I just did an interview with UBS for “Wealth Strategy Associate” position. They do financial planning for people with $10 million or more but their clients have average net worth of $50 million, according to the interviewer. There is no sales involved in this position for 3 years and if I like what I do after 3 years then I can move on to sales at that time if I wish to pursue that route. I also did an interview with real estate private equity firm. The size of the firm is very small (about 10 people) and they said that I might have to take salary cut since I’m transitioning from research side to investment side. Which is fine, as long as I get my experience and knowledge but I feel like I might be “used” there. I don’t have official offers yet, but I did pretty well during the interview. If I do get both, which one should I take? Which position has better carreer progression? If I can transit from wealth management to portfolio managemnet, then I’d take UBS. However, if I’m stuck at wealth management after 3 years, then I’d rather go real estate private equity…
I’m currently studying for CFA level 2 and doing research for real estate firm. I don’t know exactly what I want to pursue as I don’t have much experience in financial services. (I graduated May 2013)
^+1 to these guys. Though I did notice when I worked in the UBS building in Chicago that there were always tons of hot 20 something chicks in the PWM area.
I hear that PWM isn’t so bad if you are a people person. The hours aren’t so bad either, once you’ve got a decent client base. Obviously things can suck if you life through a stock panic, but most financial people’s lives will suck at that point.
It’s not much of an investment job either. The UBS home office strongly influences what investments you’re able to offer. Sure, there’s still some work to do, but you’ll be working off a short list.
Now, if you do want to hang out for the 3 years then move into a relationship role, it can be a fine gig. Not too taxing and you’ll be pulling down $200-300k after you build up your book.
Higher upside in PE but they’ll work you to death.
Question: How difficult is it to build a book of business if you’re a personable, smart guy with relatively no connections to money? Assume you’re in the biggest PWM companies and areas. I imagine it’s near impossible, but I’m not a salesmen.
Yep, you gotta have what it takes to make someone *TRUST* you. Bernie Madoff had that in spades.
You also need connections with people with money, which generally comes through relatives or schools you’ve gone to, or previous business associates. Alternately, you may be able to have the ability to make them through charm. Being hot also helps, particularly if you are a woman, although in a world where women are making more money and gay men are also well off, it doesn’t hurt to be a hot guy either.
Thanks guys. Was just curious. I work with some of the top PWM brokers in our company and have pretty good relationship with a lot of the people in that office. I told a lady there I passed level 2 CFA and she was very impressed and suggested I should be there, not where I am. I was considering the career path someone of my background would have if I went there. I don’t see myself becoming a master at building a book of business so what type of role would they put someone like me in? Are there any positions in the FO PWM business that would be a good transition without becoming a salesman? I know there are assistant/junior people who help manage the relationships. How is this viewed?
Would you rather try to do something like that or collect experience and possibily a promotion soon in a different role? I plan to get a MBA. Would that work experience look better for admissions or for obtaining a better job post grad?
Theyre both great options. Just se ewhcih ones actually give you offers before counting your chickens.
Its really up to personal preference as both roles are quite different.
And PWM at that sort of level is very different from the lower levels. When you have clients of that size you can certainly make some sizeable money for yourself, so can be a very very lucrative field to persue.
In the PWM business, at leat in the big banks, normally you can work as a “private banker” or as an “investor”.
The terminology can change from bank to bank, but generally private bankers are supposed to gain new business and open accounts. Relationship management skills is key. Most of the times these guys are not very technicals and know very little on markets. They also advise clients on markets/investments, but on an advisory basis only.
Investors, on the other side, are in charge of managing (on a discretionay basis) the portfolios and the accounts opened by the private bankers. They are more techincals, of course, and follow the markets closely. Generally they never meet clients, but this can vary from bank to bank.
In smaller banks it can be different, and the two roles are somehow combined.
I workes in a PWM division of a BB US bank, assisting the relationship managers. Now I’m in a smaller german private bank, trying to create my own book of clients. It’s hard and frustrating, it takes time and you get many doors slummed at your face. But it’s very rewarding. Also, once clients’ book has a decent size, you start earning very good money and, generally speaking, the work-life balance is probably one of the best in the financial industry…
Flesh - Are you in NYC? What other options would have been available to you after working in that role beside opening your own book of business? Would you have opportunities to move into the investing aspect?
The opportunities for that role generally are to transition into a more senior version of the same role or move into management. It seems like it’s a stepping stone into being a traditional financial advisor with a book of business. The opportunities to move into a direct investment role greatly differ between firms. If the UBS office you’re joining has an investment team in the physical office, then I’d assume you might be able to lateral into the team through networking. If UBS keeps the investment team completely separate, I’d assume it’s much more difficult. My firms keeps the two separate and it is much more difficult since the investment team is in a different city.
You should do a LinkedIn search for the role you’re applying for and set the search to “previously in this role” to see where former UBS WMA’s currently work. That will give you the best answer.
I always thought wealth management and asset management were quite similar, and switching from one side of the business to the others would have been easy move. It’s not.
Wealth management is all about relationship management, asset management is all about investments. Many aspects of the two roles are similar, but I think once you start in a pure private banking role, it gets difficult to move to AM. Still, many people manage to do so, mostly at senior levels. IMO, the best role would be working on the discretionary department of the private banking division in a BB bank (i.e., you manage portfolio of private clients and families, and you get to meet clients too, from time to time…the best of both worlds!)).
CFA can definitely hep you out on tis. I’ll sit level 3 next year, if I pass, I may have a better chance, fingers crossed…
If you’re leaning towards the quant side of finance and want to eventually get into investment management, the real estate PE firm might be interesting. After getting some exposure in the real estate market, you might be able to leverage that experience to work with structured securities.
Yes, but you’ll have to get away from the PWM bank operations. There, like I said above, the home office does most of the due diligence so all they really need is relationship/sales guys. But, if you get in with an RIA or family office there are definitely roles for investment/research only people. A very good buddy of mine works as a “portfolio manager” at a huge RIA. (I give him grief about using that title, but he does manage a few billion dollars so whatever.) He just picks the investments and meets with clients when they want a deep dive into their portfolio. Otherwise he doesn’t exist in any sort of sales capacity. Pretty sweet gig.