PE Recruiting as A2A Associate
Is going from a top BB/EB M&A group to an UMM/MM PE shop as an A2A associate difficult? Thinking of spending max 1.5 years as an A2A associate to collect the As1 bonus and then pivoting to PE.
I was always more interested in PE investing rather than advising, however held off on recruiting during my analyst years due to visa challenges (many PE shops won’t consider candidates unless they are on H1B according to HHs I have spoken to). I have a pretty good idea of the type of fund/strategy I am most interested in and am open to relocating from NY if I find the right opportunity.
I understand that the move to PE would entail a pay cut and require me to start as a fresh associate, but I don’t mind that. Was curious if anyone had any thoughts on; 1) the feasibility/difficulty of going A2A to PE and 2) the most viable approach for this (i.e., timing to make the move, whether to recruit on-cycle or off-cycle, etc.)
Appreciate any thoughts
I think the ONLY thing working against you will be timing, since you won’t be doing on-cycle recruiting. Other than that, you’re at a top group and have an exceptionally good reason for staying to Associate (visa).
From what I have seen and heard, someone with your type of experience can get any job as long as you’re not weird in interviews, can thoughtfully explain why you made certain career choices, and can explain what the fund’s strategy is and why you want to be there.
Hopefully this is helpful: I know someone who got into a top UMM from a random boutique because they could thoroughly explain that fund’s posititioning and investment strategy.
Personally, I think showing any real amount of passion towards the group and their investment style goes a long way. Interviewing at KKR because “they’re big” is terrible, but being able to say that you’ve listened to the partners do interviews and podcasts and that you agree with their strategy of blah blah will give you a lot of points in the process.
Thank you, this is very helpful
Think you're fine. If your goal is PE and you can articulate why that is the case and why you may not have recruited with everyone else, then that's the golden ticket. PE firms generally will not shy away from someone with top experience since it only helps them, and if you have a coherent story for WHY you decided to wait to recruit, then on-cycle recruiting at your age won't be an issue. I.e. you didn't feel ready first year, you had student loans/family obligations to pay off so you had certainty of banking bonus to pay that off vs. uncertainty of PE recruiting and you didn't want to mess that up, now you're in a more secure position without others relying on you, etc. That doesn't have to be your story, you just need to clearly articulate the facts of your situation in a succinct and thoughtful way, and from there it just depends on how you articulate the rest of your experience.
Thank you, this is quite helpful
Not OP athis was really helpful, as a incoming IB…. wso and others are making it seem like if you don’t get into PE after two years you will never get in afterwards
Im a similar situation at a Top BB Coverage group - interested in any insight that can be offered
OP here.
As an update, I signed an UMM PE offer through an off-cycle process for a Summer 2024 start. The responses above were very helpful in guiding my approach. Wanted to share a few tips / takeaways for others that are considering a similar move:
1) Reflect thoroughly on what investment strategy and fund type interests you most. Once you figure that out, start a shortlist of funds that interest you and proactively reach out to the HHs that cover those opportunities. In your intro calls with HHs, mention your fund interests (this shows that you know what you want and have done your research). PE funds all have distinct strategies and cultures (unlike IBs which all are largely similar), so be sure you are truly targeting the opportunities that are best for you.
2) Spend time listening to podcasts / interviews with senior PE professionals. This will not only teach you about the industry / investing, but also give you a better grasp on how investment strategies differ from fund to fund. Bring this up in interviews – it shows that you are genuinely interested in PE and have invested time to learn about the fund and the industry more broadly.
3) Know your deals. Be able to speak confidently to the deals you worked on in IB and form opinions about them (what made them good or bad deals). Forming a balanced perspective on your deals is a great way to begin flexing the investor muscle and conveys a sense of maturity in interviews. Would also stress the importance of speaking to your responsibilities on deals (ideally you ran the model/valuation, liaised with clients and buyers, etc.) to show that you have developed a strong foundation while in IB.
4) Be yourself. I know this is cliché but at the end of the day, you want to present yourself genuinely and confidently so that interviewers can truly assess your cultural fit. The more open and genuine you are, the more certain you will be that you will mesh well with the firm and its culture.
Let’s goooo big congrats
congrats !!! That’s big time if you have time I wanted can I PM you (as a first year I’m kinda in the middle so kinda need some guidance )
Could you share some of the podcasts you listened to/recommend to help getting up to speed? Thanks
Also interested
I found the Capital Allocators podcast to be super helpful
When did you sign? Looking to lateral to a larger MM shop and haven’t had a ton of traction with opportunities I like
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