Relatively stronger industries for employment?

For those of us looking for a job in investment banking or something related, it’s going to be very difficult. I’ve read many say that it’s best to just stay away from ibanking and related positions for at least 1-2 years, until (if) the industry recovers and begins hiring again. Unemployment is at 6.1%, and the U.S. lost 159,000 jobs in September. It’s not a pretty picture. Still, banking has to be close to the bottom in terms of opportunities at this point, so finding relatively stronger industries and possibly corp finance positions may be a better way to go, in the short-term. So, what are some of the stronger industries in terms of hiring (relatively)? Anyone having success in terms of landing interviews and jobs for positions outside of the banking world? Personally, that’s what I’m beginning to consider as I want to expand my options in my job search.

Well, probably demand for security services will increase. Though that might be where you want to go. Asset management should fare better than banking - after all, people and institutions still need to figure out how to manage their money. Some people and a few institutions may be completely wiped out, and the asset base will be poorer, but there is still a need. If shorting comes back, opportunities will be better: the worry is that with poor prospects, people may pull money out of long only entities and stay in cash instruments, though the threat of inflation may counteract that. Of course, although the asset management industry will still exist and be needed, the competition for those jobs will increase. In the short term, having a CFA designation may help after all - at least until all the laid off bankers get them. Education may be useful as people try to retrain for something.

bchadwick Wrote: ------------------------------------------------------- > Well, probably demand for security services will > increase. Though that might be where you want to > go. > > Asset management should fare better than banking - > after all, people and institutions still need to > figure out how to manage their money. Some people > and a few institutions may be completely wiped > out, and the asset base will be poorer, but there > is still a need. If shorting comes back, > opportunities will be better: the worry is that > with poor prospects, people may pull money out of > long only entities and stay in cash instruments, > though the threat of inflation may counteract > that. > > Of course, although the asset management industry > will still exist and be needed, the competition > for those jobs will increase. In the short term, > having a CFA designation may help after all - at > least until all the laid off bankers get them. > > Education may be useful as people try to retrain > for something. I was thinking that it might be best to check out corp fin roles, and avoid banking/asset management/research/etc. I’m going to be a college graduate, and so, some of the “higher up” fields in finance are out of the question for me, regardless. That’s why I was maybe considering possible finance roles at some of the tech firms out on the west coast or something in Texas where things may be relatively better, but that’s something I hadn’t really thought about or looked into in the past, so don’t know much about it.

Corp Fin seems like a decent place to be if you want to be doing stuff financially oriented. And Corp Fin is experience that CFAI recognizes, if that’s important to you. Corporations will still be needing to know whether they should be using debt or equity to finance stuff. They’ll want to know whether specific projects are expected to come up with positive NPVs or not. You will be competing with unemployed investment bankers for that one too, so it will be a challenge, but it certainly could be an interesting role.

bchadwick Wrote: ------------------------------------------------------- > Corp Fin seems like a decent place to be if you > want to be doing stuff financially oriented. And > Corp Fin is experience that CFAI recognizes, if > that’s important to you. > > Corporations will still be needing to know whether > they should be using debt or equity to finance > stuff. They’ll want to know whether specific > projects are expected to come up with positive > NPVs or not. > > You will be competing with unemployed investment > bankers for that one too, so it will be a > challenge, but it certainly could be an > interesting role. I’m an Economics major, and I had hoped to break into either ibanking or equity research. At this point, I’m just trying to consider other options outside of that industry because it’s obviously ugly. I do eventually want to get into research, it just seems like now might not be the best chance to do so. I’m hoping that the corp fin roles are at least a good place to be for a couple years, and then I can transition over. Does that sound reasonable, or am I off the mark? Also, what are some of the roles available at the entry-level (e.g. junior financial analyst), and are any industries better off than others, atm? I know you mentioned that unemployed bankers will be competing for these positions as well, and that’s something that I’m trying to avoid. I figure, at the entry-level, I wouldn’t have to deal with the former bankers, since they would be looking for more senior positions.

I second what someone said about asset management being still ok. Large fund managers, not relying on performance fees, can afford to be counter-cyclical in their hiring.

There are a lot of security jobs in nyc on the craiglist. I would even consider doing it when I get laid off. :slight_smile: However, pay is low 8-13 bucks. For armed guards, the pay is 25+ an hour.