I recently spoke to a recruiter who made some interesting comments about career prospects and exit opportunities with Funds and PE (claimed Funds = same pay, fewer hours)—and that going into M&A would make the chances of switching to PE later on almost impossible.

I will start my two-year traineeship in London at a US firm this year and would appreciate any thoughts on starting a career in PE, Funds or M&A, currently leaning towards PE as my preference.

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93% of PE deal team hires come from investment banking M&A.
Only lawyers I’ve seen make the switch do so at extremely senior levels

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OP is talking about which practice to qualify into as a lawyer.

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M&A is general. Funds positions in house are very hard to fill.

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From a US perspective, that comment probably has some merit. From my experience interviewing for in-house PE/VC jobs, there are a lot more in-house jobs for Funds attorneys than there are for M&A attorneys. M&A attorneys just don't deal with the regulatory aspects of Funds quite as often as our Funds brethren. Additionally, my experience with big funds has been opposite their outside counsel on deals; I've never been opposite in-house m&a counsel on a deal except maybe at the LOI stage.

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OP I don’t know any firms that offer all three as part of a training contract. Are you querying whether there are better options to exit into PE, other than PE practice itself?

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My firm has PE and Funds as one seat and M&A as another. We are given one guaranteed seat, and due to how competitive both these seats are, I may not get the opportunity to do both. Yes, which option would provide greater career prospects and exit opportunities.

Yes take PE and Funds as the guaranteed if you’re aiming towards PE exit. There’s no shortage of exit opportunities for M&A though but these will be on the business side.

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