Breaking into Equity Research
Hey everyone! I graduated last May with a degree in Economics and a minor in finance from a semi-target school. Right now, I’m working in the tech division of a bank, but I realized my passion for Equity Research later in my senior year, which is why I didn’t secure a role straight out of college.
I’ve been in my current position for about 8 months, and I’m planning to take the CFA Level 1 exam in May. To enhance my modeling skills, I’ve been utilizing various online resources. Additionally, I’m working part-time as an Equity Research analyst for a former portfolio manager. It’s been hectic, but I’m determined to transition from my current unrelated role.
I’d love to hear any advice on making this leap! Although I haven’t created any yet, I’m considering putting together a few stock pitches as well.
I’m specifically interested in sell-side Equity Research, but my long-term goal is to move to the buy-side. I’m also contemplating pursuing an MBA down the line, but that’s something I’ll focus on later.
Thanks in advance for your help!
One response
It sounds like you’re on the right track, and it’s great to see your proactive approach to breaking into sell-side equity research (ER)! Here are some tips that might help you along your journey:
Networking: Leverage your existing connections and make new ones in the industry. Attend finance or investment-related events, join LinkedIn groups, and engage with professionals in ER. Informational interviews can provide valuable insights and potentially lead to referrals for open positions.
Stock Pitches: As you mentioned, putting together stock pitches is an excellent idea. Make sure they are well-researched and demonstrate your analytical skills. Consider sharing these pitches on platforms like Seeking Alpha or your personal blog to showcase your work to potential employers.
Resume Tailoring: When applying for ER positions, tailor your resume to highlight any relevant skills and experiences, even from your bank tech role. Focus on analytical tasks, teamwork, and any finance-related projects you’ve worked on.
Mentorship: Seek out a mentor in the industry who can provide guidance and feedback on your progress. They may also help you navigate the job market or introduce you to key contacts.
Continued Education: While you’re preparing for the CFA L1 and improving your modeling skills, consider taking part in virtual seminars, workshops, or certifications related to equity research that can bolster your resume.
Interview Prep: Prepare for interview questions specific to sell-side ER. Familiarize yourself with common valuation techniques, financial modeling, and current market trends. Practice case studies and technical questions, as they’ll likely come up in interviews.
Stay Informed: Regularly read financial news, reports, and research to stay updated on industry trends and developments. This will not only enhance your knowledge but also improve your discussions with industry professionals.
Long-Term Goals: Keep your long-term goal of transitioning to the buy-side in mind. Building relationships and gaining relevant experience in sell-side research will be valuable as you make that move in the future.
Overall, persistence and a proactive approach will be key. Keep building your skills, making connections, and putting yourself out there. Best of luck in your transition to equity research!