Hypothetical Renege Situation

Prospect in IB-M&A

Was in discussion with a friend that has already signed for SA 2021...think Citi/CS/GHL/PWP/MoCo

Although he already signed, he told me that he is still recruiting (or plans on recruiting) for GS/MS/JPM/PJT/CVP/LAZ/EVR

He thinks that the marginally higher prestige/exits outweighs the risk-adjusted chance of losing both offers. To quote him: "Many of these top firms don't care if you renege a lower bank. With how fragmented this process is, the situation lends itself to this happening."

Personally, I am very risk-averse and would never renege (but again, its easier to say this as someone currently without an offer), but I'd love to hear everyone's opinion on this subject.

Also, for context, we go to a borderline Target/Semi-Target school.

Comments (28)

  • Prospect in Other
May 9, 2020

bruh we know this is about you, you posted anonymously you don't have to claim its your friend

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  • Prospect in IB-M&A
May 9, 2020

Not trying to dox either of us, because my school is in some of my past posts/comments. Sadly, I am not the one with the offer

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Funniest
May 9, 2020

Cap State University

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May 9, 2020

Surprised a Moelis 2021 SA hasnt self destructed yet from not being put in the top tier

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  • Analyst 2 in IB - Gen
May 9, 2020

lol so Citi, CS or GHL then... truly don't see any reason why a PWP or MoCo kid would renege when the same exit opps are just as available to them

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  • Analyst 1 in IB - Gen
May 10, 2020

Yea lol those two don't belong in the same list, especially Moelis

  • Intern in IB - Ind
May 10, 2020

literally know a kid that signed Citi over Moco lol

May 10, 2020

i mean I think there will always be one off examples.. I know someone who chose berkeley over harvard lol. but generally I think the consensus is PWP and Moelis are a step above- would u agree with that?

  • Prospect in IB-M&A
May 9, 2020

What is GHL?

May 10, 2020

greeenhill

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  • Prospect in IB - CB
May 11, 2020

greeeeeeeenhill

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  • Analyst 2 in IB-M&A
May 10, 2020

just don't do it, it's not worth it and you'll frame yourself as a hardo from then on

  • Prospect in S&T - FI
May 10, 2020

I do kind of agree - with banks pushing earlier and earlier (although GS, JP, etc have cooled down) for recruiting juniors, they are putting undue pressure on students and preying on their risk aversion to make them take the bank's offer.

I'm not sure if this pressure makes reneging extremely ethical on a scale, but it surely makes it more ethical

May 10, 2020

Reneging is tricky. But remember, in 1998 The Undertaker threw Mankind off Hell In A Cell, and plummeted 16 ft through an announcer's table.

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Most Helpful
  • Associate 2 in HF - Other
May 10, 2020

if it's PWP or Moelis it's not worth it to try and reneg. if it's the others and you get a clearly better offer, it may be worth the risk. the space is still small and people can hold grudges etc. but this offer is so far in advance idk how I'd play it but if I had 2 offers I'd just keep my lips sealed and at some point late 2020 I'd make up some BS excuse why I couldn't do the first internship (family issues, etc. that needs me in my hometown or some shit). absolutely do not put your actual intended internship on LinkedIn or any of that shit. wait until you've started your actual FT analyst role. Now of course you can never send your resume to the reneged bank but that's a minor issue. there's always a risk with reneging but you can lower the chances of you getting fucked if you run a tight ship. loose lips sink ships.

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  • Intern in IB - Gen
May 10, 2020

Companies will always do what's best for them and that's why you should always act in your own best interest. I already think it's pretty unethical for banks to effectively trap kids into signing an offer for an internship this early. in essence, there's no ethics in this business so do what is best for your career.

  • Intern in IB - Ind
May 10, 2020
Comment
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