Research Analyst at a Family Office experience, research, position, limited

sabina

I live in a town with limited research analyst opportunities. We do have a few small hedge funds (the largest having about $400mm aum, the others with <$50mm), a regional broker dealer, and some small to mid-size institutional shops. Would a position as a Research Analyst at a local independent Family Office style Financial Planning Firm with around $500mm build worthwhile buy-side experience? My goal once I've earned my charter is to move to an institutional shop or a hedge fund and work my way up to a Portfolio Manager position.

former

True Wrote:
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> ASSet, good point about 1.5mm being more middle
> market than HNW. I guess 5mm+ would be HNW, and
> around 10mm+ would be UHNW? Although, this is in
> the mid-west where 1.5mm goes alot further than
> 1.5mm would in someplace like NYC.


Also an excellent point. COLA adjustements really do play into the factoring here. 1.5mm in NYC or LA is Primerica status.

___________________________________________________
ChickenTikka Wrote:
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> Being Born Wealthy > Being Jewish or WASPY > Born
> Pretty > Top 5 MBA > CFA > Avg MBA > Born middle
> class > Born lower class > Born in crack house >
> Born middleclass in Asia and working in IT but
> looking to switch to buyside

fishmarket

Family office has a definition - A family office is a private company that manages investments and trusts for a single wealthy family (wiki). A properly set up FO is an institutional investor and requires either some hardcore analytical or super hardcore suck up skills, or both.

You invest the founder's money so you better get it damn right in the first place... and not losing money. Most founders are not as savvy as Baupost or even near. This can be building your investment case difficult...

Back to your point, the business you're talking about is more like a financial firm running by a family. It's private wealth management, not institutional investing.

I'll summarise some quick points below,

PWM - decisions are executed quickly, dynamic environment but does not require hardcore investment thesis and probably limited with investment opportunities (e.g. can't go in infrastructure etc.)

FO - decision are generally executed quickly, willing to invest in new opportunity. Limited in investment opportunities and are super conservative with capital preservation being the key focus.

Insto - decision are made slowly, lots peer pressure. Some limitations in investment opportunities (e.g. can't run a long/short book in some organisations).

Fortunately/unfortunately, I have experience in all of them and in above order...hope it helps.

yodacaia

ASSet, good point about 1.5mm being more middle market than HNW. I guess 5mm+ would be HNW, and around 10mm+ would be UHNW? Although, this is in the mid-west where 1.5mm goes alot further than 1.5mm would in someplace like NYC.

Analyze_This

builders Wrote:
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> no


Insightful and informative.

Woudl read again A++++++++++

I think that 1.5mm is more middle market family wealth mgmt and not really HNW. 500mm AUM is good though.

___________________________________________________
ChickenTikka Wrote:
-------------------------------------------------------
> Being Born Wealthy > Being Jewish or WASPY > Born
> Pretty > Top 5 MBA > CFA > Avg MBA > Born middle
> class > Born lower class > Born in crack house >
> Born middleclass in Asia and working in IT but
> looking to switch to buyside

jbaldyga

Are you picking stocks? If so, then go for it.

kickthatcfa

If you involved in the investment decision making process, why not? Sounds good to me.

meghanjackson

Baupost group started as a family office, I think in many ways FO could be the ideal environment.

mp3bu

This sounds like excellent experience to get into Private Wealth management....

ba736

Most importantly, what are your other options?

Anyways, maybe I am mistaken, but I think the firm sounds more like an RIA than a Family Office type place.



Edited 1 time(s). Last edit at Saturday, June 25, 2011 at 07:50PM by Palantir.