Suggestions on my career path?

So I'm an ungrad at a target school (I think?). I'm really interested in value investing, Buffett, Ackman, and others like them - would love to one day run a hedge fund, but wouldn't we all?

Everyone tells me that I should head the IBD route initially, but I'm wondering why? If I want to run a hedge fund some day, should I not hit up every hedge fund, large and small, that I find that has similar investment philosophies as those that interest me?

As a side note, I'm wondering, as a junior, what I'm expected to know about finance/business to be a successful candidate for an internship? I've nearly completed my gen-eds/requirements (or core as we call it) and haven't dug too much into any finance courses yet. I know NOTHING about modeling/valuation, other than what I've read via Graham, Dodd, and a few other traditional books.

Thanks for the help!

Comments (7)

Jul 30, 2011

Have you read Investment Banking by Pearl and Rosenbaum yet? If you haven't I would recommend it regardless of what your going into, it has some pretty useful info in it. BTW props on the intelligent investor, great book. Have you read Security Analysis as well?

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Jul 30, 2011

Vault guides are pretty good in giivng you an overview of what you should know, doesn't go in depth but gives you a good idea of what they might ask

I like pickles...

Jul 30, 2011

I guess with IBD you may better understand the efficiencies of companies within a sector as apposed to trading where you're probably going to focusing on day trading. So if you want to do value investing, then IBD would make sense IMO.

Jul 30, 2011

I guess with IBD you may better understand the efficiencies of companies within a sector as apposed to trading where you're probably going to focusing on day trading. So if you want to do value investing, then IBD would make sense IMO.

Jul 30, 2011

Thanks for the responses thus far.

Jay - I've read Security Analysis, great book. I've also read basically everything Soros has written, and it's great to do so right after reading Graham as you'll see how both investment philosophies work off each other, and are, from an emotional standpoint, identical. Right now I'm reading Warren Buffett and the Art of Stock Arbitrage (great, simple read. I suggest it to anyone who's interested in the Oracle and how he kept making money in down markets). I just put the Rosenbaum book you recommended on my wish list (it's a little expensive but hopefully I can get it in time for recruiting). You into Value Investing as well?

For the other responses, I definitely agree. If IBD is a great starting route, is there a group you guys suggest I focus on, like industrials, retail, real estate, etc? Does it matter where I place, if I place at all?

For those of you with an interest in value investing, do you have any sort of projected career path or plan? If so, if you dont mind sharing??

Thanks guys

Jul 30, 2011

heres why you need to go IBD

-In general, HF do not make inexperienced hires
-HF typically recruit from BB IB
-If you want to be a value investor (or any kind of investor), you need to learn how to value companies. IB teaches you this skill

simple as that

Jul 30, 2011

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