PE vs. IBD

Is compensation really that higher? Are the hours really less?
What skills did you learn in IBD that you could use in PE?
Do you regret your decision, or not? and why??

Private Equity vs Investment Banking

Private equity and investment banking both have their own sets of difficulties.

Private equity is generally more of an in the weeds, due diligence role. Most of your time is spent working on projects, understanding companies, industries, and doing fundamental research.

The duties:

  • fundraising
  • Screening and making investments
  • Managing investments and portfolio companies
  • managing exit strategies

Investment banking is fundamentally an advisory role focused on transactions. It has a rigid hierarchy and involves a high volume of deals to generate fees.

The duties:

  • pitchbook creation
  • modeling
  • administrative work

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Comments (198)

Feb 2, 2015 - 11:28pm

I just transitioned from IB to PE.

Putting hours and comp aside, I personally think PE is more interesting. Are you the type to dig into the smallest of details (down to the serial # of a printing press during diligence) or would you rather see volumes of transactions? If the former, PE may be worth a try. If the latter, stay away from PE.

As for skills, you do learn to model just about anything under the sun in investment banking. Some MD, somewhere, will come up with the most absurd analysis and you will have to model it. At any rate, LBO and merger models are probably the main takeaway from banking from a pure mechanical perspective.

In terms of critical thinking, because you are pitching all the time, you tend to learn, for example, what type of companies should have higher EBITDA margins.

Feb 3, 2015 - 1:01am

PE much more interesting, no question

I have worked in both, below are few reasons based on my experience

My take on IB
In IB, job is CLIENT SERVICES-related. While IB analyst programs do provide some great learning opportunities wrt finance, working in professional environment, etc., vast majority of time is spent on mundane tasks related to formatting and pitching ideas, while putting very very little thought/depth into work product. Basically, IB analyst work is always labor intensive and not often thought intensive. You will learn a lot, but would estimate that during a 2 year analyst program, >70% of what you learn occurs in first 6 months. In addition, IB has rigid hierarchy (e.g., teams of 5+ people, with anyone above VP level in "read-only mode"). Hierarchy can be useful in first few months when learning the job (e.g., great to have several people who you can go to when you have Qs), but after you figure out what you're doing, the inefficiency of this hierarchy is brutal / mind-numbing

My take on PE
In PE, while mundane tasks still exist, much smaller % of time is spent on these vs. in banking. Instead, in PE, nearly 100% of time is spent working on projects that are related to making money for LPs. Much more of your time is spent trying to understand companies / industries and doing deep fundamental research. There's some of non-investing work in PE, but this largely relates to managing people (e.g., in PE deal process, you will need to manage all of client service providers, including IBs, consultants, lawyers, etc.). Also, lots of time spent managing portfolio companies as well (e.g., attending board meetings, creating budgets, mgt compensation plans, etc.). Overall, work in PE is much more autonomous - e.g., you are paid to come up with your own views, people don't want / don't have time to check your work, and you need to speak up. Work is much more difficult and much more interesting, in my experience

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Feb 4, 2015 - 5:51pm

Thank you @"mrb87" .. some posts actually are similar to what I think, I mean:
- If comp is the reason: it gets higher also as a VP/ED/MD level too, and some BBs spoil their MDs big way
- Hours: they tend to be great from what I read for EDs/MDs, as a VP you start doing 9am-8pm which makes your life considerably better, and MD work is different, it's more about a management role, internally (with VPs associates etc.) and extrenally (clients)
Am I missing something here? what do you guys think ?

Feb 4, 2015 - 7:11pm

Maxx Faraday:

Thank you @mrb87 .. some posts actually are similar to what I think, I mean:

- If comp is the reason: it gets higher also as a VP/ED/MD level too, and some BBs spoil their MDs big way

- Hours: they tend to be great from what I read for EDs/MDs, as a VP you start doing 9am-8pm which makes your life considerably better, and MD work is different, it's more about a management role, internally (with VPs associates etc.) and extrenally (clients)

Am I missing something here? what do you guys think ?

I don't think you read the thread. People who left PE, and there are lots of them, generally hated the work.

Feb 4, 2015 - 6:28pm

SHORTmyCDO:

is comp really better in middle market (where most IB analysts end up)? I mean compared to staying as an A3 or getting the associate promo?

Also interested. Are the majority of the great numbers that are quoted coming from people at MFs?

"I know you think you understand what you thought I said but I'm not sure you realize that what you heard is not what I meant."

  • 1
Feb 7, 2015 - 3:58pm

Is it just me or is anyone else tiring of all the one line, making absolutely no point and significantly irrelevant post that people are coming up with?

It seems like every single thread I read has a number of them in there. Granted some can be humorous from time-to-time but they are getting rather annoying.

At any rate, I don't have an answer for the OP's question but I would like to see any of the serious responses.

Regards

"The trouble with our liberal friends is not that they're ignorant, it's just that they know so much that isn't so." - Ronald Reagan
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Feb 7, 2015 - 3:59pm
cphbravo96:
Is it just me or is anyone else tiring of all the one line, making absolutely no point and significantly irrelevant post that people are coming up with?

It seems like every single thread I read has a number of them in there. Granted some can be humorous from time-to-time but they are getting rather annoying.

At any rate, I don't have an answer for the OP's question but I would like to see any of the serious responses.

Regards

The OP has been consistently posting stupid threads, thus the "one line, making absolutely no point and significantly irrelevant post that people are coming up with".
With answers like this maybe he will stop. It seems like the fact that many of his posts were closed is not enough.

Feb 7, 2015 - 4:00pm

Lol it's funny how much people care about this guy. You're giving him exactly what he wants no doubt. If you want to make a difference just ignore his threats. Don't whinge like a little bitch.

Feb 7, 2015 - 4:01pm

Private Equity has zero prestige. Everyone knows that the only people that go to PE is retail bankers who can't handle the pressure of working from 9-5. Psh, hacks.

"You stop being an asshole when it sucks to be you." -IlliniProgrammer "Your grammar made me wish I'd been aborted." -happypantsmcgee
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Feb 4, 2015 - 8:06pm

I'm thinking of great as $180-200k all-in as a 1st year associate after 2-3 years as an IB analyst. Is this realistic at a MM fund? Or if it's one of those situations where it just depends, what is the typical range of comp for 1st year PE associates at MM funds?

Thanks for any insights.

"I know you think you understand what you thought I said but I'm not sure you realize that what you heard is not what I meant."

  • 1
Feb 4, 2015 - 7:41pm

@"mrb87": I have actually read teh thread, was very intersting, and yeah you're right, they didn't like the buy-side environment, and some even say that pay isn't really that high when compared to IB, and as I said (which answers @"Generals2" s question) pay gets high "enough" to lead a great life after 10 years of Ib once you're a VP, and by "great" I mean making maybe 200k$ a year, bonus aside .. I kind of reached that number assuming that a 1st year analyst has 75k bonus aside, a 1st year associate 100k bonus aside, that would be a 25% increase every 3 years (at least in my opinion), so sounds legit if a VP reaches 200 .. I have no idea how senior bankers earn post-crisis ..

