Got offer lateral AM to IBD - need your advice

I'm currently a 3rd yr analyst in AM at a BB and have been interviewing for a lateral move to our IB (industry coverage). After the interview process I was offered an opportunity to join as either a 1st or a 2nd year (up to me). Curious to hear you guys' thoughts on whether you think I should start all the way from scratch and go with the 1st yr offer, or if you think it's doable for a non-IB background to straight into 2nd year at a BB (had relevant experience in AM, but definitely not the same job). Also curious to hear your thoughts on which move is more strategic as it relates to buyside recruiting down the road.

Thanks

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Comments (51)

Dec 7, 2014 - 5:29pm

Are you sure you wanna do this? Why banking? What products/industries did you cover in AM? And what is your ideal buyside job? Im guessing you are just doing this coz the money sucks?

In your shoes, I would go in as 2nd yr analyst, and consider immediately applying for MBA if you are still confused about what you wanna do with your life.

If you are at an AM firm that people have heard of, you are probably better qualified than most for other buyside jobs. The exception is PE - but an industry group in IB wont help you get into PE at all anyways.

Array

  • 2
Dec 7, 2014 - 11:37pm

I'd like to go PE or HF in long term. My current role is more generalist and has limited exit opps. The new position will broaden exit opps which is why I am doing it - money wise it is almost the same as I am getting paid now. However, my concern is moving in as a 2nd year gives me shorter time to potentially recruit into PE/HF as associate promotion would be only 1.5 yrs away.. my understanding is that PE/HFs rarely takes IB associates, most hiring is done at analyst level.. Is this correct?

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Dec 8, 2014 - 12:14am

OP, if you are interested in PE/HF and aren't in a rush/won't mind working in IB I'd personally recommend going in as a first year analyst (that's likely what I'd do anyway) - although comp will be lower, you will have less pressure on you and will have more time to develop relevant skills etc, and more importantly more time to get staffed on relevant/good deals that will help you move to the buy-side. For example, if you come in as a 2nd year analyst and aren't proven, you're not going to be the guy they go to for any important work...

Dec 8, 2014 - 12:15am

Asset Management to IBD? (Originally Posted: 11/28/2013)

If you are doing a Junior summer internship at a top BB in their Asset Management division, is it close to impossible to do an internal move over to their banking division full-time? What about if you stayed in AM for a few years, got a top MBA and went through associate recruiting, is that possible?

Just looking for advice, as I want to protect myself in case I don't end up enjoying asset management. Thanks!

Dec 8, 2014 - 12:18am

I worked at a top BB's AM this past summer and realized that it is def possible as 2 guys from my desk in recent years made the switch (one to research, one to IBD). It's definitely an uphill battle though, and both worked very hard to do it. One went up to associate on the AM-side, and on his switch to research had to lose his associate title; it took him a few years and lots of preparation. The other was an intern and went through the formal process for IBD for summer interns in AM and made it (although I heard this is rare, and voicing to do so can jeopardize your FT-offer to AM - so the Consensus was that he gambled).

I personally made it into ibd, but at another firm. It actually surprised me that I was able to tie down so many interviews. Regardless, I think it also depends on what your job function is at the AM; I was in research so I got to learn a lot of modeling/skills relevant to IBD that I was able to talk about during my interviews. I know other people who didn't fare so well that worked in groups that did not entail much financial analysis. Something that did interest me during my time over the summer though is that a ton of management at our specific AM came directly from the IBD - so if your'e a stellar analyst in AM, it was communicated that management would vouch for you if you planned on moving over.

Dec 8, 2014 - 12:21am

1st year AM looking to move to IBD (Originally Posted: 02/04/2015)

I am currently working at a large investment bank/asset manager within the AM arm and I know this is an uncommon lateral movement, but, it is not completely without purpose. I have decided, not long after starting, maybe 6 months ago, that really, what I want to do is work in a field where investment banking is the only sure fire way to get there.

With that being said, is there anyone who has gone through this process of shifting from any other career into investment banking? If there are some of you out there on this board, what does the time-line look like, training etc? How did you break in, through HR programs, or contacts?

I would like to do this ASAP, so that it makes sense for a bank to still hire me, still practically fresh out of college. Any advice from former lateral movers is much appreciated!

Dec 8, 2014 - 12:23am

how to:am to ib (Originally Posted: 03/19/2015)

Hey guys first of all thanks for taking out the time to read my post. I have been an avid follower of the forum and have learnt a lot from the advice given by the experienced folks. This is my first time posting so looking forward to all the replies and advice.

A bit about my background. Graduated in 2014 with an undergrad business degree, went into a long only AM firm with 25B+ AUM as an equity analyst doing fundamental and quant investing for the last 8 months. I like my job but on the other hand I really want to get into IB as a first year analyst.  

It would be of tremendous help if some of you guys/gals can give me an idea on how realistic my chances are since I am against people with IB internships/FT. Also any tips on how to maximize my chances are really appreciated. I do know some people in IB at boutiques and BBs in NYC and LA (I live in neither one of them), but tbh do not know them that well. 

