From Private Equity to Investment Banking
I'd like to get some input from some of the more experienced guys out there - especially if anyone has made the move from PE "back" to IB.
I've been at a fully-invested PE firm for the last couple years out of an MFin and after 3 years in Asset Management, primarily working on fundraising and with minimal investment duties (sourcing, modeling, etc). I've been told that there will be cutbacks on the deal teams but I could stay on in a client-facing IR role. I'd like to move into a HF, but since I don't have that typical base "banking training program", I'm considering moving into M&A. I'm planning on targeting Associate roles, but since these typically recruit MBA's out of school a year in advance, I'm also considering a lateral hire as an Analyst.
Would be interested to hear from anyone in a similar situation or thoughts on the move the other way at this level.
funny, i'm looking to move from ib to ir
PE FoF to IB (Originally Posted: 07/31/2007)
To what extent are the skills acquired while working for PE FoF transferable to: 1)corporate finance(M&A, DCM/ECM, leveraged/structured finance), 2)equity research?
I'm considering working for PE FoF (involved up to 20% in co-investments) and was wondering about the chances to get into IB afterwards (say 1-2yrs).
Many thanks in advance for any advice...
http://www.analystforum.com/phorums/read.php?1,585546
i was also very interested in this topic. therefore i started a forum on this website. let's see if any responses
Boilerbanker - great that you set up the thread on analystforum! Thanks!
I hope somebody will post their opinion... The move PE FoF -> PE shop has been widely discussed, but PE FoF -> IB not. Hence I'd really appreciate the input.
MM PE -> BB IB (Originally Posted: 04/05/2013)
Rising senior, will be interning this summer at a MM PE shop ($2-8B AUM). Although the firm does give out FT offers, I have a strong interest to go into IB FT at a BB. How likely is it? I realize that most BBs recruit almost solely from their SA pool, but am I well-positioned to compete for the other 15-20% of spots? Also, can I leverage this position to try and shoot for a FT offer from a larger PE firm ($10B+?)
Thanks
You need to try to get on the accelerated lists for FT interviews - those will give you the best shot at converting to IB BB analyst without interning there first.
With regard to $10bn+ funds, there aren't very many out there to begin with, and most recruit solely out of experienced analysts. Of course there are exceptions such as Silver Lake, but I am not sure how their analyst recruiting processes work.
How would you suggest bringing it up in conversation? Or rather, which BBs have accelerated recruiting? I know BAML does, but what about GS/MS/JPM, DB, etc.? Thanks for the response by the way.
They all have accelerated recruiting - once one banks starts reaching out every IB will be trying to snag the best candidates.
You can get into accelerated recruiting by either reaching out to the people you interviewed with for SA at BB's (assuming you did this and were wait-listed/close) or by getting a FT offer from the firm you're interning at and then trying to leverage it.
Can someone elaborate on how to leverage it?
2 billion AUM+ is not MM PE
What? Even the bigger $10 billion total AUM shops like Berkshire and GTCR call themselves MM PE shops, so $2 billion should definitely be called MM PE right?
Doubt you leverage for large cap PE - they'll look for summer analysts from top BB IBD groups from top targets. best bet is to get on the accelerated BB recruiting list through your own networking. campus presence this fall will be slim to none for next to no open spots so you have to push now.
PE to IB..Does it work? (Originally Posted: 05/16/2011)
Obviously anything helps, but does a boutique PE firm internship help more than banking experience to help a person get into a BB Bank>?
Or would it even help get you into a well-known PE firm skipping the whole Ibanking process?
Define boutique, if it's 200MM plus and they give you a reasonable offer and have decent MDs etc, why go over to IB? Most people go IB->PE->MBA->PE, but if you can go straight to PE do it.
A finance internship helps regardless of where its at, well as long as its not at some thing like edward jones, obviously the better the name the more it helps. But yes a PE internship will help you get a BB offer, no promise that it will land you the job but it will help.
If you're getting relevant transaction experience at the PE firm, it definitely helps. At the junior levels, the skillset in PE is similar to that of IB, making transitions easier.
I interned at a PE firm as well and it worked wonders for networking with IBs (which they encouraged), but they were very clear about not hiring undergrads. From what I have been told, it's a policy that is nearly ubiquitous in PE. They buy from bankers, so it makes sense they require their entry level analysts to be former bankers, typically with 2+ years experience -- gotta know, and be ready for, all the tricks they are going to try and pull so you can spot a pig when you see one.
As long as you can explain why you want to switch over to IB, it should help a lot in getting interviews/offers, especially if it is a well known PE shop.
PE to MBA... then IB? (Originally Posted: 07/03/2015)
Long Time Lurker, first time poster
I utilize the search function a lot on here, but i was not able to find an answer or thread on my question.
I was fortunate enough to land an M&A analyst spot for a huge PE firm... TPG/BX/TA type firm... without having any prior IB experience (came from a regular accounting role). Maybe the other guys bombed. Maybe I'm cheap labor. Maybe they needed to check the diversity box (I'm not a white male from a huge school). But I got the gig.
I do HEAVY modeling. and put in about 65 to 75 hours per week.
I'm considering going to get an MBA for a couple reasons, and I'm only looking for top 10 schools.