Feb 7, 2015 - 4:07pm

IB or PE? (Originally Posted: 05/08/2011)

Hi, all,

I just launched a job offer - M&A team - 1-tier IB in NY.
But I got another NY-based PE($6 billion fund) offer due to personal relationship.

which one do you guys think is better? Payment is in the same level.

thank you all!

M&A
Feb 7, 2015 - 4:08pm

both

"The right to have children should be a marketable commodity, bought and traded by individuals but absolutely limited by the state."—Kenneth Boulding
Feb 7, 2015 - 4:10pm

+1 for you GotBushels, but only if we start a very personal relationship

"The right to have children should be a marketable commodity, bought and traded by individuals but absolutely limited by the state."—Kenneth Boulding
Feb 7, 2015 - 4:11pm

zhao zong- it's very hard to give advice on this question without knowing more about the two offers. Is it M&A at a top BB, an elite boutique or a random ass mm bank no one has heard of? What about the PE firm, obviously with 6 billion they sound pretty legit... but is it general or specialized, etc?

My gut reaction would be to take the PE job if the firm is solid and that's your ultimate goal. But obviously if the M&A is at a top bank w/ great M&A, that could change things hugely.

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Feb 7, 2015 - 4:12pm

Do whatever the hell you want. I don't get people coming on here and asking others to make decisions for them. Figure out if you want to specialize in the sectors / products that the PE firm or IB work with and go from there.

People tend to think life is a race with other people. They don't realize that every moment they spend sprinting towards the finish line is a moment they lose permanently, and a moment closer to their death.
Feb 7, 2015 - 4:18pm

this list is old, inaccurate and does not contain all pe firms within the given range (the 6bn for example)

"too good to be true"

See my WSO Blog

Feb 5, 2015 - 10:45am

As someone who has done both MM PE ( ">IB at junior levels here are some things to point out:

*A large number of MM PEGs have relatively young partners and your chances of actually moving up past associate are slim
*There is so much dry powder in the PE world right now that actually getting deals done (thus getting true deal experience) is tough
*From my experience pay in MM PE ( ">IB at least at the junior levels
*In MM PE you are hand holding portco management teams and you will often act as their financial analyst for remedial projects or proofread their work daily
*MM PE really depends on the firm's partners. Do they care about actual valuation? Do they want you to grow and move up?

In conclusion, at least in MM PE, don't have stars in your eyes. It really depends on the firm, investment strategy, and upward mobility. PM me if you want more info, but this is my 2 cents.

Feb 7, 2015 - 4:23pm

What is PE and how does it differ from IB? (Originally Posted: 04/29/2007)

I've been seriously interested in IB for a couple months now and just started looking at PE as well. From what people tell me PE is a lot more face to face and more decision oriented whereas IB is more number crunching. I'm also wondering how I would go about finding a PE internship (if they exist) and since I'm asking in April hopefully I can get one for next summer.

Feb 7, 2015 - 4:25pm

Think of bankers as real estate brokers. Think of PE as real estate buyers.

You take out a mortgage, buy a place, and then rent it out, using rent to pay down the mortgage. Then you hire a real estate broker to sell it again, hopefully at a profit.

Five ways to make money:

1) Your rent can be slightly higher than the mortgage payment, so you extract a small profit each month. This in PE is called a management fee.

2) As your mortgage gets paid down, you own more of the house. Your equity increases.

3) Legitimate businesses should grow, as real estate values tend to grow as well.

4) If you can improve the business, it's worth more. Sort of like fixing up your bathrooms and kitchens.

5) Mortgages, like debt, are deducted pre-tax. So you have a tax shield benefit.

Feb 7, 2015 - 4:26pm

^thanks. I was watching mad money (yes i know it can be quite an idiotic show) and it was talking about how the PE guys want to buy cheesecake factory b/c if it goes private there's more money to be made. so basically ibankers create the terms of the deals and the PE guys are the ones making/negotiating the deals.

Feb 7, 2015 - 4:27pm

IB vs PE (Originally Posted: 07/31/2007)

Hi guys,

I am a MBA student, currently interning with a private equity firm.
PE and IB are very different, but afaik require similar skill set.
Most people would say, transition from IB to PE.

Can you please suggest, how easy / difficult transition from PE internship to IB ?

Also how would you compare IB vs PE career.. (besides the hours, which I believe are longer in IB..) both short and long term..

Thanks
C.

Feb 7, 2015 - 4:28pm

Better money, smarter people, better hours everything in PE. The real difference however is principal v advisory. Banking is an advisory play, you have no principal involved you just try to get PE shops to do what you think is good for them with their money. You pitch to PE shops and strategics. You help everyone else do refinancings etc. In PE, it's your money, you get comped based on good performance of the fund (carry). You get pitched to by all the stupid ass bankers. At the end of the day its up to you on where you think the credit markets are for PE, but hard times in PE are hard times for bankers as well.

Long or short term you will make more in PE. Long term banking is being someones bitch and PE is making other people your bitch.

Think about it.

--There are stupid questions, so think first.
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Feb 7, 2015 - 4:29pm

power money, unless ad_chirag is at a really good PE firm(KKR/Blackstone/TPG,etc.)...shouldn't he rather get into a good name Ibanking M&A house since PE is losing steam and the job security might be so so.

ps. chirag, i've heard people go from PE to banking. if u go to a really good mba school, u should have no problem in the fall to convince people u'd be a good banker.

Feb 7, 2015 - 4:31pm

Just for a little clarification, PE has lost momentum because liquidity has dried up in the secondary markets for high yield debt. Slowed PE translates into dampened LBO activity - moreover, sluggish debt markets translate into less M&A across the board.

These effects aren't limited to PE. To the extent that PE takes a hit, one would have to be very ignorant to believe that IB won't eventually share in this pain.

Feb 7, 2015 - 4:32pm

Thank you guys for your valuable opinions. I agree that pain will be shared by both.. perhaps more by PE.. referring to today's WSJ article which talks about how strategic buyers gain at this stage compared to PE..

About me: I am working for a small PE firm with 200M under mgmt.. b-school - top 20.. but not ivy!
current markets..

Well, i have always been a long term investor.. so dont choose to look much on short term.. however, this one we cannot ignore completely as it might have a huge impact.

Correct me if i am wrong, but i believe that above matter, but what matters more is how you fit well into either..

So, if we are looking at comparing side-by-side the characteristics to succeed in a particular career.. what characteristics wud they be? and how different for the PE and IB?

Thank you guys for prompt responses.
C.

Feb 7, 2015 - 4:33pm

or is PE going to take the brunt of the liquidity dry up?

I found the comment above that 'one would have to be very ignorant to believe that IB wont eventually share in this pain' interesting since it didn't elaborate much but I think is absolutely right...

Feb 7, 2015 - 4:34pm

PE vs IBANKING (Originally Posted: 11/16/2008)

I know this topic has been addressed already many many times on this forum, but let's start her up again....

  1. Is the move from ibanking to PE over-rated?

  2. When is the best time to move into PE with ibanking background?

  3. If lifestyle is better, and pay is the same, if not better, why some stick it out to VP or partner? Is it that they really love what they are doing?

