Elite Boutique Investment Banks (Pros and Cons)

Рет қаралды 63,413

Күн бұрын

💡 Get the #1 Private Equity recruiting course, which comes with 3-statement LBO model tests, mega fund case studies, and headhunter coverage: bit.ly/PF-PrivateEquity
📚 Free recruiting resources: peakframeworks.com
There are two main categories of investment banks elite boutiques and bulge brackets. Elite boutiques (like Evercore, Lazard, Centerview) are firms specifically focused on investment banking advisory. They don't have lending balance sheets and don't focus as much on other business units.
Elite boutiques tend to pay more and are more transparent with analysts recruiting to the buyside. Bulge bracket firms (like Goldman, Morgan Stanley) have much better brands outside of finance and are better for lateral opportunities into other divisions. In truth, it makes more sense to decide on a firm by firm basis, but whether you go to an elite boutique or bulge bracket will impact your day to day job.
** Full Blog Post: bit.ly/PF-EliteBoutique
0:00 - Intro
1:31 - Key Characteristics of Elite Boutiques
3:56 - List of Elite Boutiques
4:34 - Pros of Elite Boutiques
5:39 - Cons of Elite Boutiques
7:30 - Conclusion
Peak Frameworks is a business career prep service started by Matt Ting and Patrick Fong, who have each spent several years working in investment banking and private equity in New York and Silicon Valley. Matt and Patrick met at Evercore, a top tier investment bank, and over the years have tutored and coached dozens of candidates to land their dream business job.
Matt Ting: / matthewting
Patrick Fong (HBS 2021): / patrick-fong-0b773041
#InvestmentBanking #EliteBoutiques #Finance

Пікірлер: 57

@halcowan9309 3 жыл бұрын

Really enjoy watching this guy, he seems so happy!

@ekanem2954 4 жыл бұрын

great videos man!

@philipparkes2982 3 жыл бұрын

I would love a video about what "financing" is and how bulge brackets give you better opportunities on that! It seems like if you can get a top group at a BB, there's no better place to be unless you know you're destined for IB partnership, in which case, the purist boutique route may make sense.

@philipparkes2982 3 жыл бұрын

Informative video. It seems like, basically, the benefits of the elite boutiques vs. bulge brackets accrue in proportion to how long you stay. That's consistent with what I've heard about some boutique shops asking for a 3 year committment and clawing back bonuses if you leave early. It seems like a place to go if you really want to be there, whereas GS / MS / JPM etc your breadth of experience is wider and so its easier to leave early.

@PeakFrameworks 3 жыл бұрын

I think only Centerview does the clawback of the top boutiques. I would say it's as easy to leave places like Moelis / Evercore / Lazard for top exit opps as it is for GS / MS / JPM. Some elite boutiques are actually more supportive of recruiting.

@notcesar2786 25 күн бұрын

Hey great video, very informative and helpful! I am an incoming freshman into SDSU (San Diego state) for an undergrad major in finance. Given that SDSU isn’t a target school, would it be better for me to try to transfer to an investment banking target school going into my junior year or just stay at SDSU and try to stand out among my other peers as much as possible? Why or why not?

@michaelb1544 3 жыл бұрын

Is there a list of books you would recommend reading to prep yourself for a post-MBA job at an EB?

@user-lh8fi8xi9z 4 жыл бұрын

can you make a video about your own education and career path?

@PeakFrameworks 4 жыл бұрын

Haha, I didn't realize people would actually be interested in that! I'll definitely put that on the list. I studied at Ivey then went to Evercore and then Providence Equity. I summered at Silver Lake back when I was in school.

@RandageJr 4 жыл бұрын

Great video as always, do you think elite boutique recruiting is more condensed to a specific group of people (due to its low profile style) or the opportunities are standardized?

@PeakFrameworks 4 жыл бұрын

Let me know if this answers your question or feel free to re-ask. There's a big variance among different elite boutique firms (like PJT and Evercore vs. Houlihan). I would say there's less variance among groups at each elite boutique. Groups at elite boutiques don't have as well known reputations. I don't think group placement matters too much at elite boutiques (e.g. TMT vs. consumer) because some groups only have 1 or 2 analysts. Group placement matters a ton at BBs and the opportunities are way less standardized.

