JD/MBA for finance, coming from PE?

I got into the HBS JD/MBA, coming from PE. I’m definitely doing the MBA, but curious if people think I should also do the JD. It’s a f*** ton of money and time, but some alums have said it really differentiated them.  

I think I’d enjoy the studying, but not being broke for 4 years. Any thoughts on if it’s worth it if I want to go back into finance? 

12 Comments
 

Based on the most helpful WSO content, pursuing a JD/MBA for finance, especially if you're coming from private equity, can be a mixed bag. Here's what you should consider:

  1. Differentiation in Finance: While a JD/MBA can set you apart, the value of the JD in finance is often limited unless you plan to pivot into roles that require legal expertise (e.g., corporate law, compliance, or niche areas like distressed investing). Most senior PE professionals and finance roles prioritize MBA credentials over JD.

  2. Cost and Opportunity Cost: The JD/MBA is a significant financial and time investment. As highlighted in WSO threads, the opportunity cost of being out of the workforce for four years, combined with the high tuition, can be substantial. If you're already in PE and plan to return to finance, the MBA alone is often sufficient for career advancement.

  3. Enjoyment vs. Practicality: If you genuinely enjoy studying law and see value in the intellectual challenge, the JD might be worth it. However, if your primary goal is to maximize your career trajectory in finance, the JD may not provide a strong ROI.

  4. Networking and Career Flexibility: The JD/MBA can offer broader networking opportunities and career flexibility. However, in finance, the MBA network (especially from HBS) is typically more than enough to open doors.

  5. Advice from Alums: While some alums may say the JD/MBA differentiated them, it's essential to assess whether their career paths align with your goals. If they transitioned into roles requiring legal expertise, their experience might not directly apply to your situation.

In summary, if your primary goal is to return to finance, the MBA alone is likely sufficient. The JD/MBA might only be worth it if you have a specific interest in law or plan to leverage the legal knowledge in a niche finance role.

Sources: Struggling between applying to t14 law schools and t15 mBA Programs, Lesser known MBA career options? Looking for advice on what to do post-HBS., Turning down HBS/GSB/Wharton for the Promote-Through, Ask CompBanker, Recent grad, super lost. Can anyone give advice/help me choose between an MBA, JD, or MA?

I'm an AI bot trained on the most helpful WSO content across 17+ years.
 
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Did this but a tier below H/Y/S. I'd ask yourself what job you're hoping to get. This is professional school and so it should just be evaluated as probability of getting X job afterwards. If you're after general "opportunity" (which generally just means prestige), is that really enough to sacrifice 2 more years of your life + lost earnings/tuition? Can you plot out a somewhat reasonable A -> B that the JD/MBA materially helps you with vs the straight MBA? Is there some weird special situations/distressed/activist thing that you won't be able to get without the JD? And if yes, is the JD actually valuable to getting that job without real legal experience?

So I'd recommend making a list of all the places that you dream of working and ballparking your chances with "just" HBS vs HBS + HLS. Will probably look something like this:

  • PE: Won't help much more than HBS + PE. PE market is dead, and while I suppose there might be an argument for waiting it out for a bit longer, I would guess that being out of the mix for 4 years will not be looked at too kindly.
  • Regular HF: Same as above.
  • Startups: Won't help much.
  • Startup founder: You will learn nothing useful at either school.
  • Consulting: Will help. But not enough to justify the extra 2 years. And you've done PE so I'm guessing you won't want to go this route.
  • IB: Same as above.
  • VC/GE: Won't help at all. You already have investing experience. Go do an internship at a mid-stage startup.
  • Weird SS/Activist/Distressed thing: Probably will help. Also probably not worth losing 2 years given your prior experience. If HBS + PE isn't enough, then I'd infer that the odds of you getting into the weird thing are so low anyways that you shouldn't tack on an extra degree in the hopes of getting in.
  • Law: Don't do it. I'm working at a Series C startup and getting calls once a month from ex-classmates working in NY biglaw trying to get out/come work for me. Seriously, it's a brutal, painful job.
  • Long-term career: Professional degrees are being discounted more and more.
  • Raising your own fund: Get back into PE ASAP. Get promoted a couple times.

My take is that this degree only makes sense for those of us (me) who did lib arts and use the JD to backdoor into an MBA to get non-law jobs OR for law students who don't really care about the extra year of tuition and want some option value/extra chance of landing Wachtell. Ultimately, without working as a lawyer, whatever you learned in law school will atrophy really quickly. And I don't recommend working as a lawyer.

For me, the only effect it's had is a) being asked random-ass legal questions by partners at my prior fund as though I had any expertise in arcane securities law (only did a summer in law) and b) the 30 seconds of ego-boosting when people get a little hard-on when they find out about the degree. People, I suppose, also assume I'm smart. However, I think you'll likely already get that with HBS + PE. And also, that isn't really worth much. 

 

Super helpful. I'm not interested in VC/growth, or joining a startup (*maybe* starting one). Less excited by a 100% public market role. Could see myself doing PE, 'weird SS' (not that I really know this), or another asset class or thing in finance.

Why do you not recommend working as lawyer? The pay seems pretty good and partner pay has been astronomical in recent years. Seems more of a sure bet to making 1M+ than PE, which is no less work?
 

 

No problem! I say that because if you're going to do something for 16 hours a day, it had better be semi-interesting. Put it this way - ever read a shareholder agreement? Or an S-1? Somewhere, in some dark office, some lawyer spent days preparing that thing. Now they were paid very well to do it. But as we all know - no free lunches. If lawyers aren't doing very creative work (they aren't - deal terms are agreed on prior to lawyers getting involved for the most part), you can probably imagine that they're being compensated for some other, far more horrible reason.

 

Yoo congrats. Are you able to say more about your profile (GRE/LSAT, fund size/“prestige”, etc )? Have been interested as well 

 

Don't want to dox myself too much, but I was not at a "MF". At a fund most on this board would not consider tippy top, but still a solid one regardless. 

I did have close to perfect test scores/GPA, in a difficult major from a top school though. Also had experience before PE and most of what I wrote in my applications had nothing to do with PE

 

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