  4. Is it true that the PE boys are kings, as bankers are really just brokers. How does the sucking up and political game look like with the directors, and the investment committee ?

  5. How is it on the buy-side in terms of due diligence... is it really boring or actually interesting ?

  6. How is it to participate in the day-to-day business decisions. Do you feel you are developing some valuable skills and know-how that can be transferred to other portfolio companies, as well as for your career? Would it be common, if you are specialized in x industry, to actually move into that industry on the corporate side?

Thanks :)

Feb 7, 2015 - 4:37pm
  1. No.

  2. Whenever you can.

  3. Everyone has their reasons for doing what they do.

  4. Politics are important, especially in smaller organizations.

  5. Depends on the deal.

  6. You develop some good skills and sometimes even get your voice heard. Many PE people take leadership positions in portfolio companies.

Feb 7, 2015 - 4:38pm

So first off, in the interest of full disclosure I will note that I worked in banking and consulting before but have not done anything full-time in PE. However, I've (ironically) helped friends get PE jobs and have seen what they do pretty thoroughly. I also interviewed for PE, though in the end I decided to move in a different direction.

Anyway, in response to your questions:

1) The lifestyle upgrade is not as great as most think. Yes, it's better and you generally work less but there are always busy periods. That said, you do get to do more "meaningful" work (less grunt work) in most cases.

2) Most would say after you've finished up in banking. Delaying/doing something else hurts your chances.

3) Are you referring to why people stay in banking? In some cases, they just couldn't get into PE or anything on the buy-side; in other cases, they actually like what they do and have been doing it too long to make switching a viable option.

4) We all answer to someone. But yes, in general PE is higher up on the pecking order because they don't have clients in the same way bankers do.

And politics definitely play a big role - keep in mind a lot of PE firms are small and thus very personality-driven. Partners have to convince everyone of the merits of an investment they want to pursue, so relationships are key.

5) As TabulaRasa said, depends on the deal. There's always a mundane part to DD, but if you're working in a more unusual situation (i.e. distressed deal) parts might be interesting.

6) Some PE guys move into industry, but I think moving up is more common than moving elsewhere.

You do learn some valuable things, but in terms of operational knowledge there's no substitute for experience. Keep in mind that if you are interested in learning how companies work, the best way to learn is to go work at one.

Feb 7, 2015 - 4:39pm

Just an aside: It's always funny to me to see kids say things like "I'm going to go into banking, then get a PE job, then boss bankers around." As if, as a 24 year old pre-MBA associate, you really have the ability to talk downward to a senior level banker. The same mentality goes for young bankers/PE professionals and their demeanor towards lawyers ("yeah, our counsel messed up the numbers so I was yelling at him all morning"). I'm sure you were, tough guy.

We're all business associates. We need the bankers just as much as they need us. Oh, and does anybody else hate the $100 dollar max gift policy? Everyone at my firm has embroidered Tumi breifcases, luggage, etc. given to them by the likes of UBS and Lehman from back in the day...

Feb 7, 2015 - 4:42pm

I dont talk down to anyone (and I never will out of respect for others) but I have as a 25 year old associate given plenty of orders to senior bankers. The buyside is quite different than any type of services industry and I can see people (even junior guys) taking advantage of their role as the "client". At the end of the day all groups play an integral in the deal process and are valuable.

Internal ascension is really contingent upon firm culture.

I agree that people should not let their job define their character and any type of success is relative anyway.

Feb 7, 2015 - 4:43pm

Accept PE offer or Recruit for IB? (Originally Posted: 07/31/2017)

Posted this in the IB forum so thought I'd try here. I saw a similar thread but there seems to be some distinct differences between the factors at play..

I am a rising junior and have been preparing for months for IB recruiting season. I had an internship at a LMM PE shop this summer and have been networking and studying all summer to prepare for a banking internship. Now that IB recruiting season is here and my internship is wrapping up, I have received an offer to come back to the PE shop for another internship then convert that to a full-time PE analyst role right out of college.

I go to a non-target, however, have been networking and preparing for IB recruiting heavily. MY PE offer explodes in August before I will have the chance to interview for IB.

I am struggling to decide if I should accept the PE offer or take a risk with recruiting for banking.

Any thoughts?

Feb 7, 2015 - 4:44pm

I mean it really depends on what you want to do between the two. You can always get back into PE down the line from IB though not sure how easy it is the other way around

Feb 7, 2015 - 4:45pm

PE vs IBD offer out of Uni (Originally Posted: 02/07/2017)

I am currently deciding between PE vs IBD out of Uni.

The IBD offer is for a mid-tier BB (BAML/CS/Citi) in what according to this forum is a top industry group.

The PE offer is for an analyst position (deal / investing team) with a good chance of promotion to associate (not guaranteed).

• Recent fundraising have been between 2 – 3bn
• The company usually only recruits at the associate level from BB / EB IBD
• Investment opportunities are sourced through Investment Banks and partner connection, so no sourcing
• Adequate training will be provided (internal and external)

I read the KKR vs top BB out of undergraduate posts and I guess my situation is similar, although MM PE vs mid-tier BB. Someone highlighted the importance of previous experience, I have done IBD internships and PE internships and was lucky to hold operating and lbo models on live deals etc.

I know that the final decision is entirely up to me but I would hope that someone could help me shed some light on the advantages / disadvantages with going PE straight out of Uni, and potential exit opportunities if would not get promoted to associate.

This is much appreciated, thanks in advance!

Feb 7, 2015 - 4:46pm

I would personally go PE. It all depends on whether or not you like what you're going to be doing. Some people just use banking as a stepping stone for PE, so if that sounds like you go PE. If you legitimately enjoy banking and would like to work sell-side first, then bankings the bet. Although I'd imagine that the PE lifestyle is probably slightly better and the pay would be similar.

Feb 7, 2015 - 4:47pm

I'd go with the PE. You'll "save" two years and you can easily jump ship to another fund if they do not promote you.

I'm talking about liquid. Rich enough to have your own jet. Rich enough not to waste time. Fifty, a hundred million dollars, buddy. A player. Or nothing.

See my Blog & AMA

Feb 7, 2015 - 4:49pm

I would suggest to also take into consideration (i) (expected) dealflow and (ii) office location / setup for the decision, e.g. likelihood of closing 2-3 deals in 2 years as BB analyst vs. 0 deals in PE, as well as London / (regional) headquarter location vs. "satellite" office for either firm as these have strong influence on overall experience and exit opportunities.

Feb 7, 2015 - 4:50pm

Go PE, fewer seats and better experience in this situation. If they just raised 2-3 bn for their latest fund, it is barely MM and you will be doing lots of investment and valuation work for targets.

You will be doing lots of work either way, but you already have modeling experience, so in my opinion you don't need to do the risk averse thing here.

Array
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Feb 7, 2015 - 4:51pm

Have to go PE.

If you can secure a product group offer (M&A / LevFin) at bank, that would be the better option. Working in product group for couple years will give you access to better PE firms / buyside opps than what you're describing. It's actually easier to recruit for these opportunities from banking (rather than smaller PE firm), because there's such an established pipeline. That being said, the risk of failing to secure one of these opportunities from just an industry group probably sways the answer towards the existing PE firm. A large piece of this depends on your academic profile as well... If you have a top-tier academic profile, it will make it much easier for you to recruit out of banking.

