Reneging in ER - Worth it?

I have a hypothetical scenario and I am curious to get everyone's thoughts. In the event that you signed an offer for a decent opportunity on the sell-side, would you ever renege for an opportunity to join one of the best teams in the industry?

SS ER is so small and team dependent that it makes me question if it even makes sense to consider it given how connected everyone is in this industry.

Does anyone here have any thoughts or interesting anecdotes?

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Comments (5)

Oct 6, 2021 - 1:10pm

It's a very different question if you reneg Wedbush for Bernstein vs. reneg MS for JPM

In former situation, ppl be like "oh I get it". In the latter, it could hurt your reputation. You are completely right that people talk in this business. 

Instagram: @dickthesellsider | Substack: dicktoad.substack.com

  • Associate 1 in ER
Oct 6, 2021 - 2:35pm

Fair point. Let's throw it somewhere in the middle for arguments sake - Lower Middle Tier to Top Tier shops.

Do you know anyone who has reneged?

Does the firm you go to care that you reneged to get there?

Oct 6, 2021 - 3:48pm

I do not know. 

The firm you go to wouldn't know you reneged. If the firm knows, the hiring analyst wanted you hard enough that no one cares. 

Instagram: @dickthesellsider | Substack: dicktoad.substack.com

  • Research Associate in ER
Oct 6, 2021 - 10:28pm

Going to be as vague as possible, but I reneged a signed offer within the same sector (slightly different vertical). Definitely burned a bridge there, but if you are ever in this situation, be as gracious and apologetic as possible. People will talk, and reneging hits more personally than (imo) IB. Best thing you can do is give the most believable 'it's me, not you' excuse. And make sure the firm you are reneging for is actually supportive before proceeding, along with anyone involved with getting you the offer - analysts are very familiar with each other. In my case, the firm wanted me badly enough to walk me through reneging, along with a huge pay bump to sweeten the deal. Hope this helps.

Oct 8, 2021 - 1:37pm

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