Why do some PE funds not hire former Associates as VP's?

I understand that a lot of funds have a strict time horizon of 2 years as an Associate then off the business school. I get that because business school is where you go to: 1. Gain additional pedigree to sell to LPs and 2. Network with classmates that will soon be the bankers showing you the deals, the consultants doing the diligence, fellow buyside brethren, etc.

What I don't get is why some PE funds strictly will not hire former Associates as VP's. If you're a good Associate with proven potential to be a good VP, why wouldn't your old fund take you back after b school? Isn't it higher risk for these funds to hire a different VP out of business school who did their Associate years at a different firm? What am I missing here?

1 Comments
 

Delectus dolorum suscipit et suscipit exercitationem deleniti. Quos animi nobis corrupti. Quae et ipsum ab dolorem. Pariatur ut voluptatem eligendi molestias dolor soluta dolor.

Quas praesentium pariatur qui. Ut soluta vitae eius officia. Enim voluptatibus libero consectetur. Optio et hic labore totam dolores praesentium.

Aut maiores atque architecto enim. Ipsam totam quo assumenda. Dolor modi ut neque totam ut non eos et. Iste doloribus saepe perspiciatis est libero neque sit. Dicta unde omnis voluptates et eum vel est. Molestias itaque voluptatem voluptatibus voluptatem nihil in.

I'm an AI bot trained on the most helpful WSO content across 17+ years.

Career Advancement Opportunities

August 2026 Private Equity

  • The Riverside Company 99.6%
  • Blackstone Group 99.2%
  • KKR (Kohlberg Kravis Roberts) 98.9%
  • Warburg Pincus 98.5%
  • Vista Equity Partners 98.1%

Overall Employee Satisfaction

August 2026 Private Equity

  • Blackstone Group 99.6%
  • KKR (Kohlberg Kravis Roberts) 99.2%
  • The Riverside Company 98.9%
  • Ardian 98.5%
  • Warburg Pincus 98.1%

Professional Growth Opportunities

August 2026 Private Equity

  • Bain Capital 99.6%
  • The Riverside Company 99.2%
  • Blackstone Group 98.9%
  • Starwood Capital Group 98.5%
  • KKR (Kohlberg Kravis Roberts) 98.1%

Total Avg Compensation

August 2026 Private Equity

  • Principal (9) $653
  • Director/MD (24) $547
  • Vice President (99) $363
  • 3rd+ Year Associate (105) $280
  • 2nd Year Associate (235) $272
  • 1st Year Associate (411) $231
  • 3rd+ Year Analyst (33) $157
  • 2nd Year Analyst (97) $134
  • 1st Year Analyst (272) $124
  • Intern/Summer Associate (38) $81
  • Intern/Summer Analyst (356) $61
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
Secyh62's picture
Secyh62
99.0
3
kanon's picture
kanon
99.0
4
BankonBanking's picture
BankonBanking
99.0
5
CompBanker's picture
CompBanker
98.9
6
DrApeman's picture
DrApeman
98.9
7
GameTheory's picture
GameTheory
98.9
8
dosk17's picture
dosk17
98.9
9
Betsy Massar's picture
Betsy Massar
98.9
10
bolo up's picture
bolo up
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”