Feb 7, 2015 - 4:53pm

Career advice: go into IBD or lateral to PE? (Originally Posted: 12/04/2016)

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Array
Feb 7, 2015 - 4:55pm

2nd year analyst shouldn't be an issue if you had good exp

Array
Best Response
Feb 7, 2015 - 4:56pm

Have you not gotten strong deal experience? I would think you would be in a better position to switch from MM PE to a MF than if you go back to IB. I'll caveat that I'm not at a MF, so I don't have direct insight into recruiting for those spots.

Because so many people on this forum are interested in going MF, I think people tend to over estimate the likelihood of getting an MF spot as an Associate out of IB. It's highly likely that you leave MM PE, go into banking, have a rough year or two, and then find yourself back in MM PE. Only now you've probably lost a few years.

I would go the route of contacting head hunters. I'm assuming since you went straight into PE out of undergrad, you have friends who are on the banking scene. Reach out to them and ask to be introduced to the head hunters that are contacting them about buyside opportunities. I can't see why a head hunter wouldn't be interested in talking to a kid with a couple years experience on the buyside already. Story could be different if you are at a really small fund that does not have a lot of brand recognition in the industry.

Feb 7, 2015 - 4:57pm

I'm thinking IB provides so many options and is a known entity. Granted I mean BB/EB. My firm is decently well known

Array
Feb 7, 2015 - 4:59pm

PE vs. IB out of undergrad (Originally Posted: 12/15/2017)

Hi,

I am a student at Wharton and I was wondering what are the benefits of doing PE out of undergrad? There are a few firms that recruit actively at Wharton (Silverlake, BX, Oaktree, LGP, etc.), and I was wondering if it would be better to start at one of these places over your traditional IB route. Also want to mention that my long-term interest is staying within the realm of Investing.

Thanks!

Feb 7, 2015 - 5:00pm

Hey JckBunce23, I'm here to break the silence...any of these links help you?:

  • From Private Equity Associate to VP in Private Equity Associate vs Investment Banking Associate Why go through the hassle of private equity recruiting opposed to ... a little above what you'll find in investment banking, something north of $100k. Private Equity ... is far, far more difficult than investment banking. In orde
  • Investment Banking to Private Equity- 6 Things You Should Know content from 2016, this one ranks #47 with 25 silver bananas. IBD PE PE Recruiting private equity banking ... 1. Why not just try to start with a PE firm? There are PE firms that hire juniors out of ... performers) out of undergrad need constant guidance and instruction. Out
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Fingers crossed that one of those helps you.

Feb 7, 2015 - 5:01pm

I don't think there is one right answer to your question. Someone with more experience could give you more color, but I interviewed with several of the firms you listed and other PE funds. I ended up taking a banking offer where I liked the people at an EB (think EVR/MoCo/Laz/CVP). I think the best way to approach it is to go for the best opportunity that presents itself to you during recruiting.

If you are thinking about BX and SL, I am assuming you are a fairly competitive student at Wharton.

You will find that people that are successful generally work hard to put themselves in the best position to get lucky when opportunities present themselves. I was looking at the Forbes 30U30 list and there are always a few spectacular cases of people who are just on another level. One of those people who is now a partner at a large hedge fund started at Silver Lake as an analyst out of school.

Also, not all of the firms you listed give full-time offers. Oaktree, for example, does not and the summer internship (located in LA) is only a summer internship regardless of performance. If you really want to do investing in the long-term think about what type of investing is interesting to you and how you can position yourself best to end up at that firm. You really can't go wrong with those jobs and I would advise you to figure out the return offer rate, do some research on LinkedIn and figure out what people do after those jobs and if those exit opps are what you are interested in and then make a decision of if you want to do PE or IB out of college.

Feb 7, 2015 - 5:02pm

Interview Question: Why Private Equity over IBD? Pe vs. IB (Originally Posted: 08/24/2007)

I've seen this topic posted before, but I never saw any truly credible responses. What are the best answers for this question when it is posed in a private equity interview?

Also, does anyone have access to any good private equity interview guides? I could use all of the help I can get!

Thank you so much.

Feb 7, 2015 - 5:03pm

Some possible reasons:
You want to be a decision maker rather an advisor
You want to see all aspects of investing
You want to get a holistic view of businesses rather than just a financial view

Don't mention lifestyle or comp.

Feb 7, 2015 - 5:04pm

Interview Question: Why Private Equity over IBD? (Originally Posted: 08/24/2007)

I've seen this topic posted before, but I never saw any truly credible responses. What are the best answers for this question when it is posed in a private equity interview?

Also, does anyone have access to any good private equity interview guides? I could use all of the help I can get!

Thank you so much.

Feb 7, 2015 - 5:05pm

are you kidding...

1)principal
2)have to create value in a company to realize profits
3)much more about learning about industry and company and their operations, working with management
4)dig much, much deeper

those are some good reasons (people will bring up arguments against these: PE is just financial engineering, etc)

Honestly, I can see how the why ibanking question might be difficult for some people, but the why PE question is so basic

Feb 7, 2015 - 5:07pm

Undergrad Advice,

Which PE firm are you talking to? I'm pretty sure Blackstone PE already filled their 3 FT undergrad spots.

One of my little brother's friends is going there. I thought they already gave out their offers.

Silver Lake, middle market?

Feb 7, 2015 - 5:09pm

PE vs IBANKING (Originally Posted: 11/16/2008)

I know this topic has been addressed already many many times on this forum, but let's start her up again....

  1. Is the move from ibanking to PE over-rated?

  2. When is the best time to move into PE with ibanking background?

  3. If lifestyle is better, and pay is the same, if not better, why some stick it out to VP or partner? Is it that they really love what they are doing?

  4. Is it true that the PE boys are kings, as bankers are really just brokers. How does the sucking up and political game look like with the directors, and the investment committee ?

  5. How is it on the buy-side in terms of due diligence... is it really boring or actually interesting ?

  6. How is it to participate in the day-to-day business decisions. Do you feel you are developing some valuable skills and know-how that can be transferred to other portfolio companies, as well as for your career? Would it be common, if you are specialized in x industry, to actually move into that industry on the corporate side?

Thanks :)

Feb 7, 2015 - 5:10pm

Sophomore-Boutique IB or boutique PE? (Originally Posted: 04/04/2013)

Hi, I'm a sophomore at a semi target looking to get a SA role next summer at a BB. This summer I am very likely to get offers at both a boutique IB and a small PE firm. I was wondering if there is really any difference in how this looks on a resume for someone looking to get into IB. Of course the boutique IB would be the most directly pertinent but PE is more or less just the other side of the same transaction, right? Both small firms, IB but the PE offer is in my hometown which I would strongly rather be, as opposed to the IB offer which is in my college town, which is a total shithole. So just wondering if anyone has input as to which is the best/what they would do. Thanks.

