What IB groups are best for getting into HF?

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1. Getting into a hedge fund as a long/short analyst, especially from a non-target school, can indeed be challenging, but certain investment banking (IB) groups tend to provide a better foundation for this career path. Here are some considerations regarding which IB groups may serve you well:

   1. Investment Banking Groups:
   2. M&A (Mergers & Acquisitions): This group is highly sought after because it provides a broad exposure to different industries and business models, enhancing your understanding of firm valuations and strategic rationale, which is crucial for a long/short analyst role.
   3. Equity Research: If you can get into an equity research group, it can be very relevant, as you’ll learn how to analyze companies from a fundamental perspective, which aligns closely with the skills needed in long/short investing.

   4. Sector Coverage Groups (e.g., Healthcare, Tech, Consumer): Being part of a coverage team focusing on sectors that interest you can help you develop a deep expertise in those industries, making it easier to assess companies and investments in future roles.

   5. Banks:

   6. Bulge Bracket Banks: Names like Goldman Sachs, JPMorgan, and Morgan Stanley are recognized by hedge funds, and working there may grant you access to a strong network.
   7. Elite Boutique Firms (e.g., Evercore, Moelis, Centerview): These firms often work on high-stakes deals and can provide you with high-quality training, which can be very attractive to hedge funds.

   8. Regional Boutiques: Sometimes overlooked, but if you land a solid deal flow at a well-regarded boutique in your target industry, it can still lead to opportunities in hedge funds.

   9. How Groups Contribute:

   10. Skill Development: M&A work hones your analytical skills, valuation techniques, and understanding of financial modeling, all essential for hedge fund roles.
   11. Networking Opportunities: Groups that are involved in high-profile transactions often have the ear of institutional investors and hedge funds, which could help you make strategic connections.
   12. Exit Opportunities: Some IB groups have a stronger history of placing analysts into hedge funds due to the partnerships and relationships they’ve built over time.

   Ultimately, the best approach is to focus on obtaining solid technical skills, building a relevant network, and gaining a deep understanding of the industries that interest you. Consistently demonstrating your analytical skills and passion for investing will help position you well for an analyst role at a hedge fund, regardless of your starting point.

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