Boring SS ER Coverage to Exciting BS Coverage

TLDR- I’m a second year SS research associate on a strong team in a boring/niche sector and I’m seeking advice on moving to a hedge fund/large MF as a generalist or covering a different sector. If anyone has experience transitioning from sell side research covering a boring sector to the buy side covering an exciting sector, I’d appreciate any insight into how difficult the transition was, what your background looks like and what you would have done differently, if applicable. My long term goal is to start my own fund focusing on growth or at least be a partner of a fund with a growth strategy.

MM vs. SM/MF path-

I recently started my second year as a sell side equity research associate at a bank whose research department is outside of the top 5, but still respectable. I cover a somewhat niche sector that I don’t find particularly exciting (energy/utilities, REITs/financials/insurance) and I’m seeking guidance on how to more clearly plan my next move. The goal is to be on the buy side in the next couple of years, but I’m not exactly sure what type of role and fund I should target because I think my current sector limits my options. My team is highly ranked and one of our former associates is an analyst a large MM, so that path could be a possibility if I do a great job, get a few interviews and ace them. The downside of pursuing this path, if successful, is that I’d be covering the same sector that I don’t find particularly exciting and, if I’m not thrilled with my coverage, it would be difficult to compete with the other associates and analysts who are smarter than me and more interested in their work. Plus, I think it would be difficult to switch to a traditional long only from a MM given the different strategies, which means I’d essentially be committing to that sector for life.

I think the best approach is to try to get a senior research associate role at the best SM HF or MF that will give me an offer covering something exciting, and I'm curious what my chances look like.

Questions-

-How often do sell side research associates in boring/less growthy sectors land hedge fund jobs covering more interesting/growthy sectors?

-What is the fastest path to covering an exciting sector at a good fund from where I am currently?

-Do you think I’d be better off trying for a role at a good fund (i.e. MM) covering the same boring sector than a mediocre fund covering something exciting and then trying to switch sectors later on? I say mediocre because it would be really tough to get an offer from a top HF or MF AND cover a more desirable sector. (Apologies for sounding entitled to either position)

-Coming from a niche sector, would I be less likely to get interviews at single manager HF and MFs, but then considered an equal to other applicants upon receiving an interview?

-For example, would it be easier to switch from energy/utilities to industrials/materials than switching to tech/healthcare or would I be at a similar disadvantage for both?

-How often do asset management firms ask for a candidate’s gpa if they’re 3-5 years removed from undergrad? I started in research about 2 years after graduating and my gpa was sub 3.0 from a non-target.


Thank you in advance!

 

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