Reneging PE Offer (to stay in banking) - Thoughts?
Title says it all. Considering reneging a PE offer with a large, well known PE firm to stay in banking.
Interested in an upstart bank / group where I will be able to take on a lot of responsibility.
How bad of an idea is this??
Thanks.
Horrible idea.
For what reasons ?
You are going to give up a strong brand name shop for an unproven and unknown one this early in your career? Are you insane? If it is a "well known PE firm" you should have plenty of opportunity to learn / take on responsibility. The answer is so incredibly obvious it's practically a truism.
After you're established, yes (read anything by Steve Schwarzman to understand). However, this early in your career you're essentially worthless. To make a move this early is foolish. You have a slim chance of success, but the downside is far worse.
Also, the sissy attitude comment is hilarious. My very first professional job was a startup and my name is still on the wall to this day. Cheers
I say do it. More risk but def more upside.
Ok I should caveat that the name of this smaller bank is incredibly well known. It’s also in a geography I am interested in.
Any thoughts on the risk of reneging? How pissed will they be? I would be a tiny cog in the machine and I’m sure they’d be able to find someone to fill my spot.
I do not see myself working in PE long term. What I can see myself is working in the industry that this particular bank focuses on - not working at an actual company per se, but working on transactions in the industry.
Personally I just don’t see how I will set myself apart in PE. However, I can envision setting myself apart in an advisor role at this particular bank / in this particular industry.
This context changes things quite a bit. Honestly, going for what you see yourself doing long-term is always the best bet. But why not do PE with this sector focus? I wouldn't shy away from PE if you think it will be easier to make a name for yourself as a banker. It's going to be tough either way. If being an investor isn't interesting to you, then going the advisory path is a slam dunk.
The only thing I would advise you on is this. If you decide to reneg on the PE offer, give them a little context. Let them know exactly what you've told us here and I think any reasonable professional will not hold that against you.
Good advice - listen to this guy
Thank you for the advice. I realize that both paths are incredibly difficult to make it to the top (any role in finance is).
I just don't see how I will be any better at investing than the next guy. I was able to get the PE on-cycle (i.e. ~2 months after hitting the desk full time...) because I present well and had an interesting deal to talk about that was pure luck of the draw as to why I was staffed on it.
After 1.5 years into the job though, I genuinely think I am cut out for this particular industry in banking.
Further, the PE job, while it is not a 2 years and out type of program, I really do not see myself choosing to do it for more than 2 years. I already see myself trying to switch back into this particular industry of banking once I've done the PE thing for a couple years.
While I understand that PE can help you build a network - is it really worth 2 years of time when you could instead use that time building transaction experience
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