Feb 7, 2015 - 5:17pm

Do you think there will be any significant difference in the exposure and type of experience you'll get at each respective place? Also, are there compensation differences that could potentially factor in?

I think the decision also depends on your prior internships. What sorts of things do you already have on your resume at this point (PWM, another small PE, etc.)?

Also, is there any difference in terms of deal size/deal flow between the two firms? A place with more deal flow would a) make sure you get good exposure during the summer, and b) increase the likelihood of an interviewer being familiar with the firm during recruiting next year for you.

Feb 7, 2015 - 5:18pm

Give us more info about the two firms. How many transactions does the PE firm make a year? Do they have a specific industry focus? Are they a typical LBO shop, a longer-term acquisition group, a VC or growth equity-stage firm? Will you be cold calling bankers to get deal flow or working on analysis of potential targets?

What type of deal flow does the IB get? What type of transactions do they focus on? Also, industry or geography specific? Does that align with your preferences?

Feb 7, 2015 - 5:20pm

collegebanker:

probably slightly more exposure at the IB. i really have no idea about general experience as i dont know anyone who has interned at either. comp differences would be minimal at most, the IB is offering (possibly negotiable) $10 an hour and i have to cover living expenses with that so its a break even scenario. the PE is likely unpaid; they dont have a formal internship program. I have BB PWM on my resume as well as some assorted research and leadership stuff. like i said the IB is probably slightly more active.

peinvestor:

PE will make ~1 transaction a year (as in buying a company). very small regional shop, both of these places have 5 or so employees. No specific focus, long term acquisition oriented. No cold calling but will probably be doing some research and analysis work. the IB is also small, they don't list specific dealflow on their website but probably 5 a year, all

Feb 7, 2015 - 5:22pm

BTbanker:
OP - TAKE THE PE OFFER

Save money on rent, and spend the summer with friends and family.

This.
Feb 7, 2015 - 5:21pm

I would say PE.

For those wondering, he goes to the wonderful school of Notre Dame.

"I did it for me...I liked it...I was good at it. And I was really... I was alive."
Feb 7, 2015 - 5:31pm

ChrisHansen:
Yes, but not many specifics. any particular reason why PE would look better on a resume even though i want to do IB?

To be honest, both choices are going to have relatively the same impact. But, if you want to be at home where you save on rent and get to see family, friends, etc., then the PE shop makes more sense.

It sounds like the dealflow of the IB shop is probably sporadic and MM deal flow has been tight so far this year, compared to the past few. There are tons of PE funds looking for transactions and far fewer sellers right now. So, that could be a downside to the PE fund.

But, if you flip it around, the PE funds are getting more aggressive and looking at more deals, even those that may be out of their "wheelhouse" (larger or smaller than normal, different structure, different industry focus, higher customer concentration, lower growth, etc.).

The good thing about working for the PE shop in my view is also, if the guys are decent, you can get them to help teach you what they look for and focus on. Then, you can either choose to stick with the buy side or move back to the sell side for FT and leverage your understanding of buyer expectations to land a solid MM IB offer.

Feb 7, 2015 - 5:32pm

IB vs PE Offer (Originally Posted: 08/26/2015)

As a student, deciding what my first job will be is quite intimidating. That being said, I wanted to see what other people's opinions are. Both offers are within the same industry (X). I am interested in doing private equity long term and also a bit older than the typical person. NYC does not have as much appeal to me since I have a significant other.

  1. Investment banking analyst offer at a BB bank

PROS:
- traditional and vetted
- good brand recognition both within and outside industry X
- great deal flow and lean group
- ease of networking in NYC
- modeling experience due to ridiculous asks / pitches

CONS:
- not a guarantee to buyside
- can get political
- work/life balance
- city does not really offer things to do outside of getting wasted and clubbing

  1. Private equity analyst offer at a upper middle market industry-specific buyout shop.

PROS:
- already in private equity
- great senior exposure
- highly regarded within the industry
- great work life balance (get off by 7pm on average and never really work on weekends)
- will have more industry expertise
- Based on cost of living, the equivalent all-in pay in NY would be $250k

CONS:
- not in a tiny city (could be bad for networking and recruiting for new jobs)
- firm is not well known by recruiters and those outside industry
- firm is running very low on capital to put to use (could see limited M&A activity and more focus on divestitures and managing current investments)
- no other analysts at firm (lack of camaraderie?)

If you were in my shoes, what would you pick and why? If I need to provide additional color on the two options, let me know and I'll try my best.

Feb 7, 2015 - 5:33pm

I'd personally pick the PE option if that's what you want to do long term. Sounds like you're thinking about family planning if you're older and, I assume, it's a serious relationship. If it's truly an upper-MM firm it will definitely be known by anyone in PE that would be involved in recruiting later down the road. If you want an opinion on the firm itself feel free to PM. The other factor I'd consider is how much I like the geography/industry.

This is one man's opinion; you'll get well-thought out arguments for both options. Congrats, this is a great problem to have.

Feb 7, 2015 - 5:34pm

I'm not very familiar with the ranking of MF/ upper MM / MM / lower MM / etc. But the PE firm has $3-5B in AUM at the moment. The biggest concern about the PE firm is that they have close to no dry powder. I am sure their LP GP can write a side-check for one-off investments but that's not the same as having a guaranteed amount of capital to put to use. In short, M&A activity will be lower. But at the same time, they'll probably be devoting a large amount of time towards divesting their investments (I believe their fund is nearing the end of it's 5/6 year mark). Will the divesting / management of current investments still be a good experience for when I want to make my next career jump to another PE shop?

And for the record, I am older and in a serious relationship. That's why the NYC lifestyle isn't as glamorous as it would have been several years ago.

@Hugh Myron I will send you a PM later this week to ask for a more private opinion on my two options.

Feb 7, 2015 - 5:44pm

I would go BB. As you said, traditional/vetted program. If it ain't broken, why fix it?

Also, your point on the only things to do in the city being getting wasted/clubbing is wrong--every major city has more to do than just that...

Feb 7, 2015 - 5:45pm

You are absolutely right about the vetted part which is why it is hard to just sign with the PE firm at this point in time. As for the things to do in the city comment. Let me clarify by saying that life in the city is very much associated with the work life balance. When getting off at midnight or after, the only real thing to do is hit up bars.

I am having a call with the PE firm later this week - will post any additionally insight to make it easier to give me advice / suggestions.

Feb 7, 2015 - 5:47pm

Both brilliant offers since you graduated from a non-target last year (looked at your old posts) what have you been doing since then?

Feb 7, 2015 - 5:48pm

I worked part time and networked.

Also, I spoke to a VP there and it seems as though they have a committed check from one of the LPs to pursue more acquisitions. And they are planning to restructure one of their funds, which can also be a source of additionally capital.

After some fine tuning of the employment terms, I may sign with the PE firm.

Feb 7, 2015 - 5:49pm

IB vs PE (Originally Posted: 07/31/2007)

Hi guys,

I am a MBA student, currently interning with a private equity firm.
PE and IB are very different, but afaik require similar skill set.
Most people would say, transition from IB to PE.

Can you please suggest, how easy / difficult transition from PE internship to IB ?