Dec 8, 2014 - 12:27am

I-Banking from Asset Management - Difficulty? (Originally Posted: 12/03/2008)

Does anyone know how difficult it would be to get into I-Banking from a large, reputable, Asset Management firm?

Would the BB banks be open to it, or would you need to go to a MM?

And what type of position in the I-bank would you assume given 2-4 years of prior experience in asset management?

I am primarily thinking about 2-4 years ahead, hopefully when the economy is better.

Dec 8, 2014 - 12:32am

more pertinent question: why would you want to? If you're at a decent AM firm (nb not PWM), there is absolutely no point in moving from the buy side to the sell side, when everyone in IB is trying to make the exact opposite move. The hours are shorter and the work is hugely more interesting, and the best portfolio managers make as much as any I-banker. Despite what some people on this board will tell you, if you're on the right desk it is also perfectly possible to move over to hedge fund land should the feeling take you.

Dec 8, 2014 - 12:33am

Getting into the IBD from Asset Management at a BB (Originally Posted: 07/31/2007)

So I'm just about to put a wrap on a summer internship at a BB in their Asset Management Division (Alternative Investments - Fund of Funds)

I'm thinking of moving over to the investment bank next summer. One problem is my duties have been a lot of intern work (copying, filing, binder creation), but I have done a good amount of excel work (not modeling, comps, banker work etc...)and really learned the ins and outs of what FoFs are and what we are responsible for doing.

With that said I have built some good contacts at this BB within my group. However, I am unsure of whether or not these people know others in the IBD well enough so that they can refer me for interviews/meeting etc... I can get great recommendations and have built solid relationships, but I'm unsure of how well that will serve me if these contacts of mine don't know the actual IBD people.

With that in mind, I have good credentials with the one glaring problem on my resume being I don't go to a target school. I'm not at some Central Idaho Valley U or something, we are a decent school sitting just outside the top 50 nationally.

I'm confident though that with my current AM internship at this BB, combined with my solid gpa (3.7-3.8) and knowledge of what the industry is about (what M&A and different groups do, what specifically I want to do in IBD, what different industry groups exist, the work hours, the nature of using excel for models etc.. and technical knowledge being that I know the basic financial statements along with DCF, APV, WACC etc..)

I plan to obviously use my resources in an attempt to get into IBD at this particular BB, if that fails I have a contact at Bear Stearns who is willing to help and otherwise I'm planning on cold calling some good MM firms like HLHZ, Greenhill, Jeffries, etc.. and will try to set up some interviews and see what I can get.

Anyone care to evaluate my game plan.....

All comments welcome and appreciated

Dec 8, 2014 - 12:34am

I do feel confident though as I was selected to interview with Goldman for their summer analyst position in PWM for this current summer and was invited to the Super Day before the event was cancelled at the last second.

This was without the current BB AM internship and very similar gpa so I am obviously in a better situation than I was previously.

Dec 8, 2014 - 12:36am

I-Banking from Asset Management - Difficult to get into I-Banking from a large reputable AM (Originally Posted: 12/03/2008)

Does anyone know how difficult it would be to get into I-Banking from a large, reputable, Asset Management firm?

Would the BB banks be open to it, or would you need to go to a MM?

And what type of position in the I-bank would you assume given 2-4 years of prior experience in asset management?

I am primarily thinking about 2-4 years ahead, hopefully when the economy is better.

Dec 8, 2014 - 12:38am

Asset Management to IB (Originally Posted: 06/22/2015)

Hello all,

I've had two internships at top Asset Managers (think Blackstone, Fidelity, State Street) and I am looking forward to FT IBD recruiting. I already have contacts and a few MM banks and many boutiques. Do you think this is realistic? My network definitely makes up for the lack of school name (Northeast non-target). Grades are better than solid 3.5+. Will my network help me more than my grades/school? Any tips for FT recruiting?

Thanks

Dec 8, 2014 - 12:39am

Blackstone, or BlackRock? Very different. Also, in what kind of roles? If you were in research (which is THE place to be at AMs), that will definitely make people look at your resume.

Dec 8, 2014 - 12:42am

Career Advice: Asset Management to I-Banking - Looking for input (Originally Posted: 05/25/2011)

Hey guys,

Didn't realize there was a job search forum, so this is a re-post from the i-banking forum. Been reading through the forums here the past couple weeks, but this is my first post. Looking for a little advice.

Here's my situation: I graduated last year with around a 3.3 GPA from a semi-target school (banks come and recruit there) in California. After graduation, I took on a role at a small, independent financial advisory firm. In the last few months, I have been helping out with discretionary managed accounts, doing market and company research to assist with equity management. In performing this type of work, I realized I would rather work in more transactional finance rather than individual investors. Specifically, I want to make the move into investment banking. Now I know my best shot at this point is networking, geared at boutiques. But how do you think I will be received by bankers? Do I have a realistic shot at breaking in? Thanks for any help.

An additional note: I have internships at AIG Financial Advisors (wasn't given much meaningful work though) and also at a small home health-care start-up (was interested in business development and the healthcare field). Know this probably won't help my cause, but should I add these onto my resume?

