I see a lot of Jr. Level folks (myself included) in this bowl asking about certain finance exit opps like MM IB and PE etc.

At some point is the comp that much better?

From Big4 Transparency: S1/MCOL/2YOE/FDD making $97k. Managers MCOL close to $150k.

very Selective jobs( MF PE and BB IBs) kinda blow these numbers out of the water... but for the more attainable exits like MM IB and and corporate development... considering wlb and pay, is the grass much greener?

Thoughts?

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Two things to add:

(1) Experience and exits: joining FDD, you will effectively get out of audit (Test of Controls, cash recs, etc) but you’re still really holding down an accounting job. We’re not setting up models, preparing CIMs or negotiating entire M&A processes (only a part of the SPA), so when it comes to vying for a front-office investment team spot at a PE fund or a VC and doing the really interesting work, you are likely going to have a tough time getting in as they’ll likely take a banker first. Your focus in FDD will still be on historical period, setting up TBs, reviewing Audit WPs and other accounting things, which is what lots of people realize 6 months - 1 year into the FDD gig.

(2) Compensation: in FDD, you won’t sweat as hard as IB but you also won’t make what I call runaway money. There will be bonuses and pay raises, but it’s less likely that you’ll put yourself in a whole different tax bracket in 5-10 years that’ll provide you a new lifestyle. IB and PE, on the other hand, have roles where their comp can sometimes go up exponentially, giving them the chance to really make some crazy cash that could make up for the 3-5 years of sweating up front. Some PE Associates/VPs can be hitting $500k-1m before 35-40, which means they’re likely not sweating mortgage/kids tuition/retirement (if they’re good with their money).

The one question I still noodle with and wonder why no one asks here is: why do FDD people not think about shutting down shop, getting an MBA, going MBB/strategy consulting and skipping the whole world of FDD/IB/living in the excel spreadsheet?

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Getting to MBB from an MBA program is still no sure thing

I had a VP at HL give me some good advice about MM IB. FDD is not a typical path for entering IB and if you are going to join it’s going to probably be in a higher turnover group where you are being worked 7 days a week. Like last year was incredibly easy to join IB because they needed people cause every group was working insane hours. Same thing now, if a group is willing to take someone from TAS it’s gonna be a group with insane hours.

Get paid a lot of money but it’s a matter of do you want to work every day and every night. Personally leaving FDD cause I don’t think the exit ops are that great for me, but that’s just my opinion.

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Where at?

I mean currently I’m drowning in FDD. So even if I took a 0% raise on my exit my life would probably get better

funny

I’m just talking like regular exit ops

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From WLB perspective definitely not. From a pay perspective they most likely kill any TAS comp including A&M. Depends what you want in life.

Oh wow, forsure thanks

Some great insights here thanks

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