30 yr old, new CFA Charterholder - too old to break into equity research?

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Whoa Whoa Whoa, what is your definition of “Top University?”

And ER sucks brah. Dying industry.

No, not at all

Sell side ER - probably too old but no direct experience.

Buy side ER - not too old, direct experience.

I’m acutally in FI but know of a few guys that joined our ER team in their mid 30s. However, they were previously in PM roles.

I’m not in that of a high cost area (not NYC). Already saw 2 openings in the 80-90 range in my area already.

I feel like everything else in the investment world besides security analysis is just, well, fluff. I currently work in a fluff job now.

Don’t get me wrong - asset allocation and manager selection and trading and ops and marketing, etc is all fine and dandy, and some people love it. But I feel like the SMARTEST people in this industry gravitate to security analysis. That’s also where alot of the big money is (eventually).

It would make sense to at least see if I could hack it there. I can always fall back on a fluff job.

I don’t think you’re too old. I have about 7 years of experience on both buy and sell side (mostly buy) and I’ve seen numerous different routes into the industry. One of the most successful investors I personally know who has run his own investment firm for decades and has a 9 figure net worth didn’t get into the business until he was in his early 30s. Prior to that he was in accounting for a Fortune 500. He is a wizard with numbers.

The description you gave of your skills is a little sparse but I’m assuming if you can hack actuarial stuff, you are also good at math and probably accounting. If you email me at bromion1@gmail.com I can give you some specific recommendations about books and resources that you can use to make yourself as marketable as possible.

My guess is your best bet would be to get into another family office – they tend to have much more flexible hiring criteria and look for true generalists since you will be the right hand man (or one of them) for the family, rather than a pure analyst role, like you would be on the sell side. People I know at family offices have done everything from trading, to analysis, to portfolio management, to outside manager selection. You might have something to offer in some of those categories with the ability to learn the rest over time, but it depends on the family office and where you are located. They are not easy to get into and it is largely word of mouth / direct recommendations.

You’re right that the smartest people in the industry work in security analysis (and quantitative trading).

One thing I wouldn’t do is waste lots of time writing and modeling 15-20 companies. Three research samples is plenty and modeling stuff out to the nth degree is largely a waste of time anyway except for the sell side. Also, no one is going to read 15-20 reports.

Good luck.

what are your thoughts on working in manager research/asset allocation/risk management?

do you gain any tangible skills or is it a lot of unusable research? can it help if someone wanted to work as a Junior PM at a buyside firm for example?

It’s not bad. But you aren’t really on the “front lines”. You are kind of picking guys who pick securities, so you are one level removed from the action. And that one level introduces tons of ambiguity and makes it difficult to really be “skilled” in manager selection. The asset allocation part is important, but again, just pulling macro details and making guesses doesn’t really become too much of a quantifiable skill. Risk management is important, if nothing else than to teach you some risk management skills if you want to be a PM someday.

The bottom line is that is is definitely a good place to be for a year or two while you get your CFA and get your portfolio set up on the sidelines. You are aruond the industry and in touch with all the major asset classes.

I stayed at mine way too long and should have pushed for an ER position somewhere else several years ago.

working at a fund-of-funds picking investment managers isn’t too bad a gig. If you’re 40s-50s, want a good work-life balance, it’s a pretty good job.

It’s generally not appealing for young ambitious folks though

I agree with itera on all points here. Definitely a good work-life balance. Not really where the money is though, but you should be ok.

As for me, I would rather DO the work than pick guys who DO the work. Feel like a phony sometimes.

Mad respect at the thread responeses. To the OP, don’t ask us for permission, get out there and get it!

Nothing ventured, nothing gained.

If you can imagine it, you can create it. If you can dream it, you can become it.

One thing I know for sure: one day you’ll be 50 and realise how much it is ridiculous to believe that you couldn’t make it at 35, which is still a relatively young age.

Exactly. Anyone who says “I’m too old” will only get older. Might as well go for it while I still look young (a guy I was golfing with the other day asked me if i was 23-24 years old).

Is 24 years old too old for anything in finance? I am still finishing uni (one more semester to go) and it is depressing me see all my classmates exceed me. Not to mention, I’ve always gotten that I look older (most people say 28-30 yrs old), which may hurt my chances with interviewers.

I got into finance at 29. Until you are 30 no one will bat an eye. It seems like 20’s are the period most people are still figuring out what they want to do, so why would they care.

I figure they would just ask why it took you until you are 24 to get your degree. As long as you have a good explanation you’d be fine I think.

A couple things…started school late b/c I basically flunked high school and had to upgarde so I didn’t start school until I was 19 years old. I also took 1.5 years off to work in a full time position with a few classes remaining in my degree b/c I was pretty burnt out.