Also how would you compare IB vs PE career.. (besides the hours, which I believe are longer in IB..) both short and long term..

Thanks
C.

Feb 7, 2015 - 5:50pm

PE or IB Analyst Job Decision (Originally Posted: 02/10/2017)

Hi guys need some advice on whether to take my IB offer or PE offer straight out of uni.

Bit of background, I have done multiple IB internships at BB/MM firms and signed an offer sheet for a return offer for my MM firm. I would be returning to the same group I spent 2 terms with already so I know the team very well and we work in a very niche subsector so I've met alot of the juniors working for our clients already so not necessarily concerned about exit opportunities down the line . I also feel obligated to come back as they invested 2 terms in me and let me handle alot of the modeling despite my inexperience.

Why this PE position is intriguing for me is that it is right in my wheelhouse in this very niche subsector and I would be the only junior on the team essentially running with all the modeling work for North America as we are a satellite office of a MM PE fund. Speaking of the fund, it recently raised 1-2bn and is >50% deployed and is looking to raise another $2+bn this year from the same investors, a significant chunk would be reserved for North America so I really think this is a great opportunity.

I do want to make the transition to buyside down the line but it feels stupid to burn my bridges so early on in my career by reneging on this offer in such a niche industry, pay is slightly-moderately less in the PE position depending on the bonus for the IB position but the hours are alot better at this PE firm.

My IB group had a terrible year last year as well but this year is looking alot better in terms of deals and we have enough on our plate that we hardly ever pitch so I will be working on alot of live deals like I did in my previous internships.

Feb 7, 2015 - 5:53pm

MM PE or MM IBD more prestigious? (Originally Posted: 05/16/2012)

If your ultimate goal is either BB IBD or mid upper to top tier PE (excluding mega funds like KKR, TPG, Blackstone, Bain since a lot of luck is involved in getting in)

Would you rather get into MM IBD or MM PE or does it depend on the "prestige" of the individual firm?

Since lets be honest, the more "prestigious" name always leads to the better exit opportunities given all things equal

Also what are your feelings on no name boutique IBD vs. no name boutique PE?

Feb 7, 2015 - 5:54pm

Why is macros capitalized? Why is it even there?

"Facilitated the requirements for..."? Huh?

The next bullet needs to be completely rewritten ("conducted due...").

I'm going out now so I can't come up with anymore suggestions for you, but if you quote me in a response I'll save it and check it out tomorrow. Also, I'm like seven beers deep right now.

Feb 7, 2015 - 5:56pm
holla_back:
Why is macros capitalized? Why is it even there?

"Facilitated the requirements for..."? Huh?

The next bullet needs to be completely rewritten ("conducted due...").

I'm going out now so I can't come up with anymore suggestions for you, but if you quote me in a response I'll save it and check it out tomorrow. Also, I'm like seven beers deep right now.

da fuck u talkin bout spam bot

I didn't say it was your fault, I said I was blaming you.
Feb 7, 2015 - 6:03pm

No name boutique != MM.

I don't even know what your question is. Are you talking long term or entry level?

MM IB -> TMT Corporate Development -> New Ventures
Feb 7, 2015 - 6:04pm

If you want to be at a top PE firm, you need to come from a great IB. That would probably mean going the no name IB route and trying to lateral to a bigger, better bank. This may add a year or more to your timeline, but a boutique PE gig could very well leave you in a bad position...I know someone kinda like that.

In my experience, very few people will ever come up on the PE side and go from a no name firm to a large firm because you aren't likely to be even looked at. It all comes back to risk for the PE firm. What should they take a chance on someone that may not be able to hack the hard hours when they can grab someone from a BB that they know has pulled all nighters and made short deadlines?

I realize it seems counter intuitive, but I would consider the IB route. I see decent IBs that are looking for people with prior IB experience all the time, that relevant experience can be your way in to a larger bank which could lead to a larger PE shop down the road.

Regards

"The trouble with our liberal friends is not that they're ignorant, it's just that they know so much that isn't so." - Ronald Reagan
  • 3
Feb 7, 2015 - 6:06pm

Well I think the choice should depend on what level you are at ... I think after an analyst/associate experience, a PE job would definitely be better but I don't know if joining PE straightaway would be such a good idea. But if you are talking a PE like KKR or Blackstone, then obviously things change.

Feb 7, 2015 - 6:07pm

from a career standpoint, it might be wiser to take IBD, like the previous poster said. the skills you learn in IBD are important for the future... but if you do go to KKR, TPG, etc., then that probably means they think you already have the skills to do the job.

on a work/project-basis, private equity is definitely more interesting. at the analyst/pre-mba level, there's less BS work... overall, you get to look at what companies are good investments and how to turn things around for them. that's 10x more interesting to me than cranking out spreadsheets for an equity/debt issuance...

lifestyle is key too. all of the top-PE funds will work you pretty hard, esp bstone, but the hours probably won't match banking and at least the work is more meaningful.

  • 3
Feb 7, 2015 - 6:10pm

I think while banking teaches you tools, it is essentially a marketing job (adjusting your premise to get a conclusion). PE is analyzing various conclusions by critically examining premises using the same tools bankers use. Hence it is inherently more interesting. For those without an ancient interest in finance, doing banking first may be a good idea.

Feb 7, 2015 - 6:11pm

I think that, in general, that most new Finance graduates should probably go with IBD over PE strictly due the fact that you will use most, if not all, of your senior years knowledge. I would fathom that PE would be a completely new experience focusing mostly on mathematical analysis and for those who do not share a love for numbers, it might just prove to be a burdensome, undesirable career path to follow. If however, you already experience in IBD then by all means try PE. More knowledge and experience is a good thing.

Feb 7, 2015 - 6:13pm
EugeneEisenman:

I think that, in general, that most new Finance graduates should probably go with IBD over PE strictly due the fact that you will use most, if not all, of your senior years knowledge. I would fathom that PE would be a completely new experience focusing mostly on mathematical analysis and for those who do not share a love for numbers, it might just prove to be a burdensome, undesirable career path to follow. If however, you already experience in IBD then by all means try PE. More knowledge and experience is a good thing.


What are you even saying here? Don't give advice on topics that you know nothing about. Let alone bump a 10 year-old thread to do so.
Feb 7, 2015 - 6:17pm

Ibanking sucks compared to Private Equity. Did you hear how much Stephen Schwarzman and Pete Peterson the co-founders of private equity giant Blackstone made?

Schwarzman made $9 billion from the IPO. He was originally set to receive $7.50 billion, but the stock price opened 18% higher than expected. Peterson made $1.8 billion from the IPO.

Just last year alone in 2006 Schwarzman made $400 million and Peterson $213 million.

The top 5 executives at Blackstone made a combined $771.5 million in 2006. That's an average of $154 million per year.

For comparison, Lloyd Blankfein, Chairman and CEO of Goldman Sachs was the highest paid CEO on Wall Street last year earning $54 million.

Feb 7, 2015 - 6:18pm

i dont think one or the other sucks.

u don't take a job in IB without knowing about the hrs. u dont take a job in PE without knowing about the traveling. And the hours in PE vary but are usually about 10 - 15 hrs less than IB.

