SA relationship hires don't get FT offers - true?

Is this true? If so, why would you take the SA? even if you are a rockstar......unless you try to leverage that for other FT offers. When people ask you why you don't have a offer, do you say 'I was a relationship hire'?

 

..well if you're a sophmore summer, then you don't need a full time offer.

all "relationship hires" I know received offers even if they didn't work hard and left at 3pm every day with no weekends. assuming that relationship means that your relative was a client that did repeat business.

or that your relative and the MD went to school together and were best friends.

otherwise, you do it for the big name and experience.

but in my experience no one says at the beginning of your internship that you're not going to get a full time offer.

------------ I'm making it up as I go along.
 

I would imagine firms have more reason to hire relationship hires for FT. However, someone said that MS (HK) has a sizable number of relationship hires each summer...but they don't get full-time offers. Correct me if I am wrong about this.

-------------------------------------------------- "Whenever I'm about to do something, I think, 'Would an idiot do that?' And if they would, I do NOT do that thing." -Dwight Schrute, "The Office"-
 
Best Response

I can't speak to any individual bank, but mine did a LOT of relationship hiring. As an MM bank, there were only a couple dozen analyst spots to go around, and far less summer analysts. I'd say that about 25% of our analyst class comprised of relationship hires, and 50% of summer analysts. Summer analysts definitely got FT offers, in fact it was easier as a client's son or daughter.

Sometimes the summer analysts are only doing the job cause their parents want them to, and therefore they are poor performers and choose not to stick around.

As for how much influence potential clients can have: We once interviewed a kid who said that he DID NOT WANT the job, but that his father had told him to come. Not only did he get a summer offer, but he was given a FT offer (which he accepted cause he realized he liked banking).

CompBanker’s Career Guidance Services: https://www.rossettiadvisors.com/
 

Think about it this way, senior bankers care about fees, not the quality of their analysts. Their books will get done one way or another. Relationship hires completely screw everyone below; what senior bankers are best at. If giving the relationship hire a full-time offer has an expected value in fees significantly above their cost of employment then it is gonna happen.

If you are an excellent candidate, you would be dumb to take a "relationship" position over a marginally worse position. You will be treated differently.

 

At my bank, it was pretty easy to tell who the relationship hires were. Usually their last names were the same as some of the private equity firms we represented. That said, no one cared in the slightest. Our deals had 1 analyst per deal, and as a result it was up to you to do your own work and no one was expected to help. So having some slacker analysts didn't have an impact on you at all. The fact is, if you're cool, people are going to like you. If you're a tool, they aren't. There really isn't much outside of that.

CompBanker’s Career Guidance Services: https://www.rossettiadvisors.com/
 

do whatever you can to get the job.

Blankfein's kid is with GS....trader

life isnt fair. Take the advantages you can get in my opinion.

people might look down on you in the short term but if you can perform then in the long term everyone will forget how you get hired and focus on your results anyways...

most successful people out there have some contacts in life in the beginning of their careers. use them!

 

Dude, don't feel bad at all. I got my freshman internships through family relations and I'm more than sure anyone who has the choice between calling up an uncle and "networking/ cold calling" for months on end will choose to call their uncle. What you do beyond the job attainment stage is imperative for determining your true worth, I'm more than sure your uncle will not be able to help you out if you were lazy and handed in sub-par work. If others look at you wrong, ask them if they would refuse a hand from a good relative. If they say they would'nt take help their full of it and jealous.

 

Relationship hires are par for the course....but actual familial hires are a different story and are definitely not the norm at publicly traded companies. Typically, you get your buddy at another bank to hire your kid, and you return the favor for his. Maybe since your dad is backoffice and you will presumably be in another division it's not as a big of a deal. Either way, if people know about your connection, be ready to bust your ass extra hard. Kudos to your dad...i guess...mine would go out of his way to ensure that I wasn't benefiting from his connections. (bigoil)

 

a lot of people get hired because of relationships or "legacy" but at the end of the day, you still need to prove yourself otherwise you'll just end up being the person everyone wishes gets hit by a truck cuz people who actually do well get passed up by guys like these.

bottom line, work hard and be humble. regardless of your method of getting your foot in the door, if you prove yourself then so will your peers and colleagues.

good luck!

 

Unless you are related to a very large and vocal client, connections will basically only get you in the door and might even hurt you when interviewing with the younger people who do most of the hiring.

 

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