Audit --> Equity Research

For the past few years, I've worked as an auditor for a regional accounting firm and now a small accounting firm. I'm at the point where I've realized auditing just isn't interesting for me. I went to a non-target (Top 50 US) school and was basically told I wouldn't have a shot at a finance job, so I just studied accounting.

I signed up to take LI of the CFA and hopes of increasing my chances. I also know someone who works for a mutual fund company doing sector research (not sure how or if that differs from ER). Straight up applying for these jobs doesn't work. Does anyone know other avenues I could explore to make this happen?

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Comments (18)

Apr 8, 2016 - 2:54pm

buy BIWS and study it .... make models, reports, stock pitches, cold call firms , send emails, etc

check all the links in this link
http://www.wallstreetoasis.com/forums/doing-a-stock-pitch

as for ER it is done on the Sell Side (Brokerage firms) and the Buyside (mutual fund companies/asset management firms) with different aims the Sell Side markets it to the clients (Buyside) and the buyside ER analysts give it to their immediate boss or the PM who then meets with clients (investors)
https://www.quora.com/What-is-difference-between-Asset-management-compa…

so the sector research person you mentioned, it is just someone who has a particular sector coverage (retail or oil&gas or cements or pharma or banks or some other firm type in the FIG, etc) initially analysts usually do not have a sector coverage, initially analysts do most of the leg work

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Apr 16, 2016 - 5:42pm

Definitely doable. It's especially easier if you've audited any Financial institutions or were in the Financial service group at your firm.

"Even if you're on the right track, you'll get run over if you just sit there" - Will Rogers
Apr 16, 2016 - 5:43pm

Audit experience for ER? (Originally Posted: 08/23/2010)

I am asking this question for my friend who is interested in ER.

He has a great analytical degree (Physics) with good academic standing. He worked in PwC for 3 years and recently obtained his CPA, he has passed his level 2 CFA as well. However, he is nervous about his auditing experience as he mostly dealt with small, medium sized companies.

Will hhis chance of getting in narrow simply because he mostly dealt with small, medium sized companies instead of instituional companies? Or would it be treated as any other auditing experience?

Thanks in advance!

Apr 16, 2016 - 5:44pm

I can only speak for london but in er where i am interning there are plenty. Plus, checking efinancialcareer regarding research there seem to be many offerings for newly aca accredited people... dunno where there are true offers behind it but at least there are postings.

in my office , as said before, there are quite a few coming from big 4.

My opinion is a little amateurish but it should absolutely be doable!

Apr 16, 2016 - 5:45pm

In London I think the ACA -> IB/ER is pretty well established and common career route. Not sure if this is the same elsewhere, I know accountants in the US are pigeon-holed a bit more into pure accounting roles.

I'm just joining somewhere as an associate and know a few people from my big4 firm who have made similar moves recently.

Apr 16, 2016 - 5:46pm

i think researchacc is right

Apr 16, 2016 - 5:47pm

Your "friend" has a very good chance of making it to ER. They will like his quantitative degree and auditing experience; however, make sure your friend is familiar with how SEC filings are laid out to overcome the lack of exposure to accelerated filers.

A word of caution - while ER is seemingly ramping up staff from the outside, internal connections are extremely important, if not a prerequisite, for a move right now.

Apr 16, 2016 - 5:48pm

thanks for the input guys!

what sort of auditing experience(specific) would be relevant and/or important to include in a CV for a job at ER?
as my friend is still sending out applications to many bulge bracket firms, so hes still updating his CV accordingly

thanks for the input again!

Apr 16, 2016 - 5:49pm

His industry experience would be more important if he is applying for an ER job in a specific industry. If he has experience auditing companies in the same industry that would be helpful. Also, I think reviewing financial statement disclosures is important.

Ever see a guy say good-bye to a shoe?
Apr 16, 2016 - 5:50pm
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