Having worked in both fields, i can say that there are differences between being an analyst in IB and an associate in PE.

Currently, PE is very hot but it might not be so in the next 5 years. Unless a sector falls hugely out of favor with the market, IB tends to be a bit more secure.

Here's a summary of pros and cons. U choose whats a pro and whats a con in ur opinion. I'm putting this forward from an analyst/associate perspective in IB & an associate's in PE.

IB - Long hours, traveling, one of the better paying jobs out of college/graduate program, exit options, opportunity to make contacts, more stable than PE (open for debate), transferable skillsets, variety of transactions (IPOs, M&A, Financing, buy & sell side advisory, etc.), nowadays analysts are encouraged to continue with the firm

PE - less hours than IB but still long, more traveling, only buy side, more money, usually u get kicked out after two years and told to get a MBA, Highly competitive, more prestige, less stable than IB (open for debate), transferable skills, contacts, a lot more autonomy

Make of it what you will. In the end, both are great opportunities for those willing to work for them. I don't think one sucks and the other rocks. Both have their downsides, but u have to take the good with the bad.

If someone was happy making 70k - 80k and still maintaining a decent work like balance (ie 50-70 hour work weeks), they would go to operations/back office finance, etc. Analyst stages and up.

Its kind of contradictory to say i want to be an ib monkey and i only want to 40 hrs/week.

------------ I'm making it up as I go along.
  • 2
Feb 7, 2015 - 6:21pm

MM PE or top tier IB (Originally Posted: 01/24/2012)

PE has been my goal for quite some time. I managed to intern with a decent pan-European fund and now have to choose between two offers:
1) M&A analyst program at one of the top tier banks here in Europe. Not GS or MS, but still top10 in the league tables.
2) Analyst position at a new small to mid cap PE fund which was founded a year ago and started making some deals recently. I could get carry from the start.

I definitely want to get into PE in the medium term but I'm willing to take the more classical approach, here are some of my concerns:
a) Work: clearly IB offers great learning potential for valuation, etc but at a small PE fund I could gain a holistic PE experience. PE could be more rewarding for me due to the diversity of tasks. Is there anyone who could reflect on this?
b) Further career development: connected to the prior, how will my chances look like 2-5 years down the road. Exit opps for IB will probably be best in y2-3 of the analyst program, how would that look like for coming from a smaller PE fund? What is valued more by the large MM funds as well as megafunds?
c) Salary: Obviously fixed salary is higher in IB but the upside in PE would come with the carry. However, this will take almost a decade to materialize meaning that I'll be at a very average salary for a long time. How would you rate the chance of hitting the jackpot?

I know the classic US route to PE is IB->PE(->MBA->PE) but how far is this still applicable for Europe?
Also, hiring consultants seems to be more common in European PE so which value does actual PE experience bring for funds?

As said at the beginning, I'm willing to take the hard way to learn what is necessary, I just want to take the choice which will provide me with the best long-term prospects and I hope some of you can shed some light on this.

Your help is appreciated!

Feb 7, 2015 - 6:22pm

Tough choice but why not try to get the best of both worlds? Do the IB track for 2 years to gain the fundamental base and then hop on over to this entrepreneurial opportunity at the MM PE firm.

Feb 7, 2015 - 6:23pm

Thanks for the reply, poloruler!

I would judge from your reply that the fundamental base is something you wouldn't want to sacrifice? While I doubt that this exact opportunity will stay open for 2 years, I guess there should be new ones coming up...

From reading a couple of threats here (especially 10xleverage's) I take away that valuation excellence is what really matters for big PE funds and also a lot of the smaller ones. Do you think this is something that one can also learn at a MM PE firm?

Feb 7, 2015 - 6:27pm

I'd go with the banking experience first. You could always try to get back to the MM PE firm. IB would also give you the choice of going back to the MM PE firm, but also give you some exposure to Mega PE funds. I doubt two years out of school you'll have contributed much to the PE shop anyhow whereas with banking you have the opportunity to hone and sharpen your technical skills.

just my 2 cents

Feb 7, 2015 - 6:28pm

If you are at a top ten IB, you are going to get excellent training. On the PE side, as far as I can tell you just get thrown into the fire and have to get yourself up to speed as fast as you can. You will have more PE opportunities coming out of the investment bank than you would at this small PE shop. That being said, you have to decide what you want. If you are sure you want to do small cap PE, go for it. If you are wanting to move upstream after a few years, banking is better. The right answer depends on your future plans.

Feb 7, 2015 - 6:30pm

Question for everyone voting for the banking route - I'm under the impression that only 25-35% of banking analysts get into the buyside every year. If his ultimate goal is to work in PE and he has an offer already on the table, why should he take the risk of going through recruiting from the IB?

I'd think that he'd learn all the skills necessary for PE since he'd be in PE (duh) and would be a cinch for another, larger firm to pick up as a lateral.

Am I off here?

Feb 7, 2015 - 6:31pm
bonobochimp:
Question for everyone voting for the banking route - I'm under the impression that only 25-35% of banking analysts get into the buyside every year. If his ultimate goal is to work in PE and he has an offer already on the table, why should he take the risk of going through recruiting from the IB?

I'd think that he'd learn all the skills necessary for PE since he'd be in PE (duh) and would be a cinch for another, larger firm to pick up as a lateral.

Am I off here?


Totally agree. Bird in hand worth two in the bush.
-- sm
  • 1
Feb 7, 2015 - 6:32pm

That's a very good point, bonobochimp, thanks!

However, from everything I read around here and heard talking to people from the industry incl. headhunters, lateral hiring from small to mid to large cap funds doesn't happen as often as one would usually assume. As far as I understood, large cap PE is a lot more about technical skills while small cap can be more operational and in general less number driven.

Another point that might potentially get relevant in a few years is international mobility. I assume having a small firm on your CV is not going to make this move as easy as having a very good bank on it?

Thanks to all of you for your contributions, I appreciate all of them!

Feb 7, 2015 - 6:34pm

MM IB or Small PE firm? (Originally Posted: 11/05/2017)

Was talking with a few friends today about which would they would choose to go work for and why. Curious as to what everyone else's take on it is.

Feb 7, 2015 - 6:35pm

Gonna need some particulars here..

Which IBs, what size and industry focus PE?

I'm not choosing cousin Melvin's $50m fund over WB

26 Broadway where's your sense of humor?
Feb 7, 2015 - 6:36pm

IB vs. PE recruiting (Originally Posted: 11/17/2009)

How proactive should IB analysts be about networking for PE recruiting?

I'm asking this because I believe that headhunters arrange a lot of PE interviews, so IB analysts don't deal directly with the PE firms unless they are selected by a headhunter.

Also, besides networking, what's a good way to prepare for such interviews.
I will be working in the FIG group of GS/JPM/MS next year, by the way.

Feb 7, 2015 - 6:38pm

Private Equity V.S. IB Questions (Originally Posted: 04/27/2011)

hey, i was wondering on your thoughts on this subject, as many people seem to go into PE directly after UG or after just 1 year of IB.

1.) What are the pros/cons of doing PE directly instead of 2-3 years of an IB analyst role?

