at Infrastructure corporates/developers - Big 4 Modelling/Valuations (infra pe funds love the modelling skillset at Analyst level as infra models are very modelling intensive) - In the rare case have also seen engineers transition over
What about Public Finance bankers from Transportation/P3 teams?
Totally Agree, at least in Europe
How about Big4 infrastructure advisory teams?
Curious about this topic as well. What about getting an MBA from a top 5 school? Possible to come in as an associate/senior associate or still better to jump to IB or MBB to get infra exposure first?
2nd year associate at a reputable and decent sized private fund (think $5Bn+). Came from Big4 M&A. Paths I’ve seen:
-Undergrads in engineering and finance
-IB
-Big4 valuations/M&A/infrastructure
-Post-MBA engineers transitioning to investments
would that just be big4 infrastructure advisory?
I personality started out in middle office at a tier 1 US IB in london, learned how to build project finance models by taking a couple of courses from advisory shops and got very good at this, then I jumped to a Infrastructure Developer Project Finance team for a year before jumping into infra PE (renewables).
In the world of infra / energy, if you get the modelling skills down well, you have a decent chance regardless of your background... Pretty much every interview process has modelling tests
Other paths I've seen:
- Valuation / modelling team at Big 4.
- Modellers from bespoke project finance consultancies
- PF advisory from commercial banks or IB
- M&A at developers
- even seen accountants make the move
Would you mind sharing any resources you know of that helped you with your trajectory/career path above? Specifically related to learning more about PF and modeling? I’d much appreciate it, thanks.
Sorry about the later response here. My response will be UK focussed, but you can get very good paid training cources from specialist PF model advisory shops like DWPF, Operis, Corality & the big 4. These are quite expensive, but there is some decent free materials online on the following sites:
1. Ed Bodmer: https://edbodmer.com/project-finance/
This guy's website is insanely useful, he basically gives a 101 including videos of everything there is to know about building PF models.
2. Corality: https://financialmodelling.mazars.com/online-resources/tutorials/
Lots of useful blogs about specific PF issues, very very useful.
I can share some materials with you too, just drop me a PM
any thoughts on infrastructure advisory from big4? Or engineering consultancy infrastructure advisory?
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