Answering Why Private Equity - 9 Key Answers
This question pops up in almost every private equity interview. It's not something that will land you the job, but the wrong answer will get you dinged.
- The magic word:carry。It's true that a chosen few make 10-100s of millions through carry in private equity, but this is a reality seen by very few. Here's some insight from @cheese86" that explains carry and when/how to get it.
- 以下是一些其他原因，对私募股权的私募股票有一些很好的见解，这是 @peguy2011的礼貌。
- Culture is much better- not as much "busy" work... meaning making sure a deal is a real deal before spending a significant amount of time on it (vs. in banking, building a model for every damn pitch). Also, when I was in banking, face time was a pain in the ass. I don't think there is any business where you don't have to deal with face time, but I think in PE it is generally more lax.
- Relationship building。在working in PE, you will build relationships with CEOs, CFOs, COOs, directors of corporations, at the target, when/if you hire a third party advisor, and at your portfolio companies. I value this because, when/if I ever decide to leave PE, these are some of my exit opportunities. For example, I worked extremely well with the interim CFO of a target company. After he left and went to another business, he asked me to come on as VP of Finance.
- 与投资组合公司合作关闭很棒。我喜欢参加策略会议和美国银行rd meetings and working actively with management teams to improve businesses. This combined with the next bullet are two things I think that really prepare you for anything, whether it's a consulting role in the future or starting your own business.
Knowledge learned is much more interesting and valuable. Admittedly at the associate level, you're still doing a lot of work an analyst does in banking (models, presentations, memos), but you're also spending more time learning about different businesses, industries and most importantly what makes a business successful.
These are just a few of many reasons people decide to go into private equity. The opportunity, work, and compensation are why this is considered by many the promised land of finance careers (although don't let that fool you into thinking it's最好的对您来说，这是一个深切的个人问题，随着您的身份而异）。
在terview Question - Why do PE?
First, know to keep it brief.不要超过45秒；理想情况下，将其保持在30秒钟左右。您只需要给出一个理由，为什么您想在私募股权中工作并将其绑在背景中，全部以3-4个句子为单位。这是您可能使用的一些原因：
- You want to work with companies over the long-term to see what makes a great business and to better yourself as an investor.
- You want to learn about the many operations of a company.
- You want to invest in the long-term as you believe it is the investment strategy that delivers the best returns.
Why This Firm? question in an interview
对私募股权感兴趣 - 这是您需要突破的
Private equity is recruiting is ten times more cut-throat than anything you've ever experienced before. If you want to break into private equity, you need to be well-practiced in the technical aspects of the interview. The package is worth well more than the $299 price; the job prospects you set yourself up for are worth far more than $299.