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384637 No.384637[DELETED]  [Reply] [Original]

Does anything pay better than being a partner at a Private Equity firm?

What's the usual path to take to reach that goal?

>> No.384644

Of course things pay better, but not many things.

Excellent grades at top-tier college (Ivy MIT Stanford etc.) -> bulge bracket ibank analyst -> promoted to associate -> top b-school -> PE analyst -> promoted over time.

That's the "standard" path but there are other ways to get there, for example joining a PE firm because of operational expertise in a specific industry the fund concentrates on.

>> No.384646

>>384637

Only two I can think of:

>Partner at a Hedge Fund (ironically, less prestigious, though).

>Pre-IPO stockholder in a new company that hits it big (Google, FB, etc.)

>> No.384649

>>384644
>things pay better, but not many things
Apart from being a lucky entrepreneur, what pays better in such an arguably short amount of time?

>operational expertise in a specific industry
Do you think it would be possible to join a PE firm with a PhD, for example?

Unfortunately, I'm not attending a top tier college for my bachelor's, although my GPA is excellent and I did two internships, got recommendations, etc...
Thus I could attend a top master's program (especially since my father is a professor at a top 3 Ivy). So I guess not all hope is lost?

Does your major matter a lot? I didn't do business, nor finance or economics, although I did take classes on the side.

>>384646
>Partner at a Hedge Fund
Are the salaries considerably different?
How is it less prestigious?

>> No.384673

>>384649
Some of the top hedge fund managers made billions.

Paulson made at least over 1.5 billion as a result of his bets against mbs

>> No.384681

>>384673
But that basically involves as much luck as becoming a billionaire with a startup, doesn't it?

>> No.384684

>>384681

true, but its the same for becoming a partner at a private equity firm

>> No.384687

>>384684
Really? Is it THAT competitive?

>> No.385093

>>384687
Yes. It's more competitive than you can even imagine.

>> No.385107

>>384637

Actual PE professional here. I am an associate. I went from a mutual fund to a senior analyst. You'll be stuck as a VP for most of your life 30-40s

>> No.385116

>>384687

Okay listen here boy.

You did just get 'promoted' to a partner.

Well maybe if you're a women for that PR, but otherwise you need to SELL. You need to be bringing clients in, if you don't bring more business to the firm then you are not partner worthy.

>> No.385117

>>385116
>You did just get 'promoted' to a partner.

fuck I mean

You DON'T just get 'promoted' to a partner.

>> No.385129

>>384649

>How is it less prestigious?

Consider the traits you need to be partner at a PE firm (say that does LBO's):

*Top education (Ivy, Oxbridge, Stanford)
*Impeccable pedigree (Goldman, Lazard, etc.)
*Connections to top bankers for financing
*Extensive knowledge of industries/sectors
*Extensive contact with HNWI's and rich institutions to raise capital

Now consider the ones needed at a hedge fund:

*Can make money trading/investing

Essentially, the infrastruture required to run a PE firm means that they're typically run by well-connected Thurston Howell III-type bluebloods, whereas hedge funds gravitate towards nerdy numbers geek types, which is inherently less prestigeous.

Make sense?

>> No.385174

>>385129
Top mutual fund analyst here, you are over simplifying the requirements for being successful at a hedge fund. Your description of of them as "nerdy numbers geek types" is also completely wrong.

I'm happy to elaborate on what I can since there seems to be some interest within the thread.

Also, no one cares about "prestige" when you actually start working fulltime. I know a lot of people who work in IB/PE, and the shine wears out pretty quick when the pitchbook you slaved over for hours and felt proud of is only used to show 3 different graphs in a meeting headed by your MD and then thrown into the trash.

>> No.385332

>>385129
>*Extensive knowledge of industries/sectors
>PE
>Knowledgeable
My sides

>> No.385356 [DELETED] 

>>385129

You are really overrating what it takes to be in PE and underrating what it takes to work at a HF

I've worked with some guys in PE since I interned at an IB in their lev fin group, and not all people in PE followed this golden path that you think they do, and they aren't as brilliant as you think they are. Intelligent yes, but no smarter and no better connected then guys at the top HFs

>> No.385361

>>385129

You are really overrating what it takes to be in PE and underrating what it takes to work at a HF

I've worked with some guys in PE since I interned at an IB in their lev fin group, and not all people in PE followed this golden path that you think they do, and they aren't as brilliant as you think they are. Intelligent yes, but no smarter and no better connected then guys at the top HFs

also ditto on what >>385174
said

the only people who make a big fuss about 'prestige' are students who are trying to break into the industry (buyside mainly) or junior level employees (especially ib analyst). the actual deal makers and important people care less about prestige and more about making money, and building connections and getting shit done, since both of those tend to make you even more money

>> No.385364
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385364

big city stripper, host, hostess
180k - 250k

crazy japan host
800k

>> No.386046

Bump

>> No.386105

>>385174
OP of this post here, just got back to work. Will stick around for a while and answer questions about investing, hedge funds, mutual funds...i know a little about IB/PE.

>> No.386111

>>386105
from work*

>> No.386546

>>385364
are you aware of 3 million won isn't equal 3 million dollar

>> No.386548

>>386546
Won is Korean. It is about 1000 won to the dollar.

Yen is Jap. It's about 100 yen to the dollar.