The financial sector has slowly grown into the most dynamic industry in the world, with various opportunities presenting themselves for bankers who wish to cater to specialized financial services for a variety of clients who would utilize their skills for mutual gain. Banking, as a whole, deals with some core universal concepts that enable its professionals to have influence over a diverse number of aspects in society. Their services are always in demand and the types of job roles look to be growing to accommodate professionals from other verticals as well. As financial analysts, much of the career options depend on the professional and what they want to do and investment banking has become fertile grounds for those professionals seeking to go the extra mile and make their efforts known at the workplace, for future opportunities.
Private equity has positions similar to the rest of the banking world with analysts, managers and directors, and it serves more as a destination rather than a separate job role. The attractive aspect of private equity is that it has one of the highest returns for dedicated professionals making it an incredibly attractive banking oriented industry, and competition has been growing fiercer with every passing year. As businesses evolve, this looks to be the ongoing trend in spite of huge increases in job prospects and vocational freedom because of the constant need to do business through shifting capital and helping it grow, a core responsibility for many professionals and whose professional credibility practically depends upon it. A career in private equity is often guided by the candidate’s proficiency in their core functions and their long-term achievements.
This is because of the nature of the job role as well where significant earnings are not seen until ‘carried interests’ begin to appear on the bottomline of the professional, which takes quite a few years of experience to handle. It is a long term investment with 5 year projects and accounts which show the qualitative worth of the professional. They start as an associate after which they are promoted to Senior Associate, following which will be specific positions like Partner or Director which put them in core leadership positions and can often be the result of years of experience and dedication. In fact, lucrative positions take a relatively long time, sometimes even a decade so it ensures that the professional is dedicated to their profession and have a proven track record of success. General partners, on average, have about 15 years of industry experience under their belts which means success in the industry is a lifelong endeavor.
That being said, the reason it is regarded as a prestigious vertical is for the long terms dividends that more than make up for the effort required to succeed in a private equity career. Private equity has become the go-to strategy for many enterprises seeking to invest in other profitable ventures, often in support of their own industry, to help the organizations and individuals in key positions to grow and perform in international markets. The process of development begins with meaningful investments which is exactly what private equity aims to provide, giving opportunity to smaller markets to also grow and help contribute toward societal progress and change.