@joeyvo9334 4 жыл бұрын

Can you make a video about technical skills that would be beneficial and make your resume looks better for investment banking jobs. Thanks!

@PeakFrameworks 4 жыл бұрын

Sure, we'll add that to the list! Most important thing is getting any finance related internships and having good extra-curriculars. After that, it'd be having relevant finance stock pitches / case competitions. I don't think there are any pure technical skills that are too coveted for banking and private equity.

@prithakshrestha 4 жыл бұрын

can you also make videos about investment banking during Corona virus and after?

@PeakFrameworks 4 жыл бұрын

Yes, we can also put that on the list!

@20-NYC 3 жыл бұрын

Can you please do a video on why investment bankers work so many hours and why it’s acceptable to have that kinda environment

@PeakFrameworks 3 жыл бұрын

This is pretty close kzfaq.info/get/bejne/rsCEiLmVuJ_XhYU.html

@juliuswendenburg4874 11 ай бұрын

Great vido. Why is rothschild not on the list?

@ZZ-lk3mn 3 жыл бұрын

Thoughts on the different groups at PWP? I'm interested in tech banking, but their SF TMT group seems meh.

@PeakFrameworks 3 жыл бұрын

Don't know much about that specific group personally. I don't think they're a huge TMT bank though. I also don't think PWP is that great of an EB, would prefer the majority of other EBs over it personally.

@mohammadezzeddine400 3 жыл бұрын

hey matt, u talked about not being exposed to debt tends to be a problem when u move to a PE firm. Do corporate banking have a good chance in PE because the work with debt ?

@PeakFrameworks 3 жыл бұрын

I would still rather do IB instead of corporate banking. Corporate banking in general tends to have much worse exits. They typically don't get tapped for on-cycle recruiting. Even if they get marginally more exposure to debt, I think it tends to be in a lending capacity and not deal structuring / investing.

@raheemabid3997 3 жыл бұрын

Great video! Do you think these pros/cons hold steady for someone going into IB after an MBA as an associate?

@PeakFrameworks 3 жыл бұрын

Yes generally. I think the pay gap is even wider between EBs and BBs beyond the analyst level.

@akmalkarim5145 3 жыл бұрын

How do u think the diffs between big 4 M&A vs boutique IB?

@PeakFrameworks 3 жыл бұрын

Good question, depends on what you mean by boutique. Elite boutique that I've mentioned here? Definitely not. If you mean a small regional firm that does like sub

@deepengoradia6803 3 жыл бұрын

Do you know how good TMT at Lazard is in Boston?

@PeakFrameworks 3 жыл бұрын

I think pretty good. I would still prefer to be in SF or NY for pure TMT, but I think Lazard Boston still does some deals and exits fine. There are enough Boston specific PE firms that they should consistently get looks.

@packopener7543 Жыл бұрын

Any idea what center view pays their 1st and 2nd year IB analysts?

@sickmindon 3 жыл бұрын

I know this video is from a while ago, but in your opinion, is career banking more feasible at an EB or a BB? Which one would you say is better?

@PeakFrameworks 3 жыл бұрын

I would say EB marginally. Both are tough, but EB you tend to rise faster and get paid more. Hard to say which is "better", BBs have better brands and GS / MS are still going to have better exits at the associate+ level.

@sickmindon 3 жыл бұрын

@@PeakFrameworks hey man thanks for the response really appreciate it!

@jadeonyt4739 2 жыл бұрын

Love the video! But slightly incorrect as some elite boutiques do do underwriting!

@PeakFrameworks 2 жыл бұрын

That is true! I've still never seen an EB lead an underwriting and I can't think of any EBs that have it as a meaningful part of their business. When I was at Evercore, I saw that they were sometimes on IPOs, but I think it was mostly distributing shares to investors and not actually buying large quantities of shares.

@sommysarkeshik164 4 жыл бұрын

Would most PE firms still favor Goldman/JPM over the top elite boutiques?

