High Finance Thread
 

Starting this thread to get the ball rolling on discussions about front office financial careers in sg. This includes ib/m&a, private equity, hedge funds, vc, long-only am, trading, research etc.

Given the limited number of seats and hence people in this space, there is a dearth of information on pay, firms, and career progression.

Personally, I've worked at various firms on the buyside in private equity and hedge funds. Happy to field questions from the community if any.

How does the pay in PE compare to IB? Is IB entry level pay rly 10k+pm?

What's the pay range like for equity research analysts, say in top firms such as Blackrock?

IB can range from 6 to 10k entry. ~70 hour work weeks expected tho, 14 hours daily

Depends on seniority. Entry level should be high-single digits, only slight discount to IB but lower bonus.

How about roles in corporate banking? Structured Finance/ commodity finance, FI or NBFI, are they not considered as FO position too or less appealing in the market?

Thanks for starting this thread OP. i am in my early 30s and am a corp tax manager in a big 4 in the tax advisory space (done some tax due diligence etc) and am interested in moving out of tax and into high finance. What are my best options in consideration of my experience?

Appreciate the help!

Any specific areas of high finance that you aim to break into? Generally, these areas include Investment Banking/Capital Markets, Private Equity, Hedge Fund, Equity Research or Sales & Trading/Global Markets.

personally, i'm interested in equity research or sale and trading, but given my big 4 tax advisory background, how do i go about changing field?

Have you considered the MBA or M.Fin route?

For Sales and Trading, it is almost impossible to break into the field as an experienced hire without a strong quantitative degree (Math, Engineering, CS etc) or relevant experience. I assume you have an Accountancy degree?

For Equity Research, it is very possible since they are not really particular about any specific background. However, a background in tax would be less competitive/attractive as compared to Corporate Finance or even Audit since it is less finance-related compared to these fields. Since you are already in the Big 4, the ideal path would be to first lateral into the Transaction Advisory/Valuation team. The scope of work and skill set required by these teams would be more aligned to that of ER, in that they are more finance-related (Involves Financial Statement Analysis, Modelling etc).

If not, you can try looking at boutique corporate finance advisory firms by performing searches on Google or Linkedin. There would usually be a company e-mail or phone number listed on their website which you can try using to contact and introduce yourself. These firms are usually less stringent compared to other more established shops with regards to relevant experience.

Either way, you have to demonstrate interest in investing in general. These can mean reading investment-related books (think Securities Analysis or Intelligent Investor), keeping up with financial news (CNBC, WSJ, FT). Most importantly, you need to learn how to make and justify an investment recommendation. I would recommend seekingalpha.com, which really gives you a good exposure to how an investment recommendation is crafted. If you have not already done so, you should start working towards the CFA charter since they are highly-respected in the ER field and will certainly be a huge boost in your candidacy.

Lastly, networking is key so try reaching out to as many professionals on Linkedin, websites etc.

I've seen quite a big range for both. BB banks and large cap PE are comparable for junior roles (analyst to associate). For mid-market or bigger boutique firms, PE attracts better talent and hence has to pay more. For smaller firms (<15 headcount), it can be anything really.

And yes, for IB at decent firms, analyst base salary is in 5 figs per month.

time is running out

your best bet is to enroll in a M7 MBA program and summer as an associate

Not sure if an M7 MBA is optimal for OP at this point, given the cost and time commitment required.

These programs usually takes at least a year to complete (at least 2 years from now since recruitment for the upcoming intake is over) and are really expensive (>USD100K), not to mention that entry are insanely competitive (flooded with MBB Consultants, BB IB Analysts, F50 MAs etc). To be considered one would need to possess nothing less than an exceptional professional background and a high GMAT/GRE score, which will likely require a significant amount of time to study for as well.

An MBA isn't really useful for ER/HF and would be more appropriate for IB/PE. An MFin at a local university like SMU seems a viable option though, given its lower entry requirements and significantly lower fees (~SGD40K). However, you would have to prepare for the GMAT/GRE still and the course duration is also similar (1-2 years).

Networking and persistence are really key here. I would suggest looking at boutique funds and contacting the relevant personnel (more senior staff like managers/senior analysts), asking them if they are willing to meet up for coffee chats or informal interviews. Of course, you need to be very well-prepared for any questions and demonstrate interest (CFA, technical knowledge) for them to consider you as a potential hire.

Just my 2 cents.

Equity funds
 

Hi, which will you consider as good equity funds in Singapore? Both long only and hedge funds in terms of returns/career progression /culture/pay as a junior?

Am not the OP, graduated 3 years ago with a local uni biz degree
Worked as an accountant during this time

Am looking to breaking into finance, have been taking the CFA exams

Any advice for me

14 hours a day? wah damn shiok. my friends at CS half the analyst still online at 2-3am most days

point72 lor. starting grad pay 16k

For OP, if I'm in a top-tier BB in Singapore IBD ranking (so JPM/MS/CS), what kind of shops should I be looking to recruit on buy side apart from BX/KKR etc?

