Lateral After 1 Year Options

If you get an offer to work as an IBD analyst (M&A or a coverage group) - at a firm like BNP Paribas, Credit Agricole, Wells Fargo, Macquarie or a smaller boutique advisor - is it possible to lateral to a top BB/elite boutique for IBD after 1 years experience? Or are the lateral transfers only possible if you are already at a top BB/elite boutique?

Would you have to start as analyst 1 or can you continue as analyst 2?

If so, is it best to start off as a generalist to keep your options open in terms of succeeding with a lateral transfer?

Will top hedge funds/PE firms look down on someone who worked at a lower tier bank, lateralled into top tier IBD, and wants to move over vs someone who went to GS/MS/JPM directly?

Appreciate it. I'm in the UK.

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Comments (33)

Dec 31, 1969 - 7:01pm

How to handle lateraling after only 1 year? (Originally Posted: 06/11/2015)

Hey Monkeys

First time poster here. I honestly need advice-
I'm a first year analyst at GS CRMA in SLC. I have only been here for a year, and I have already determined that I want to do IBD (ideally not staying in SLC). I can confirm a new IBD analyst class is coming to SLC office, and I consistently rate in the top bucket for my group.
Seeing as only a year has passed, how should I let them know I want to make the switch? I have my first year end career dev review soon, should I just tell my manager what I want? The biggest worry I have is my manager not taking it well.
Also, how feasible do you think it would be for me to switch into the new IBD group? I've had previous FIG experience (corporate credit at another BB), and I've been well prepped for ibd interviews for a while.

I'm also looking at MSF programs, just in case.

Any advice is greatly appreciated.

Dec 31, 1969 - 7:04pm

Lateral during first year (Originally Posted: 03/28/2011)

Let's say you have the chance to lateral during your first year as an analyst from a top group a a large mediocre (i.e. BNP, RBS, Nomura) bank to a pretty good group at a top BB (i.e. JPM, GS, MS). would you take it? I know most would say I'd be stupid not to, but doing so would likely burn every bridge I've built at my current firm, and I feel like leaving before I even put in a full year would reflect poorly upon me. Not to mention I'd have to repay the signing bonus. Ultimate goal is (like everyone else on here) PE (not looking to join KKR or TPG or anything. I'm happy with a small mm shop). Current and potential job are both in New York.

Thoughts / opinions? Really not as straight-forward as which bank / group to pick.

Thanks!

Dec 31, 1969 - 7:10pm

1st Year Lateraling (Originally Posted: 11/25/2013)

Has anyone ever lateraled within their first year?
How do you go about applying and sending your resume around without it getting back to your company?

Also, say you've gotten really close to your team how do you just leave? These guys gave me a shot when no one else was willing to.

Not getting the experience I was expecting. Have been doing a ton of equity deals but limited to none m&a and modeling. After speaking to the 2nd year and 3rd year analysts they do not have any modeling skills and said the group doesn't do much m&a. Its a top group and brings in a ton of fees but its all equity.

Obviously have to do what is best for you. How do you do this without burning any bridges?

Dec 31, 1969 - 7:18pm

Possible to lateral after 10 months-1st Year (Originally Posted: 10/03/2014)

How possible is it to lateral In Aprilish- from cap markets to IBD?

I know its subjective and on a case by case basis, but has anyone heard of lateraling in under a year?

Dec 31, 1969 - 7:19pm

If you mean externally, shouldn't be that hard. Talent so hard to get right now, firms will take it from anywhere. Why not wait two more months though for your bonus...

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Dec 31, 1969 - 7:20pm

If you mean internally though, then that's a conversation you have to have with either your HR manager or your work manager. It has to be said explicitly. I personally haven't heard anyone do it in under a year, but that might be because (in Imnotyou21's point) people are waiting for their bonuses.

--Death, lighter than a feather; duty, heavier than a mountain
Dec 31, 1969 - 7:22pm

Lateral after (Originally Posted: 10/15/2011)

How common is it to see kids lateral from lower tier MM/boutique firms to top MM/boutique or even BBs in 6months to a year?

I'm a senior at a non-target but I have had no luck with any top tier banks but might have an opportunity to interview with some fairly well known regional MM/boutiques in a couple months. Has anyone had experience with doing a lateral after just 6 months on the job?

Dec 31, 1969 - 7:23pm

from my experience, the non-target guys that i know that got into boutique IBs out of college were very smart, and more importantly, driven and adept at newtorking. all of them that started in little-known regional boutiques were able to leverage their positions to work in BB or elite boutique from 6-months to 2 years.

Money Never Sleeps? More like Money Never SUCKS amirite?!?!?!?
Dec 31, 1969 - 7:24pm

That is going to be my goal. Boutique IB to MM in 9 months to a year. I'm building some inroads with MMs that would like 2nd year analysts. So I figure if I keep in touch with them and let them know I would like to join them when I have the necessary experience, lateraling over shouldn't be too difficult.

Now it's just about networking my way into a boutique.

My name is Nicky, but you can call me Dre.
Dec 31, 1969 - 7:27pm

I can relate to how poorly small companies run their books. A current client likes to count Owner Distributions as an expense...

Anyways, your best route is going to be networking and cold calling. Websites are a blackhole. Try to reach out to friends in the industry or alumni you find on Linkedin.

Dec 31, 1969 - 7:29pm

Who has lateralled to another bank after one year or two years? (Originally Posted: 02/11/2008)

Hi all,

I have a question for most of the bankers. Who has lateralled to another bank after one year as an Analyst; who has lateralleed after two years? What were YOUR reasons for lateralling? How did your 1st employer react after you left? Still friends or get the F out? How did you go about interviewing even though you were working? How has your experience at the new bank compared to the one you had at the previous bank? And lastly, do you regret what you did or are you very glad that you made the decision?

Thanks! Any input would be very much appreciated.

Best Response
Dec 31, 1969 - 7:32pm

People lateraling from MM/boutiques to BBs, people lateraling around within BBs, even some friends lateraling from MM/boutiques to other MM/boutiques.

In general, the reaction is never good. PE/HFs are not really seen as "competitors" so although they won't be happy if you leave early for one of those, they're less pissed than if you jump ship to another bank.

Despite the bad reaction on the part of the first employer, most of my friends who have switched banks have actually been happy about it. Going to a BB from a MM will usually result in broader access to exit opportunities and such.

Generally it's a "Get the F out" type scenario because they don't want you dealing with confidential information if you're going to a competitor.

Interviewing while working: thousands of excuses. Dentists, doctors, pipes burst at home, etc. etc. etc.

Dec 31, 1969 - 7:33pm

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