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The more significant equity research vs. investment banking differences relate to recruiting and careers , including points such as the compensation and exit opportunities. public markets roles ( hedge funds , assetmanagement , etc.), bulgebracket research team to startup PE firm).
Some SWFs operate like long-only assetmanagers (i.e., mutual funds ) that allocate their assets top-down and then pick specific indices, companies, and securities that meet their criteria. These tend to be the funds that pay better , actively recruit new entry-level hires , and do at least some direct investing.
Unfortunately, it’s not quite that simple – due to massive competition, a fairly involved recruiting process, and low conversion rates at many banks. Expectations for technical skills and work experience are lower, but the process is more random than normal internship recruiting and depends on fit, grades, and activities.
But a few other reasons also explain why fixed income often gets overlooked: the unstructured recruiting process, fewer job openings, and the “cushiness” of senior-level roles. An Example Fixed Income Research Report Recruiting: Who Gets into Fixed Income Research? Also, it can be quantitative or fundamental – or both! –
Almost nothing is worse than recruiting for investment banking internships , winning an offer, preparing , completing the internship, and then not getting a return offer. All the large investment banks – bulgebrackets , elite boutiques , and middle-market firms – use internships as a recruiting tool for Analysts and Associates.
But then recruiting moved up, the MBA process became more structured, and now we have 4-year-olds aiming for “Target Kindergartens” so they can eventually get into investment banking ~15 years in the future. A long time ago, the idea of a pre-MBA internship was odd because most people stayed in their full-time jobs until their MBAs began.
Recruiting in Wealth Management vs. Investment Banking You should know all about IB recruiting from reading this site, but it’s insanely competitive and starts very early. By contrast, wealth management is much less competitive to get into. and your odds are not spectacular.
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