2.) How hard is it to lateral from real estate PE to other sectors of PE(technology, healthcare) if one has an engineering/science degree? People say that RE PE is alright if you want to stay in real estate, but a general IBD program opens more doors.

3.)Could one take a pre-MBA PE analyst role and later move into IB?

Thanks

Feb 7, 2015 - 6:39pm
  1. Pros - If you know you want to do PE long-term, then bypassing the IBD bitch work is a huge plus.
    Cons - You run the risk of pegging yourself in that career path since you don't have the more broadly applicable experience IBD analysts have.

  2. You theoretically could, but it isn't that typical at all.

I am permanently behind on PMs, it's not personal.

  • 1
Feb 7, 2015 - 6:40pm

"You run the risk of pegging yourself in that career path since you don't have the more broadly applicable experience IBD analysts have"

that's a good point. IB opens the doors to hedge funds, AM, ER, PE, etc. PE seems more focused, but i bet you might be able to move elsewhere if you have good modeling skills and other relevant experience.

Feb 7, 2015 - 6:42pm

It's typically "easy" post-MBA, i.e. IBD -> PE -> MBA -> HF, but entering PE out of undergrad and trying to roll over would likely be more difficult since you're already on buy-side and not using school again as the catalyst for career change.

I am permanently behind on PMs, it's not personal.

  • 1
Feb 7, 2015 - 6:43pm

Weighing IB vs. PE offer (Originally Posted: 09/12/2014)

I was hoping to recruit the brains over here on WSO to help me make a tough decision. I've been interviewing around the past few months, and have come upon two unique offers.

1) The first offer is from an elite boutique based on the east coast. I would be joining as a senior analyst at the firm.

2) Offer two is from a new fund PE group also based on the east coast. The group has a focus on real estate.

The pay at both is similar, but bonus is much more variable at the PE group. The pe group offers better perks in general.

My problem is that I don't know if I want to pigeon hole myself into real estate PE. Im also not sure how easy it is lateral into another pe group once I've built an expertise in a specific sector. I'm wondering if I should go to the IB, finish out my analyst stint, then move onto bschool with a brand name on my resume. Lastly, I will say that I'm very tired of the hours of IB. The prospect of leaving the 80-90 hour weeks behind is all too appealing.

What would you do?

Feb 7, 2015 - 6:50pm

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Feb 7, 2015 - 6:45pm

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Non autem tenetur quam est. In veniam laboriosam voluptatem in at illum. Et suscipit voluptatum unde quam facere. Labore facere omnis quibusdam. In quasi rerum harum accusantium et.

Iusto atque sunt eos fugiat. Quia tempora sed eum et. Aut sunt impedit accusamus et qui et. Nulla in occaecati neque rerum. Sed cupiditate voluptate atque iusto suscipit.

Feb 7, 2015 - 6:46pm

Consequuntur impedit dolorem ut quas. Quia sed est sit quis. Cumque dolorum in tenetur. Magni sint est id animi. Suscipit distinctio id molestiae in aut eaque et.

Et harum architecto sapiente. Sit officiis recusandae praesentium recusandae minus.

Illo officia odit accusantium voluptatem reiciendis aliquid. Nulla sit ex est nam labore inventore. Natus explicabo accusantium quia atque magni dignissimos occaecati ut. Nemo soluta omnis facere labore et asperiores. Id sunt est perferendis vel sint.

Eum repellat tenetur quia minima. Velit id perspiciatis aut nesciunt est perspiciatis sapiente. Omnis ea magnam aliquam. Dolor vero reprehenderit consectetur autem cumque. Eius reprehenderit et officiis illo et consectetur sunt. Sunt eum illum consequatur numquam aut sapiente voluptas reiciendis.

Feb 7, 2015 - 6:47pm

Perspiciatis eos velit pariatur aliquam vero velit. Fuga autem blanditiis accusantium consequuntur vel repellat. Veritatis earum nisi nam ea blanditiis vel ab. Quas nisi est sint aut.

Laboriosam animi earum doloremque voluptatem. Ut perferendis fuga voluptatem iure qui. Aut sed qui quia est excepturi corporis.

Maxime aperiam sequi saepe quibusdam. Hic ab et dolores aut ut. Expedita illo et nihil consequatur qui officia id. Quae unde et reprehenderit alias. Laboriosam sunt sed vel magni explicabo occaecati ipsam. Atque blanditiis debitis inventore labore sequi officiis est.

Feb 7, 2015 - 6:49pm

Harum ipsum modi ab dolores quo tenetur. Eius temporibus eos sed tempore voluptatem. Doloremque provident et dolores illo unde voluptatum.

Enim libero rerum quia. Ut dolorum quae velit distinctio et vel et. Doloremque repellat voluptates nam aut dolor non. Et deleniti impedit eligendi suscipit. Voluptatem voluptas deleniti sapiente dolore odio fugiat.

Assumenda sunt dicta numquam expedita nesciunt ratione consequatur. Blanditiis repellendus ut sapiente id nihil qui tempore. Asperiores beatae eos rem. Sit assumenda veniam eum accusantium qui debitis laboriosam. Illum maxime qui ut molestiae repellat.

Feb 7, 2015 - 6:51pm

Laborum quis pariatur sunt molestiae consequatur ab sequi. Sequi voluptatem quia ipsa assumenda et libero. Odio et tempore cum dolor minima et omnis rerum. Ut et laborum quia voluptatem quo cum cum. Velit nihil similique quaerat necessitatibus voluptatibus reiciendis quis.

Omnis earum omnis quibusdam enim ullam nesciunt et. Exercitationem ratione vel animi sint. Dolores libero qui reprehenderit sit consectetur quia nihil.

Feb 7, 2015 - 6:52pm

Saepe possimus ipsum amet fugiat et hic ut. Consequatur ducimus perferendis sit sed. Mollitia non ratione beatae sit magnam assumenda. Sunt omnis voluptas facere facere rem qui.

Vel labore voluptatem ullam sed velit optio dolores est. Assumenda quam temporibus ut sed. Aut pariatur omnis est perferendis. Omnis illo sed molestiae nihil tempore voluptatem voluptatem. Corporis et nisi qui vero. Nam libero commodi expedita necessitatibus earum voluptatem ipsa.

Omnis deleniti molestias nesciunt quam at iure qui. Qui sint aliquid rem sint aut deserunt. Porro vitae expedita ad sed aut doloremque perferendis.

Feb 7, 2015 - 6:54pm

Voluptatem nobis eum magni. Sed qui aut nihil id. Et est ad reiciendis quo qui deserunt ab repellat. Quos ut dolorem non harum aut.

Nihil vel ad sed id et ea pariatur. Fuga aut molestiae tenetur quam. Impedit molestias sapiente natus ut facere quo. Pariatur nesciunt facilis reiciendis non illo eaque vitae ut. Iure ut rerum et optio unde.

Ex et est magni dignissimos nulla aut. Aliquam ut est quos inventore quia. Dolores consequuntur cupiditate sint vero omnis. Quia qui asperiores tempore sint rerum. Eveniet laborum cupiditate quod doloribus esse.

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