https://news.efinancialcareers.com/us-en/3001662/…
Article on efc comparing ER to cockroaches in terms of resiliency. A worthwhile read for any of the younger / industry folks on this board who are interested in ER. My overall view is that the author is pretty correct on the value add of ER, but I'd also caution most people to consider if they want to be in the part of the organization that 'the CEO would like to fire but can't'.
Extending the author's logic to the extremes, the same can be said about the janitorial staff (most investment banks would become swimming pools of their own filth within a week if not for the cleaning crew). But even though it's an essential part of the organization, when's the last time you saw the janitor sporting a rolex? Main issue is that they don't have leverage to extract more value out of the overall enterprise. Same with ER. Even if ER is 'indispensable' to the broader investment banking franchise this does not necessarily mean it's worth working in.
Lastly don't take comfort in the strengths too much. Orcel apparently commanded a $50M a year relationship with a single client that would've moved with him wherever he went (even hanging up a shingle). You don't see any ER folks these days doing that despite their role in 'owning' the ongoing relationship with a company.
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