Dec 8, 2014 - 12:43am

create resume on razume and post here......there's not enough info to give meaningful advice

Get busy living
Dec 8, 2014 - 12:44am

Career Advice: Asset Management to I-Banking - Looking for Advice (Originally Posted: 05/24/2011)

Hey guys,

Been reading through the forums here the past couple weeks, but this is my first post. Looking for a little advice.

Here's my situation: I graduated last year with around a 3.3 GPA from a semi-target school (banks come and recruit there) in California. After graduation, I took on a role at a small, independent financial advisory firm. In the last few months, I have been helping out with discretionary managed accounts, doing market and company research to assist with equity management. In performing this type of work, I realized I would rather work in more transactional finance rather than individual investors. Specifically, I want to make the move into investment banking. Now I know my best shot at this point is networking, geared at boutiques. But how do you think I will be received by bankers? Do I have a realistic shot at breaking in? Thanks for any help.

An additional note: I have internships at AIG Financial Advisors (wasn't given much meaningful work though) and also at a small home health-care start-up (was interested in business development and the healthcare field). Know this probably won't help my cause, but should I add these onto my resume?

Dec 8, 2014 - 12:45am

First of all, stay put at your current job...don't be tempted to quit. It's a lot easier to find a job when you have a job.

As far as switching from AM to IB, your best shot is utilizing your network (alumni, family, friends, etc). You also need to start crafting your "story" - what in your past experiences has lead you to pursue IB. Have one or two specific examples from each of your internships and current job. It's really all about telling that story well.

Also, I highly recommend you take a financial modeling prep course like BIWS. This will help you a lot in interview prep from not only a technical standpoint, but will also give you something to weave into your story (ie; I am interested in IB to such an extent that I proactively took a financial modeling course...yada-yada-yada).

Finally, be patient! It's not an easy transition to make, but keep plugging away at it.
Hope this helps.

Dec 8, 2014 - 12:46am

Asset Management to Investment Banking is it viable and sensible? (Originally Posted: 09/20/2014)

I'm a Master student in my first year. I have 16 months of experience in Asset Management, I'm now in a stage to apply for internships. I'd like to try a hand in Investment Banking and change my career path. I would like to hear the opinions of fellow members on this career path, because usually people shift from IB (Sell side) to AM (Buy Side) , I'm a bit confused. Thanks in advance .

Dec 8, 2014 - 12:47am

With 16 months experience you would need to go to b-school then apply for associate roles. If you're ultimate goal is the buy-side..then stay where you are. It's do-able to move from a fund like Wellington to a HF given that you at least have the CFA designation, or sometimes PE (which seems more rare). But if your goal is something more strategy oriented like CorpDev, then you're gonna need IB experience. It's easier to 'try your hand' in banking when you're just out of school, but to get in later in the game b-school is generally the only option

  • 2
Dec 8, 2014 - 12:49am

shorttheworld:

Define you being in am and why do you want to work double hours

Well I guess when you're still a junior you make more money in IB than you do in AM + IB gives much broader exit opps whereas AM exit opps are more limited. Those are 2 good arguments to make the switch I think. Of course there are also enough arguments not to make it.

Dec 8, 2014 - 12:52am

OP, this is all about what you want to do in the long term. If you don't feel you have actual passion for AM I would make the switch to IB because it gives much broader exit opps. If you actually enjoy your work in AM and can see yourself in this business for a long time just stay.

Best Response
Dec 8, 2014 - 12:55am

Intraoffice Movement (Asset Management-->IBD) (Originally Posted: 11/23/2010)

Hi Guys,

I've been a member for some time now, haven't really posted yet, as I'm still trying to learn the way.

I was looking to get some insight of a current dilemna.

I'm in the same predicament that everyone is that posts on the get a job board (nontarget, low gpa, blah blah blah, the whole shabang). I've been working as a consultant at a BB for Asset Management ops (I know, not the ideal job for anyone on WSO, but it's a start). Throughout the contract, I busted my ass and was offered the position, however I declined (I really want IBD).

I've had the opportunity to meet with some ED's & VP's, however I'm unsure of how probable it is that I'll have to chance to transition directly to IBD (Ops for S/T). There's still another month, month and a half left of my contract.. I've been cold emailing, scheduling meetings, I've even considered cold calling HR as my last resort.

There's multiple other positons I can take as last resort in Asset Management as well as treasury and security services.. Obviously I need a job, do I take the a/m or tss job and stick it out for a year then really bust my balls to move to IBD (Intraoffice movement)? Or start looking outside the company for IB/IBD opportunities immediately after accepting the am/tss position (Completely start over)?

Thanks in advance!

I'm on the pursuit of happiness and I know everything that shine ain't always gonna be gold. I'll be fine once I get it
  • 5
Dec 8, 2014 - 12:56am

Bump

I'm on the pursuit of happiness and I know everything that shine ain't always gonna be gold. I'll be fine once I get it
Dec 8, 2014 - 12:58am

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I'm on the pursuit of happiness and I know everything that shine ain't always gonna be gold. I'll be fine once I get it
Dec 8, 2014 - 12:59am

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Frank Sinatra - "Alcohol may be man's worst enemy, but the bible says love your enemy."
Dec 8, 2014 - 1:00am

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