@habibbialikafe339 4 жыл бұрын

i think it depends.A PE firm that specializes in tech and growth equity will prefer a TMT analyst from evercore over a JPM industrials analyst. A PE firm could have most of the workers coming from an EB so the connection is strong. With all else equal, they will prob prefer the BB tho

@PeakFrameworks 4 жыл бұрын

I personally think GS / MS > Top EBs > Other BBs. JPM isn't quite on the same level. Honestly, the advantage is really slim on the margin and changes on a year by year basis, so it's hard to speak in pure absolutes. If you're at any top 10 BB or EB in a group that does deals, you'll get interviews and your school / other factors will matter more.

@dav676 3 жыл бұрын

Evercore/centerview is better than GS/MS/JPM. A lot of my friends who made it in gs and jpm eventually transitioned to elite boutiques.

@vilisakarry 2 жыл бұрын

@@PeakFrameworks what do you mean JPM isn't quite on the same level?

@chilaw5214 11 ай бұрын

It seem JPM isn’t in the same tier with top BB according to Peak Frameworks! He even put BA and Barclays alongside GS/MS let alone EB’s! Wonder why?

@JohnPhamHealth 3 жыл бұрын

I'm debating between management consulting and investing associate. I have about a decade of experiences working in healthcare, more on patient care side (EMT/Hospital Dispatcher/Psyward/Behavior) in CA, US. No exp on finance besides being part-time home trader w/ focus on VIX/blue chips. Doing my MHA atm, how strict are the boutiques and bulge brackets with their hiring requirements for an associate in the US?

@PeakFrameworks 3 жыл бұрын

I think consulting is probably more achievable from your background. If you don't have any finance background, you generally need an MBA to break into banking if you're already a decade out of school.

@JohnPhamHealth 3 жыл бұрын

@@PeakFrameworks thanks! really appreciate the advice. So, no chance at all for junior IB analyst either?

@shivambrahmbhatt9190 3 жыл бұрын

You said Centerview pays an insane amount of money compared to the other EBs, but how much does it pay a first year analyst, all-in?

@PeakFrameworks 3 жыл бұрын

I would guess high $100k at least, like $180-$190k. It starts to really scale in your second in 3rd year though. I think top 3rd year analysts make more than most PE associates.

@shivambrahmbhatt9190 3 жыл бұрын

@@PeakFrameworks gotcha, thanks for the info and high-quality content, much appreciated!

@jasonyu6359 3 жыл бұрын

How about MMs like Blair / RJ?

@PeakFrameworks 3 жыл бұрын

Blair is pretty good and excellent at what they do (MM software deals), but I'd still take these other EBs over Blair as a first job. If you discover that you want to do MM software or something else, you should be able to easily move to it afterwards. RJ I would say does not have as much of an imprint.

@kwangyijie 4 жыл бұрын

Are the cons you mention the reasons why you’d prefer to have been at a top group at GS/MS over EVR? Or were there other reasons?

@PeakFrameworks 4 жыл бұрын

IMO, the exits at good groups at GS/MS are still better than any other elite boutique. Group placement matters a lot more at BBs. You'll get more non-finance opportunities (like product or strategy in tech companies) and the brand is stronger.

@GreifNation 3 жыл бұрын

No offense but how was Citigroup, JP Morgan and Jefferies not included?

@PeakFrameworks 3 жыл бұрын

Not sure if you’re trolling but none of those are elite boutiques. They all have balance sheets and do a ton of lending. JPM and Citi are bulge brackets and have tons of other divisions. Jefferies is a huge lender.

@GreifNation 3 жыл бұрын

@@PeakFrameworks not trolling given you named BBs at the start but happened to forget JPM & Opted for Barclays instead which is smaller than JPM and Citi. Also was just trying to show some love to Jefferies, they are obviously not a Boutique

@GreifNation 3 жыл бұрын

@@PeakFrameworks the fact that I am marking up an Escrow Agreement rn instead of sleeping got me triggered I guess. I am at the tail end of a 72 hour work binge. My apologies for coming off hostile, should probably get some sleep soon lol