IB - Non-technical Exit Opps?
Hey everyone, super long post but I’m really hoping someone here can help a lost analyst. As for background, I just finished up my first year in the M&A group at a BB.
Here’s the thing: Working in M&A for a year has made me realize that I despise the technical side of finance. To better phrase it, I actually really enjoy high-level valuation/modeling, but once it gets to the nitty-gritty super detailed operating models (ex: power and infra especially), tax accounting/laws, NOLs, DTA/DTL, etc, I lose all types of interest. Same goes with doing crazy amounts of scenario analysis and modeling out all the tax or whatever implications of how the deal would look for if it was a MOE, SPAC, RMT (reverse morris trust), carve out, etc. I’m also not a fan of working in Excel for the majority of my day, and I hate the due diligence process, working in data rooms (this makes me want to shoot myself in the head), and basically always being the numbers expert without having any say in the high-level aspects of a business/investments. I’m naturally a very qualitative person (went to a liberal arts college and loved it), and everyone says that I’m a great people person. I love talking with others, presenting my ideas, making relationships, etc and I wish I could talk about more than just numbers in the meetings I’m allowed to speak up in.
I just got my reviews that I’m one of the top analysts and I’m good at all this technical analysis in modeling but I genuinely hate this type of work. For this reason, I decided that I will not recruit for direct PE or corporate development. Believe it or not, I actually really enjoy working on M&A deals, as I find the process exciting. However, I just wish the work was less technical. I’m wondering if I should do something along VC/GE or even PE secondaries or FoFs. Would Investor Relations for a PE firm be a good fit? I even thought about becoming a headhunter lol. I actually wouldn’t mind continuing to work long hours if it meant I can focus on high-level technical work and I’m able to use more of my qualitative skills.
Are there any deal-focused jobs on the buyside that doesn’t require as much technical skills or dig deep in due diligence? Really appreciate it!
Bump
Shareholder advisory
I already do shareholder advisory in the M&A group. Some ppl might find it interesting but it’s a whole lot of pitching / meeting with executives. It’s also not deal-oriented at all, and most juniors I know hate working on shareholder advisory staffings
placement agent, credit sales, sales and trading
Do you mind expanding a bit on the everyday work of placement agents? I’ve really never thought about S&T either because I’m a night owl and hate waking up before 8am... hahaha
if you work for a placement agent, think of yourself as an external fundraiser for various Pe/HF/VC. You are calling on institutions and going over the strategies of the funds you’re working on, talking high level about what the various funds are doing. You have to know enough about what funds you’re raising to be dangerous, but the institutions doing the investing are the ones that have to dig in on the diligence work and the nitty gritty details would usually come from the funds themselves.
FoFs sounds very much like your vibe. You meet smart investors, are executing on investments and are doing minimal technical work. Some VC firms are also very qualitative too and might be a good fit.
Thank you for your input. Do you happen to know what junior-level employees do every day at FoFs? My only issue is that I do love learning about companies, and I am under the assumption that you don’t really value any companies in FoFs. I would still like to be in a role where I can somewhat learn about different businesses and be a part of a deal.
After typing the above out, maybe secondaries is for me? Evaluating a ton of companies in various portfolios but at a high level...?
Endowments, esp. if you went to a target uni, they usually try to hire alumni
Unfortunately my school’s in the middle of nowhere and I want to live in a major city :/
Still not out of the question for you to get a gig somewhere else — Columbia, NYU, Georgetown, UT Austin, Cal, UChicago, etc
why not just be a banker thats "high level" and "not in the model"
Plenty of those around at any BB - especially in coverage groups
Just backslap your way through a deal process - go golfing/clubbing with clients
Bring in the deals and hand off the numbers to some schmuck in the group/bank that will hash out numbers with the CFO while you and CEO go wife swap (like Sage Kelly)
The ol' Sage Kelly reference never fails to amuse.
Worked at a big GE firm for a summer (think TA, summit, etc) and 95% of the work an associate there is doing is non-technical. A lot of it is sourcing which is just a different side of finance, but its very qualitative and is really just chatting with companies and trying to make some snap judgements about whether or not you like it enough to keep looking into it. The extent of the modeling (at least of what I saw) is a few revenue projections and some basic sensitivity tables for potential exits. I wasn't around for any deals on my team so there may be some slightly more intense modeling when you actually get staffed on a live deal, but it's going to be nothing compared to buyout PE or IB.
Well damn, OP - we are on the same exact boat lol...
This might get shot down, but being an advisor in Private Banking could be pretty fun. A looot of client contact and they trust you with their whole wealth. If you pitch them specific companies you need to do your own analysis but with very minimal modelling. If you’re at a good place with a solid client base you can build an amazing network and have some serious fun.
Bump
hey OP, not sure if you are still checking this site, but feel exactly the same way - mind shooting me a PM to potentially chat further? Thank you
Does your bank have a sponsors group that is perceived to be not involved in the modelling? E.g. GS, JPM, Citi; if so would say that this might be a better fit for you than M&A.
Quia ut quia quisquam quibusdam. Cum fuga et error incidunt quisquam dolores. Alias minima doloremque eaque ad ea voluptatibus. Rerum et et consequatur magni.
Nulla dicta minima molestias dolores qui. Perspiciatis sed nemo qui perspiciatis vel dignissimos ut. Voluptas velit placeat et culpa velit explicabo eius. Aliquam explicabo aut nihil. Quo officia ullam voluptatibus dolorem neque non libero. Saepe ipsa eveniet necessitatibus ipsam quibusdam sint.
Iste dicta ipsa ipsum aut earum. Ducimus nihil alias possimus odio corrupti possimus. Repellat libero tenetur et quia praesentium.
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...
Facilis sint saepe iure temporibus fugiat. Quasi unde natus ex dolor et cumque et.