Seeing how limited the opportunity set has been over the past few years and how a lot of large distressed funds have been performing poorly, would it be a poor decision to recruit for a distressed debt hedge fund? I always thought the space was pretty fascinating, but reading WSO threads on it (such as the anchorage thread) is disheartening. Do you think there's a future for distressed debt investing, or is it permanently shrinking? is there a case for survival for more private facing distressed roles?
Separately, are M&A banking backgrounds looked down on by distressed shops?