I have an opportunity to join a fund in London that is an activist (not so hostile) investor in UK and European small to mid-cap companies, and in most cases takes them private. The role is an analyst and I have around 5 years of experience in the HF industry and a total of 10 years of work experience. Here are further details:
- It's not actually a fund just yet - it's been around only a few years and whenever they see an opportunity, they invest a bit of the partners' capital and get the rest of the capital (the bigger chunk) from a megafund
- They invest in one company a year because between not having a committed fund and not finding that many activist opportunities, it can be tricky to do more
- The two partners come from a sell-side background (M&A and wealth mgmt, 20+ years of experience each), and have told me that they have sufficient relationships to call capital on a deal by deal basis for opportunities that emerge
- They are a team of 4 (2 partners, 1 analyst, 1 COO)
- They are situated in shared offices in Mayfair
Can you help me think through the pros and cons of this opportunity? The comp will naturally not be a big pro here, so I'd like to hear your perspective on what kind of "optionality" this job can provide down the line? Is it to narrow a scope to spend the next 3-5 years of my career there, or is it the right thing to do to go ahead and specialize from now in an area like that? I do like activist investing I must say and am not a big fan of passive HF investing.
Any thoughts appreciated please.