Will GIC be a good exit? Heard the pay is roughly the same but better hours

Which part of finance do you intend to break into? You can refer to the post by the OP of the thread if you are unsure.

Also, what sort of firm are you working in right now? Like in Big 4 or MNCs or local SMEs etc?

Think its decent but not the best. Culture can be bad, though maybe more on the public side.

Warburg pincus?

What kinds of transactions or investments do you want to work on?

Public markets, private markets, equity, credit, buyouts, growth, early stage, large-cap companies, mid-mkt companies etc.

GIC/Temasek don't pay the same as the others you mentioned if you factor in bonuses and carry but it's certainly a fit for the more risk averse.

Local MFin? lol, terrible advice

My point was that if you have to pick between a M7 MBA and MFin, MFin would be a more viable option for OP given his age and professional background, due to reasons which i have emphasized in my original post.

The key to breaking in will be to network and demonstrate serious interest by developing relevant skills and taking relevant certifications (ie CFA). A local MFin is a simply another value-add to the part of displaying interest. The main advantage of a local program is that it allows for geographical flexibility, easier for physical meet-ups or interviews, which would greatly facilitate the networking process.

It is almost impossible to break into larger or midsize funds/banks/IM companies for OP at this point, M7 MBA or MFin regardless. Best bet would be boutique shops in which an M7 MBA/overseas MFin does not really hold any significant advantage over a local MFin and might even count against a candidate.

I think the mistake you are making here is ignoring the option of just not doing either. Whereas an m7 mba or elite mfin undoubtedly has tremendous value but still may not justify the cost/opportunity cost, a local mfin has almost none in the context of getting into these roles.

I did consider it when i said these degrees are after all just complements or value-adds to networking and showing interest, which should be the priorities for OP.

At least for ER, there isn't much value to begin with even without factoring in the associated costs. Nobody is going to hire someone, be it for FT or interns, because they have an M7 MBA or elite MFin. The MBA or MFin don't matter to ER employers nearly (if at all i may say) as much as they do in IB/PE, so prestige alone does not really matter. The industry is also too small and competitive with so many well-qualified candidates with the relevant skills and knowledge.

The only significant value that they would offer would be opportunities to recruit for internships, something that a local MFin can offer as well. Networking and showing interest would still be key, be it for internships or FT, local or M7.

Hope I’m not going too off tangent here

How good must one’s math be?

I have a local uni acc degree, and am pending CFA level 2 exam results
Still find some of the math difficult

Was H1 math in JC

Leaning more towards private markets or real estate actually. What kind of firms for the latter?

Was looking at GPs like Campbell Lutyens...wonder how much do they pay. Though still very small outfit for these fundraising firms in sg

dosen't matter. all calculations done on excel.

unless you in s&t then maybe you need to have a good grasp of certain concepts

Seeking suggestions/advice on how to enter bulge IB after doing PE? Want to try IB because I feel that the bulge brand name, exposure and structure could be helpful in the long run

Am more aligned with this post
Was wondering for the OP, as opposed to doing nothing, wouldn’t some post grad help to indicate commitment and interest (though I agree too it wouldn’t be of exceedingly great help)

What else would you have the OP do, if not for some post grad qualifications

Received an offer for private equity associate position at a mid-cap fund. 120k base and 6-12 months bouns range...how does this compare to market?

need more info - how many years out of school are you - mba or not mba? any carry? new fund or longstanding fund?

the firm is on fund 2 now. 3 yrs out of undergrad and no mba (don't plan to).

you do know that good software engineers with lower pedigree but having experience in the domain sought out earn more right?? with stock options thrown in as well

Troll posting trying to eliminate competition in the job market?... What's your position in the industry and level of experience? Or are you a marketer with one of the programmes?

....ok and that is relevant because?

I have pretty much listed every route that is feasible for OP at this point in time. It is already tough as it is, with a rapidly shrinking ER industry since MIFID II.

His best bet would be to lateral into the Transaction Services / Valuation group since he is already in a Big 4, as i mentioned earlier. If he manages to do so, he would be able to acquire the all-important relevant work experience. The rest of the Breaking in is another tall order in itself.

If not, then he would simply have to work much harder on the other aspects.

If you are really hellbent on an MBA and don't mind shelling out SGD130K+, i would suggest giving INSEAD a look. In terms of prestige, it is probably on par with the M7s. It has a campus in Singapore and unlike M7s, it only requires one year to complete.

Oh really? Now i feel i am underpaid lol. Currently i work as quant analyst/developer for a medium sized global AM. Total 10 years of experience working as software engineer for BB IB but this is my first FO role thought. How much is the market rate given my exp?

I recently got admitted into top 3 US MBA (Wharton, Harvard, Stanford) that costs SGD$250k for two years. Will definitely have to take a significant loan to attend.

I would like to ask if anyone has a similar experience and can advise on whether it will be worth it to attend if goal is to be back in Singapore to be in PE/ hedge funds, and what will be the starting remuneration of an associate then.

Thanks in advance!