I figured that doing your 2-year stint at McK//Bain might actually give you BETTER chances of landing an associate gig at the top funds than working at /MS . My calculation is this:
Top LBO funds bifurcate their hiring process - they hire bankers and consultants in separate processes, and let's say they reserve about 70% of their associate class for ex-bankers and the rest for ex-consultants.
Now, although there are hence more than 2 times as many spots in the associate class for bankers than for consultants, the competition on the banking side, I would argue, is more than 2 times as intense than the competition on the M/B/B/ side, because (1) there are many more analyst at I-banks than there are analysts at McK/BCG/Bain, and (2) the proportion of analysts that aim to enter PE is much larger than at I-Banks than at consulting firms.
Hence, statistically, you stand a better shot of landing at BStone/Carlyle/TPG etc. having worked at M/B/B for two years.
Anyone care to comment whether this makes sense at all?