How do these job offers compare?
Hey guys, I've cast such a wide net trying to lateral I have some very different standing offers. I'd appreciate hearing everyone's thoughts.
I'm currently a research associate at a small to mid cap HF with about 2 years of experience.
My current firm isn't in an ideal location, pay is below what you'd think, and I would like to move beyond my limited coverage of a select few companies.
My goal throughout undergrad was to end up in IB but I landed in equity research along the way. FWIW I've been unable to close the deal in my few ib interviews so I have been applying everywhere I can.
My immediate goal is to lateral to a job that will put me in the best possible position for a good MBA program and better recruiting opportunities. I'm confident once I explain the gaps in my resume and get at least another year of experience I will have a strong top 15 MBA application. My longer term goal (5 years out) would be MM PE or Corporate Development.
So far I can choose from one of these if I decide not to stay at my current firm;
Offer #1 Transaction Services, Senior Associate at a Big 4
Similar skill set to IB
Pay is higher than current package considering hours
Work with a diverse client list
I'll be with the M&A practice
Offer #2 Equity Research Associate at large news organization
Similar skill set to what I do now
Similar pay to current package
Build a highly visible brand for myself with a large audience
Offer #3 Alternative Investments, Senior Analyst/Junior Associate at a BB PWM/IM team
I think I'll develop the least transferable skills here
Highest pay
Great brand name
Will need to relocate
Offer #4 Investment Banking, 2nd year Analyst at a boutique
I'll be getting the most direct experience
Lowest pay
Questionable deal flow
Least well known of all firms listed
Will need to relocate
What do you guys think I should consider before I decide?
1 and 3 sound the best if you want the best risk adjusted route to a strong MBA program and good opportunities in mba recruiting.
offer 1 and offer 4 will provide you with the most relevant skills for middle market PE post MBA
Middle market PE as a senior associate is not a realistic result for this profile, imo
I agree. That is why I'm focusing on anything that can get me more relevant experience before b-school. I don't think it matters at this point but I went to a semi-target so PE in general will be a reach until I build a more attractive profile.
I know someone who made the jump as VP in TAS at an EY/PwC shop to VP at a well respected MM PE so you never know
Disagree. It is not a common path but within the MM PE (depending on how you define MM) space there are a number of Associates with Big 4 TS backgrounds
How can someone want to move FROM a HF TO IB? Take #3.
That is an interesting question because I had an interview at a BB where they seemed to dislike all of my answers.
Many, but not all, would be looking at that from a perspective of more experienced candidate or someone who can't see themselves staying another day in banking.
For those of you who have done banking or who have a blue chip background it may be easy to feel the grass is greener or that this is not a good move.
I took my current job because I was a nontraditional candidate happy to get any offer I could, I'd like to develop my potential to be more in line with long term goals.
answered answered answered answered answered answered answered answered answered answered
Because pay and work quality at most HFs is shit.
You speak the truth but the undergrads in this thread with visions of being Axe from Billions will drown you out.
I like #2. MBA admissions love a story and this could differentiate you from every other "finance guy" that applies from the same industry to the same 5 schools.
Plus it sounds like you're looking for a change.
answered answered answered answered answered answered answered answered answered answered
Can't comment on the MBA process or options 2-4, but if PE/CorpDev is the goal down the road, I can say option 1 can help build strong accounting foundation in a deal context.
Depending on your partner/group, you can get exposure to a variety of different transactions as diligence engagements tend to be shorter as they only make up one small section of the deal process. This is good in the sense that you could get exposure to nuances and details of various transactions that you wouldn't see if you in other roles, and can be useful to know in PE/CorpDev. Buy side diligence mandates are generally shorter, while sell side mandates can last a few months. One interesting point is if your big 4 office has a corporate finance (MM IB) group, the TS group might sometimes be engaged by the corporate finance group to help out on certain parts of a sell side mandate, though I imagine this is group/office dependent.
There may be opportunities to review purchase agreements, though this will often be done at the senior manager/partner level - but findings from the diligence process you'll be involved in will be used for recommendations/updates to these agreements. Being involved in these type of discussions can help you understand considerations that go into a transaction, and how to minimize risk exposures to the client.
I'll caveat by saying you won't get exposure to the whole deal process, and you'll generally focus on a smaller, specialized area of the transaction. However, you will gain skills that allow you to understand the underlying financials of a company, understand operations to the extent of how they impact financials, and throughout your time, you'll likely pick up small bits of pieces to learn at a high level how the overall deal process works.
I'm pushing to interview with the CF group but I've got limited contacts to hear more about the actual dealflow and work process. I may be wrong but isn't a lot of what you described from the FDD viewpoint? From what I've been told I'll be assigned to Valuations. What worries me is whether or not it will be seen as not transactional enough? How do accountants view TS? It's my understanding most auditors find it difficult to lateral to TS but I'm not sure if that is due to anything structural.
I see, my mind went straight to FDD when I saw transaction services, but that label might mean something different at different firms. What I described above is FDD. I don't have much insight on valuations, but from what I've heard you'll get a lot of hands on modelling work, though their models may be used for purposes other than transactions (purchase price adjustments, litigation). I'd be interested to hear what others say on this.
The TS FDD group I'm in generally recruits seniors (associate level) from the audit group, as they will generally have their CA/CPA certification, and general exposure to handling company financials from an accounting standpoint. It may be harder for someone to move into TS due to the size of the group - there's just less positions to fill compared to audit.
Skill set from valuations will be different from FDD, though similar themes will apply (overall understanding of business, value drivers). I'm in a Canadian market, so take this with a grain of salt - but I've seen people from valuations placed into PE and IB, and a few people in the FDD group place into IB and corp dev. Small sample size, but wanted to illustrate that exits are available. Ultimately, I think it'll depend on what skills you want to develop. If you want something more transactional, FDD and CF will be the best options as you'll work directly with transactions, while valuations would be good for modelling (and I'm sure other aspects I'm not aware of).
Neque dicta quas et ratione totam dolores. Neque et est temporibus eum omnis id. Qui at at cumque dolor quia voluptas sapiente. Aliquid architecto quos et repellendus quis. Officiis nihil rerum fuga. Omnis quis ut officia praesentium.
Consequuntur omnis repellendus dicta qui et quia corrupti. Itaque autem in sint eligendi voluptatem placeat. Ut dolores tenetur velit expedita praesentium. Magni consequatur molestiae et eum labore.
Non architecto sed perspiciatis voluptate sint voluptates explicabo. Dolor molestiae nulla labore dolor. Ea ut velit veritatis hic voluptatem sed. Autem aut incidunt assumenda at at corporis. Esse quam dolore totam qui quibusdam rerum. Magnam aliquam harum porro esse error animi tenetur voluptatem.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...