Folks, I am a senior analyst for an european investment bank out of Brazil. I am turning 25 this month, and I am done with all CFA exams, just need another year of work experience We havent had a very exciting 2011 and bonus was very dissapointing, so I am testing the waters and looking for some opportunities in PEs and other IBs. In the meantime, I have kept in touch with a friend of mine who used to work for a top tier bank and started his own tech firm. He always said he was doing really well (smart phone app development), But recently hes been in the media, and I am not as skepktical as I once was. He had 12 MM US in revenues in 2011 and plans to double that this year. Company is 3 years old, and there are about 25-30 ppl working for him. There s been some talking between us about the possibility of me come working for him, as his CFO, responsible for attracting funds and likes, working with him on business plans, doing info memos and presentations to potential investors and so on, and I am giving it some thought. We talked stock options that would vest in 3-4 years, he first offered me a lower base than im currently making but that is definitely negotiable…i think… I wonder if anybody went trought that and if that would be a smart move, pros and cons, if it dont work out how easy would it be to get back to banking and so on… Any insights are appreciated!
i read that there are less than ~300 charterholders in Brazil so im guessing the CFA has real value there. i would stay in the industry for another few years, see what happens. are you in portfolio management or IB?
I have this impression that in Brazil kids start working full time 2 years into college and are basically dinosaurs by the age of 26 with no real incentive to get the CFA?
Dinosaurs at age 26? Then experienced PM’s are what? Sweet crude?
I would take the start up job if it looks legit, provided he plans to exit in the next couple of years to some dumb money. Your risk is that the bubble won’t last that long. If it does last, you might cash out big and can go back to an IB / IM job in Brazil. Brazil will be an up and comer for a long time and the candidate base there is not as saturated as it is elsewhere in the world. If you already have the CFA done + some good experience, it will be easy to get another job. You are young enough where you can take a risk and maybe make some crazy money if the deal pencils out.
Take the risk, you’re only 25 if it doesn’t work there will alwys be opportunities for you.
no brainer …ur 25 take the risk …at your age ur wealth should be all invested in risky stocks anyway…give it a 3 year go…
Appreciate the response guys…
About brazilians beig dinossaurs by 26 it is mostly true, I was eduacted in the States and I was WAY behind when I graduated and the learning curve for me was steep. People actually intern, working 8, 10 hours a day since they´re two years into college…
Going back to the point, how much more (or less), do you guys think I should accept in relation to my current base, to like be on the SML, what would be fair?
My friend (the entrepeneur) had a CFO before who was a Harvard MBA, and let him go after 2 months because he couldn´t close on an equity aport at the valuation he wanted with a PE…This guy is tough, and if it dont work out, there goes a friend, at least
He paid him 5k net a month and 1,5|% of the companym vesting in two years , instead of 7k net a month and 1%…
++++1
USD?
i really think 5k USD/month (yearly avg.) in Brazil with the CFA charter is very LOW…
without enough information on the prospects of this venture… (instagram was co-founder is a brazilian) i suggest staying with the IB… tryt jumping into the buyside. the PE firms down there have a serious shortage of qualified “bankers” and the CFA brings you right to the top.
I would look at valuation report and judge for yourself if your friend was fair. I would stay 10000 feet away from bogus valuations
I’m in a very similar situation. The company I am talking to works with smartphones and is a combination of hardware and software. It is a new innovative device that could possibly take over the market for a few years before Google and a few other companies are on the same playing field. I worked for a Fortune 50 company before and I am looking for a smaller company that is new, fun, and challenging. They have about 30 people now, but will have up to 120 by the end of this year. Did you end up going with the new firm?