M&I Article: How to Break into Equity Research

Hi All, Some of you have probably seen this already, but I recently participated in a 2-hour interview with the team at Mergers & Inquisitions for a segment they are doing on Equity Research. Part I of the interview, entitled “Buy, Sell, or Hold: How to Break Into Equity Research and Pitch Stocks Like a Pro,” was posted this morning. You can see it here: http://www.mergersandinquisitions.com/equity-research-recruiting/ Many of you have questions about getting into equity research, how to pitch stocks, what interviews are like, and so forth, and this article addresses those very questions. If you’re serious about getting into research, I recommend perusing this article so you can find out how to separate yourself from the rest of the pack. I also tried to tailor my responses to help people that recently started working in equity research to understand how to add value – and thereby jumpstarting your career – by doing things other than building models and writing reports. The site provides a number of other resources, including a free newsletter with articles covering a broad range of topics related to the investment banking, private equity and equity research world. Enjoy, Numi

I got to the section about the CFA I got to say, trying to complete all 3 levels working as an ER associate is TOUGH. unless you got a very chill boss who gives you time to study generally you can kiss away earnings (2-3 full weeks of madness). And in ER there’s always something you can do, your senior makes or breaks your whole experience It’s best to complete L2 before entering ER.

^ yes I’m talking sell-side of course

i don’t see how (or why) you ld be in equity research and also do human resource / recruitment service provision on the side? is the money that bad? i had an interview on Monday for a sell side equity research associate position and the analyst pretty much told me that on good days they come in at 7 or 8 in the morning and leave at 7 p.m. and that associates usually stay longer. what motivates you to do recruitment after that? also the money that they discussed with me was quite descent from my point of view.

I don’t work in equity research anymore (this should be evident after reading the first “Q&A” in teh article) – I’m actually in business school and interning at a hedge fund this summer. The money in equity research was pretty good back then and it’s still quite good now. I don’t do recruiting for any of the banks – just provide career advisory to people wanting to get into buy-side or sell-side roles, and occasionally do refer clients to banks where I have relationships if I think there is a good fit.

^ thanks for the reply, AND for the link to the article, i will read this thoroughly if i get to go to round 2 :wink:

thanks for the article. it was a great read. also, thanks for simply being willing to talk/advice other people on the industry. personally speaking, as someone who has no connections in the industry knowing that there are guys like you is incredibly comforting.

No problem Penny-wenny. Also, regarding the hours you quoted – I think those are pretty spot-on. When I worked in sell-side research, I’d be in the office by 7:30AM and leave by 7:00PM; if companies reported after the close I’d be there till 11PM or so. Also it’s not necessarily that you’re working ALL the time – there is some downtime during the day – but then there are other days when clients are calling you for this and that, and so between answering calls and trying to help them with stuff, you just have to factor that into your daily ritual as well. I guess that’s just the way that client services work. kmm1486, glad you enjoyed the article and that you found my impressions helpful. I think it’s important for people to hear both the pro’s and con’s so that they can make informed career decisions, so I try to offer a balanced perspective. I’m sure the Mergers & Inquisitions team will appreciate the positive feedback about the article. They have a great team of writers and editors there, and they’ve done wonders as far as informing younger professionals about what a “day in the life” is really like. As an interviewee, my role was pretty easy.

what is the money like in sell side equity research associate roles in NYC?

Good stuff - thanks numi.

good stuff - thanks numi! I love M&I. I remember I requested an article on ER about a year ago…glad they finally got it.

You’re welcome guys – glad you enjoyed the read. Stay tuned for Part II in 2-3 weeks.