Does anyone want to stay in investment banking these days?
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Dan DeFrancesco
Feb 10, 2023, 19:35 IST
Samantha Lee/Insider
Happy Friday? It's Dan DeFrancesco, and these days I get the "Friday scaries" more than the "Sunday scaries," knowing that I have a full weekend of keeping a 10-month-old entertained. (It's OK. Her feelings won't be hurt. She can't read.)
Emmalyse's story got me thinking: Does anyone actually want to be an investment banker?
Whether it's private equity, hedge funds, or venture capital, most young bankers want to eventually end up on the buy side. These days, I wonder if there is anyone left who aspires to be a lifer at an investment bank.
If money is what motivates you, you're certainly better off on the buy side. Banker salaries will get you in first class, but the potential total comp at PE firms and hedge funds will get you flying private.
Perhaps the one point in the banks' favor is that they sit at the center of the financial world, one colleague pointed out to me. Working at a bank will give you a holistic view of the financial markets in a way that's just not possible on the buy side.
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But, to be honest, it doesn't matter how bad of a deal working at an investment bank might be. Like an overzealous bouncer at a college bar, banks are the annoying-but-powerful gatekeepers standing between you and your dreams. An investment bank's analyst program remains the go-to route to get your foot in the door on the Street.
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