Undergraduate in Shanghai, intern in a Private Equity seeking advice, feel lost.

Hi everybody. I really need some guidance here. During my last year at University I realized I have to find a legit internship, because I haven't done even one. Was teaching English, really good money, 2300+ USD per month for part time.

Well, I thought that this is the top, and I may want to earn more in future, so maybe its better to enter into the industry where you can grow. My major is economics and international trade, taught fully in Chines so I'm able to speak fluently and understand economic reports in Chinese. I realized I have interest to finance, noticed that people are saying that Shanghai is becoming a financial center, so I have decided to take this path.

How I found the internship

I read a lot that you have to network. I had some connections, and also received an invitation for intern position at financial department at Henkel. So international firms are hiring some times international students as interns, but even if you know Chinese, the work mostly requires only English.

I also went to another city to attend Financial Times annual Forum. There I did nothing but scouted people to make connections with them, standing near the exit door not to miss any potential employer. Frankly, I approached people and asked them if they need an intern who speaks fluently Chinese, English and other languages with background in economics, good record etc.

During the day I got only one lucky shot, my future boss said yes sure and gave me his name card.

The company and the job

So, the company is called ***Asset Management. They have their own fund to invest, and they also manage a fund created together with a big company to help it invest into new areas.

They only invest into private companies, help them grow and then they exit by selling it to a listed company or help it IPO. They are buying equity shares in these companies.

So, my main responsibility for the moment is to reach foreign companies in which we have interest and ask if they want new strategic investors, capital, to develop in China etc.
I also have to call local companies when I have free time. Like M&A thing.

Sorry for not using all the professional terms, I'm really a noob here.

There are 2 partners that are always in the office when not on business trip, one of them is my boss and he does most of the work. There is also their friend who didn't commit any capital as I know, but is also involved in the next negotiation stages of the deal and gets more commission than the girl who is assisting them and does the initial part, same as I do, but only with Chinese companies. She will get the smallest commission. (excluding me I guess)

I was told that with time, I will have to monitor my deals as they progress and the profit will be shared with me in the future.

They have started not long ago, but I see that they are developing really fast.

My salary for the internship is 2000 RMB which is almost 300 USD. Right now I am fine with that, since I'm on full scholarship with free accommodation, plus have some savings.
But, the guy told me that if I will bring them deals, I will get commission from it, and will get reach (Every Chinese boss tells you that)

My problem

How this sommision is payed? Is it when they buy equity from the company? Or when they exit? So its like in years.

Even if this money is fine for me right now, I am very worried how much money I will be able to get eventually in the future. Because As I checked Chinese sites, average salary for in an asset management firm is like 1k USD having 3-5 years of Experience. And this is really depressing. Ofcourse there are different situations. But 1k salary and ears of expectation for the commission doesn't cheer me.

I really like finance and I was the best on the course on this course, I like listening economic reports, debates, I would like to learn more about different businesses and so on. But the tiny salary with no sight of real growth right now really scares me.

I wish to manage a fund, decide in which companies to invest, but I don't know how is this ever reachable, because I don't have this huge amount of money to become a partner and because I feel that I won't progress more in the place were I am currently now.

Im also applying for master degree in Finance for next year, and I am already 25, so plus 2 years, I will be 27 when graduating, working I don't know how many years for pennies without any clear path of future progress.

Please give me some guidance, I am really lost. I was very motivated when I decided to enter, to open new opportunities and connections for me, earn more, learn more. But I am not so sure anymore. It is hard to go from $2.3k to $1k. The job is less stressful though, but again the same question. Is this the cap? the limit? Are people stuck at this position?

I am making a lot of connections with different companies and people and I know that Cross Border deals are booming here, but how to get on this train.

I would really need some advice from people who worked in this area in China before.
What are the growth opportunities? What are the bonuses for M&A deals? When are they paid?
What is the average income for the graduate? Should I study Master Finance, or wait for MBA? Or Law will be more handy?

Some people when hear that I can speak Chinese or that I have this internship say that I have a good future. But seeing everything as it is, I am worried that it is not like this. Or I am worrying to much? It is just I really don't know where all this can go, and current pay and future possible pay doesn't really make me happy.

I will be really happy if I will get $3k per month plus commissions from my deals. But now it seams like something unreachable

I am sorry for such a huge text, I will be happy to hear any opinion, advice or question that you have.

And Thank you for your time reading this huge text.

Comments (1)

Start Discussion

Popular Content See all

Life Hacks during WFH | How do you avoid burnout?
+52IBby 1st Year Analyst in Investment Banking - Mergers and Acquisitions">Analyst 1 in IB-M&A
Leaked EY Email
+48IBby 1st Year Analyst in Investment Banking - Industry/Coverage">Analyst 1 in IB - Ind
I’ll never take WSO for granted again
+38OFFby Principal in Venture Capital">Principal in VC
What's so good about Evercore?
+28IBby Prospective Monkey in Investment Banking - Mergers and Acquisitions">Prospect in IB-M&A
Have any 1st year analysts actually quit?
+25IBby 1st Year Analyst in Investment Banking - Mergers and Acquisitions">Analyst 1 in IB-M&A

Total Avg Compensation

January 2021 Private Equity

  • Principal (6) $693
  • Director/MD (15) $627
  • Vice President (57) $366
  • 3rd+ Year Associate (60) $272
  • 2nd Year Associate (115) $245
  • 1st Year Associate (249) $224
  • 3rd+ Year Analyst (23) $162
  • 2nd Year Analyst (56) $139
  • 1st Year Analyst (163) $119
  • Intern/Summer Associate (17) $66
  • Intern/Summer Analyst (178) $59

Leaderboard See all

1
LonLonMilk's picture
LonLonMilk
98.5
2
Secyh62's picture
Secyh62
98.3
3
Jamoldo's picture
Jamoldo
98.3
4
CompBanker's picture
CompBanker
97.9
5
redever's picture
redever
97.7
6
frgna's picture
frgna
97.6
7
Addinator's picture
Addinator
97.5
8
Edifice's picture
Edifice
97.5
9
bolo up's picture
bolo up
97.5
10
NuckFuts's picture
NuckFuts
97.5