Skills learned in “high finance”

Dec 13, 2020 3 Comments

“High finance” (PE/VC/HF) is notoriously cliquey and most people come from similar H/S/W and IB backgrounds, making it hard for outsiders to break into the industry. Setting these signaling factors aside, what are the actual skills a senior associate/VP+ learns in the process of going through this pipeline? Would it be possible to teach those skills to someone outside the industry so that they (at least in theory) could also be an effective VP?

For instance, how much of being good at the job is analysis (which seems teachable) vs. learning the art of ass-kissing or politics or having a large network or writing and speaking well? People in the industry are smart — where does that intelligence mostly get used?

My frame of reference is SWEs in tech, who can much more accessibly learn the skills of a senior engineer by just reading some textbooks and working on a bunch of open source projects (I’m a SWE myself).

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TOP 3 Comments
  • New
    PE Guy

    New

    PE Guy
    Starts with all analysis and ends up being just needing to know how to read the outputs. Skill you learn is being boosted to a CEO role. You look at a diff business a week and quickly pick up what works, what doesn’t and how to manage / grow a company.
    Jan 26, 2021 0
  • Investment Management Firm
    Jampson

    Investment Management Firm

    Jampson
    At more senior levels in IB, very little of your success is to do with “technical” skills. It’s mostly soft / people skills based.

    In investing roles it can be different, but some of the skills you need are hard to learn from a book.
    e.g. in PE learning when it’s worth it to spend a bunch of money on due diligence vs cut your losses and walk away from a deal. Or learning how to tell whether someone in a management presentation really knows what they’re talking about or if they’re full of shit
    Dec 21, 2020 0
  • MongoDB / Eng
    FrEh60

    Go to company page MongoDB Eng

    FrEh60
    Following
    Dec 20, 2020 0