My question is post MBA, would a stint in IB help at all? I'm wondering if looking at things from the sell side might be beneficial to my career... Plus, what if i like it? What if I find a more appealing sector than my current gig and try to find a fund focusing on that?
I think I'm just trying to weigh my options.
Also, people talk about going back to PE post MBA... Just how different is buyside recruiting if you DO have 2 years of PE experience prior to an MBA? I know HFs arent really big recruiters, but how do they fit into the mix?
Thanks a lot, fellas!
No, IB is not helpful. In IB you sell / advise companies. It's the difference between being a salesman on fees vs. investing your own cash. The only overlap is the skill set you develop in M&A.
Wow how did you get into PE from accounting? I actually work in public accounting and PE is the goal but I didn't it was possible to get PE without IB M&A exp. with an accounting background.
PE analyst -> IB? (Originally Posted: 04/04/2013)
I'm a senior graduating in a month with a PE analyst offer for a small fund just getting started. It's my only offer so I'm not complaining but I'd like to know the implications of starting at a small start-up PE firm vs the traditional IB path.
Here is my background:
I worked 3 internships at a 5B+ HF. After, my team was replaced due to office politics /culture clash and I never found another junior SA to replace the 4th intern offer. (was informed late April last year) So without a junior SA I had trouble with FT recruiting.
I managed to pick up an off cycle internship at a MM IB during this school year but no FT offer was extended since the employee turnover is really low.
Luckily my old MD is starting a new fund and realizes I'm having some trouble ever since he quit our old firm. He said he didn't want me to graduate jobless so I guess he felt sorry enough to offer me a job with him again. The catch is that the fund is still getting started so there isn't much work to go around. He said I should try to pick up a part-time job doing something else I find interesting and try to get hired somewhere else though.
Yea it sounds like your old MD is just doing you a solid to fill the space on your resume, rather than actually giving you a job. Just leverage it, and bs your way to either a bank or larger PE fund.
Dude now that is the most solid thing I've heard of anyone doing for anyone on the street. Cool guy.
^Agreed. Seems like he really has your back... which is rare for senior guys it seems.
PE -> IBD? (Originally Posted: 03/09/2013)
Received an offer from a PE firm (SA (undergrad), was wondering if I could lateral to a larger PE firm (Warburg/Silver Lake size) or for FT IBD recruiting (GS/MS/JPM/DB). How difficult will it be?
No chance. You go with that shitty SA offer and you're only option post-grad are working in a call center.
So does anyone have any actual advice? I would really appreciate it.
He's obviously being sarcastic.
I would say it's an uphill battle unless the firm you work at is well recognized. If it's a firm that not many people have heard of, then you'll have to convince IBD people why you want to go to IBD as opposed to stay at the current firm. For larger PE shops, you just won't have the pedigree necessary to secure an interview.
Do you think I would be better off at a boutique IB? (to position myself for FT IBD). ..not trolling, this is my situation.
How you guys fall for this troll's posts is beyond me
From PE to IB? (Originally Posted: 09/02/2009)
Bio: I've been in at a $500M tech focused fund for the past three years, and was promoted to a post-MBA role just last summer. Prior to that, I was actually a CPA at Deloitte who worked within a consulting division based out of NYC for the previous four years. I received my B.S. from UCLA (I have no MBA).
Situation Overview: During my tenure on the buy-side, I've exceeded expectations (hence the promotion) and have mastered the execution aspects of the job (modeling, diligence, negotiating SPAs, etc.), but understand that it will be an uphill battle getting to the promised land (M.D.) at the fund, and I'm not sure I want to roll the dice in trying to make MD at another fund at the expense of aiming for another opportunity where the path to the top may pose fewer barriers.
I'm at the point now (7 yrs removed from school) where I don't want to retench at B-school, and am considering other options, including BB IB. Not having come from an IB background, I'd appreciate any insights into the general prospects and process of bulge bracket hiring from non-MBA campus sources. As a sidenote, I do have relationships w/ some folks at BB banks, but would prefer not to tap into those sources given my status at my current fund.
Any thoughts?
Why do you want to go from PE to BB...sounds like your going backwards. Unless your main goal is to make MD (regardless of whether it's PE or BB) just for the sake of the title.
You said you've exceeded expectations already; stay on that track and keep exceeding expectations.
goodluck.
Given the current condition of the market and the fact you didn't mention that you hated being where you are at...I would stay put. I could be way off, but bringing someone in at the MD level seems a bit less likely than an internal promotion to MD. Certainly take the opportunity to look and see what is out there but I would bet that not having an MBA would make it difficult to become an MD at a BB in this day and age.
I don't know how close you are with your partners at the firm but maybe it would be worth your while to speak to them about the added benefit of going back to school. I know you don't particularly favor going back to school but if you could get into a good program if would offer you a tremendous amount as far as increasing your career potential. The network you could acquire while you are there would likely be extremely beneficial no matter what path you chose to pursue. You could potentially meet new contacts for future deal flow and possibly people who might participate in future funds. To me, bringing in money and deals would be a surefire way to get your invitation to the MD level. I just think you are fairly limited given the job market and given the lack of MBA. Unfortunately, in the upper ranks of PE, your aforementioned skills lose some of their value as creating deal flow tends to be the focus for MDs at many firms. Just my two cents. Good luck.
Regards
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