Comments on: On the Job as an Associate Portfolio Manager in Asset Management: The Fastest Path to Becoming the Next Warren Buffett?

By: M&I - Brian

M&I - Brian — Mon, 10 Jul 2023 22:29:55 +0000

In reply to John. Thanks for your suggestion. We don't have anything like that currently, but I'll see if we can cover it in the future.

By: John

John — Sat, 01 Jul 2023 02:25:47 +0000

Can you make an article on how someone could switch assets within an asset management firm? For example, going from high yield as an investment analyst to perhaps equities as an analyst.

By: Eddie

Eddie — Wed, 14 Jul 2021 00:13:29 +0000

It seems like a msf will help someone get into asset management if someone is coming from a non finance background

By: M&I - Brian

M&I - Brian — Wed, 26 Jul 2017 03:47:29 +0000

In reply to Raphael Ferreira. I don't know the average # of years across all firms, but it might be around 5-7 depending on performance, the fund's size, and so on. After that, maybe a few more years to reach portfolio manager. The main factor is your performance. Do you earn money for the firm and help its investors make money? If so, you'll probably be promoted.

By: Raphael Ferreira

Raphael Ferreira — Mon, 24 Jul 2017 02:04:38 +0000

Great article, if possible could you please answer me these questions:
After how many years on average an analyst is promoted to associate portfolio manager and how many years of experience are necessary for someone to be hired or promoted to portfolio manager? What are the key factors involved in those promotions?

By: Jake123456

Jake123456 — Thu, 17 Mar 2016 02:30:57 +0000

Are the exit opps from a HF or AM either to move to a different fund, start your own fund or go back to ER? I’m guessing that going to do Corp dev / Corp strategy at a larger company would be a tough sell? Maybe an MBA reset would help get out of the money mgmt business? I don’t want to be older and be stuck in this business. I know the prestigious ones would take nothing less than $1mm HF paydays, but I just want to enjoy life and don’t really care for the finer things in life

By: M&I - Nicole

M&I - Nicole — Mon, 30 Nov 2015 19:10:45 +0000

In reply to Ted. Yes, but I'd say it can be more challenging without the relevant deal and valuation experience.

By: Ted

Ted — Wed, 25 Nov 2015 20:12:48 +0000

Could someone from a traditional asset management firm break into private equity?

By: M&I - Brian

M&I - Brian — Sun, 10 Nov 2013 05:06:15 +0000

In reply to ben.

Not sure of his exact logic on the first one, but 1/15 = 6.7% EBITDA “yield” and 1/10 = 10.0% EBITDA “yield.”

So if they’re going to accept a yield that’s about 33% lower than normal, and then the multiple falls back down to normal levels, growth in that period would have to be higher than normal for them to make money if the multiple falls back to 10x.

P/E: Let’s say the multiple is 10x. So for each $1.00 in shares you buy, you get 1 / $1.00 in earnings, or $0.10. Therefore it takes you 10 years to earn that back assuming no growth in earnings.

With growth, the equation changes and you may earn it back more quickly. But that is the basic.

By: ben

ben — Mon, 04 Nov 2013 10:10:14 +0000

how did he work that at 15x EV/EBITDA, growth rates need to be substantially higher than GDP to maintain it?

Also, with P/E ratios, what does it mean when someone says, with a P/E of X, it’ll take me X amount of years to earn it back? how does that calculation work?

Sorry about the technical questions.