Pigeon-Holed as a MM Investor?

Hi guys, current MM IB analyst here covering the biotechnology space looking to eventually make the move to a biotechnology investment firm. My ideal eventual landing spot has a long term investment horizon, has a value-tilt, and invests in both public and private companies. 

In the past I was pretty against making the move to a multi manager fund because of they generally have such a short term investment focus, but have recently started to reconsider. if I were to use to somewhere to Citadel, I would plan on staying for a couple of years to get some solid training then move to a single manager. 

I spoke with a recruiter the other day and he mentioned that people can get pigeonholed once they work at a MM and can't move to single manager funds. Would you all say this is true? How would you all approach recruiting if you were me. 

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Comments (5)

Jun 10, 2021 - 1:30am

It's just wrong for the recruiter to tell you that you could get pigeonholed into working at a MM. Working at a MM not only validates your skill but opens up doors into working at SM funds so ignore that noise. Assuming you are covering mostly equity deals as a biotech banker, you should have a pretty good shot at landing a MM fund in a biotech pod if you can look past the short-term investment horizon, which by the way differs drastically pod to pod.

Can't comment on the exact type of fund you are trying to move to (maybe a deerfield or casdin - at a smaller level?) but certainly experience at a MM wouldn't hinder your goal at all.

Jun 10, 2021 - 2:25am

Thanks for the post, Deerfield or casdin are the exact types of shops I'm looking to move to eventually.

Any thoughts as to how to diligence a potential pod? Especially if they're a first time PM

Jun 10, 2021 - 2:38am

Can't say much for that except that you've got to diligence them yourself during the interview process if you happen to get one. You could also network but not sure how the hit rate is for that with HFs

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