Urgent Dilemma: PE Analyst Offer Versus Top BB Product Group
Hello! I am a current summer analyst in an ECM or DCM group at a top bulge bracket GS/MS/JPM. Over the summer I recruited for some PE analyst programs and finally landed one offer.
The dilemma Im having is deciding on this offer versus a return offer for my group. I got good signs from my seniors and associates too that I should get a return and I like my group. There is also history of second year analysts moving to coverage and Im told it happens a lot.
The PE firm I got offered from I guess is LMM and raised a $500M fund recently. Its been around for years and I like the industry it covers and everyone seems nice. My worries are three things:
1. Comp - I know I shouldnt worry about comp at this stage of career but the all in on the letter with base and target bonus is less than my base and signing at my product group.
2. Training - I have interned at my firm before and know there is good training and support to get better that im not sure would be a thing at a firm with like 15 people.
3. Later Career - some analysts who leave this PE firm go to similar or middle market PE shops but lots end up in random corp dev jobs. I dont know if the bank brand would be more helpful in longer term if I want to go to a bigger PE firm later.
What would you do in my situation? I have to decide soon so need advice ASAP
If you are interested in doing LMM PE longer term, better to start now as an analyst. If you are unclear about your long term plans (which is likely the case at this age), I would go the BB IB route and gain some experience / switch into a coverage group to open more doors.
Thank you for your input. I would like to aim for UMM or MF in the future. Do you think LMM PE is a pathway to those spots or is it better to get in as an associate from coverage?
If you are aiming for UMM/MF, I would go the IB route. Will still be challenging, but BB associate > UMM/MF happens more often than LMM > UMM/MF. You will want to recruit as soon as you are able to switch to coverage and start getting HH looks (would try after first year, leaving the A2A switch as a backup plan). If you stay in IB too long, the jump will be harder.
DCM or EXM won’t get you any PE exit opps so no point in considering those
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