Pre-MBA PE associates - How are you thinking about MBA?
Question to all the incoming pre-MBA associates and current pre-MBA associates (of course post-MBA PE associates also welcomed to chime in).
How are you thinking about the MBA 2-3 years down the line? A quick poll among the analyst class indicates that most of the places people are going to (generally upper-MM PE - 1 to 2 megafunds) are 2-3 year programs with almost everyone going to MBA / lateraling / exiting the industry / moving out west. Of course, some of the firms have "direct promotion" opportunities but let's assume that the vast majority will not have that sort of option in place.
Personally, the more I think about it and talk to people coming out of MBA, the more it's evident that the intrinsic value of an MBA is almost certainly not worth the forgone income and cost of an MBA. I'll venture as far as to say that if you want to stay in finance, even the Stanford GSB / HBS degree really won't add that much value (versus say a direct promote opportunity). Of course these are great for those looking to break into finance or PE, but for those already in the industry (and wants to stay in the industry IB / PE // AM), it adds minimal value and primarily serves as a deliberate structural barrier to allow PE firms to be more selective.
So with that said, does anyone disagree - i.e. does an MBA really add value? Or for those that agree, what have you seen people do to get around the MBA requirement - are people generally successful lateraling? Do people go back to banking?