I feel like Chicken Little sometimes, because I’m always concerned with job security. In some ways, I think I’ve probably stayed here so long because the firm doesn’t really cut you unless you screw something up. But, with the recent hardships on our group, due to a decline (to virtually zero) in ABS deal volume, I’m starting to wonder if this is really the place I want to be. I’ve been reaching out to several recruiters and they’ve come up with two interesting opportunities. The first is in equity research about 45 miles north of where I live. Since I am absolutely against living up there, I would have to drive/train it up there every day. The company is a small asset management firm which focuses on high net worth individuals, familes, and foundations. The second position is a research analyst at a hedge fund located about 7 miles from my house. The fund has a successful 4-year track record, and they are curently looking to expand. Both jobs sound much more interesting than what I’m currently doing, and I wouldn’t be opposed to making the switch. However, I still worry about whether it would be wise to jump over to a riskier position, even during a time when my current position has more risk than before. Do any of you ever have similar concerns when you take a job, or are you confident that you’ll find something else if the company experiences cutbacks?
I don’t know what has more risk than ABS at this point in time. SIVs, ABS, CDOs, CLOs, CBOs, etc. are dead. I’d lever up your experience and expand. But trust your gut after thinking about it - obviously you are concerned, and these concerns are coming from somewhere (probably your common sense, but you are in a little bit of disbelief)
If I were you, I will jump ship. I think your current job is riskier than the two other jobs you mentioned at this point.
BosyBillups Wrote: ------------------------------------------------------- > I don’t know what has more risk than ABS at this > point in time. SIVs, ABS, CDOs, CLOs, CBOs, etc. > are dead. I’d lever up your experience and > expand. But trust your gut after thinking about > it - obviously you are concerned, and these > concerns are coming from somewhere (probably your > common sense, but you are in a little bit of > disbelief) Well, my job description isn’t completely comprised of ABS deal work. I’ve been going out to clients and doing some advisory and audit assist work. But, it’s not really adding experience I would want to leverage when I decide to leave. So it’s essentially like I’m wasting time. That, and I get a bit worried when I ask my manager what type of engagements are on the horizon, only to hear “To be honest, I’m not really sure yet.” With that said, how risky is working for a small AM firm or a successful hedge fund?
I think working for a small AM is cool since smaller firms make their employees to more multidisciplinary tasks. A successful hedge fund may be good place, but I would see what style they are and make sure they are stearing clear, or have steared clear from the subprime/siv/ problems (just look at their year performance).
BosyBillups Wrote: ------------------------------------------------------- > I think working for a small AM is cool since > smaller firms make their employees to more > multidisciplinary tasks. A successful hedge fund > may be good place, but I would see what style they > are and make sure they are stearing clear, or have > steared clear from the subprime/siv/ problems > (just look at their year performance). According to the description, the fund follows a fundamental, value-investing strategy with a long-term investment perspective.
That seems more like a bond fund 
Well - the fist thing you have to assess is your current position, your family, living arrangements. And if you are actively searching, then go for it and find the best opportunities. I would just keep in mind that we may be headed for a financial slowdown, so perhaps a “bigger” firm might be more safe. But man, even that’s not safe (i.e., Citi). Keep your head up, do your research, and trust your gut.
What jobs could each of these positions lead to? Equity Analyst at AM Firm vs. Research Associate at Hedge Fund. Thanks again everybody. I appreciate your feedback.
Equity Analyst at AM Firm - If the AM firm is small, this could evolve to either a PM role or a more senior analyst role depending on your track record/stock picking skills. Probably translates to an analyst role at a larger firm if you made a jump. Research Associate at Hedge Fund - Could go any way depending on the PMs you are working with…you could get some or none of their book. Not that dissimilar from the AM situation but more chance for PM experience along the way. Probably good networking opportunities at either spot. You could ask them what level of attention they get from the sell-side or have any sell-side friends ask around to see what grade account they are. That may help to some extent. my2cents
Only the paranoid survive. Some really good advice I got was to always have your resume updated and always have the radar on for new opportunities. I wasn’t following that advice for a while, but I’ve corrected the situation recently.
MeddlingKids Wrote: ------------------------------------------------------- > Both jobs sound much more interesting than what > I’m currently doing, and I wouldn’t be opposed to > making the switch. However, I still worry about > whether it would be wise to jump over to a riskier > position, even during a time when my current > position has more risk than before. Your concerns are valid > Do any of you ever have similar concerns when you > take a job, or are you confident that you’ll find > something else if the company experiences > cutbacks? You can never be confident that you have another opportunity unless you already have an offer signed, sealed, and delivered. I think in general, people in finance should always be on the lookout.
I work with CDOs. The handwriting is being currently tattooed on my forehead.
MeddlingKids Wrote: ------------------------------------------------------- > BosyBillups Wrote: > -------------------------------------------------- > ----- > > I think working for a small AM is cool since > > smaller firms make their employees to more > > multidisciplinary tasks. A successful hedge > fund > > may be good place, but I would see what style > they > > are and make sure they are stearing clear, or > have > > steared clear from the subprime/siv/ problems > > (just look at their year performance). > > According to the description, the fund follows a > fundamental, value-investing strategy with a > long-term investment perspective. Yes, it certainly does sound like a bond fund. Is that a bad thing? I went ahead and submitted my resume for it to see what happens.