How many hours do private equity analysts work?
On average, most private equity associates work 60-70 hours per week, though this can very significantly based on whether or not you have a live deal in the works.
At many smaller funds and middle-market funds, you can expect to work 60-70 hours per week, mostly on weekdays, with occasional weekend work when deals heat up.
Investors need to know they can rely on what you say and the analysis you're producing. The average during a busy time for associates and analysts is usually around ~60-70 hours per week. But it's all dependent on how many deals and investments are on the go. The above hours will vary based on if there's a live deal.
The good thing about private equity is that you can conceivably work between 40 and 50 hours. If your portfolio companies are humming along normally and you're not in a live process, there won't be an awful lot to do. A lot of your capacity will depend on the capacity of the more senior people.
As for hours, both private equity and investment banking can be demanding careers. However, investment bankers tend to work longer hours, often working late into the night and on weekends. Private equity firms also tend to have a more relaxed work environment and offer more flexible hours.
Work-life balance is a challenge for many professionals, but especially for those in private equity (PE). PE is a demanding and competitive field that requires long hours, frequent travel, and high performance under pressure.
Private equity analysts spend a significant amount of time analyzing financial statements, conducting due diligence, and evaluating potential investment opportunities. They must be able to create financial models, assess market trends, and analyze industry data to identify potential risks and opportunities.
For many at BX, the day starts between 8:30 a.m. and 9 a.m. each morning and finishes whenever the work is done. (One former Blackstone analyst said staff will work until 9 p.m. when their managers are in the office.
Private equity professionals work long hours and are highly competitive and must think critically, and have a passion for financial investing deals, not just following the markets. Other requirements to start a career in private equity are: Excellent grades and a notable transcript in school.
Private equity investing often have high investment minimums, which can magnify gains but also magnify losses. Liquidity risk exists since private equity investors are expected to invest their funds with the firm for several years on average.
Is private equity hard to break into?
Yes! Private equity is one of the most competitive jobs to get – period. Not just in finance, but across the board. Private equity firms have very specific requirements for their hire candidates, both for entry-level analyst positions and for higher-level job openings.
Hedge funds pay a lot more than private equity firms
Hedge fund pay is higher than pay in private equity. The average hedge fund employee earns $487k in combined salary and bonus; the average private equity professional earns 'just' $263k in salary and bonus. The real difference, though, is in pay per hour.
While both careers are highly regarded and financially lucrative, the choice is personal. Investment banking is typically viewed as glamorous but also requires longer hours and the sacrifice of a personal life. Private equity is extremely prestigious.
Sometime between end of Y1 and beginning of Y2 will be IA season, and you will also probably do your EE. This is, in my experience, the hardest time in the IB. You need good time management, good planning skills and good independent research skills to succeed.
The LPA also outlines an important life cycle metric known as the “Duration of the Fund.” PE funds traditionally have a finite length of 10 years, consisting of five different stages: The organization and formation.
The “all-in” combined salary is approximately $275k to $390k at top PE firms, but this figure can be much lower for smaller-sized funds and exceed $400k for firms with reputations for being the highest-paying (e.g. Apollo Global).
Travelling Monday to Thursday as a consultant is not fun, but private equity professionals are also very often on the road. Trips are usually shorter and more frequent, which means that you will probably spend more nights home but you may end up more tired. Work/life balance.
Working at a Private Equity Firm
The private equity business attracts some of the best in corporate America, including top performers from Fortune 500 companies and elite management consulting firms.
What are the most important Private Equity Analyst job skills to have on my resume? The most common important skills required by employers are Private Equity, Entrepreneurship, Financial Modeling, Analysis, Economics, Financial Analyst and Due Diligence.
You might work an average of 55-60 hours per week, with spikes to 70-80 hours per week in earnings season.
Why does private equity pay so much?
Investment bankers make money by advising companies, structuring sales, raising capital, and taking a percentage fee on each transaction. By contrast, private equity firms make money by exiting their investments. They try to sell the companies at a much higher price than what they paid for them.
The estimated total pay range for a Analyst at S&P Global is £39K–£55K per year, which includes base salary and additional pay. The average Analyst base salary at S&P Global is £45K per year.
This translates to a selection rate of less than 0.3% and means that getting an entry-level job at Blackstone is 12 times as tough as getting accepted to Harvard, Schwarzman noted. “I doubt I would be able to be hired today; not sure that's a great thing,” he said during the call.
Average Hours Worked per Week: 98 Hours. Average Analyst Bed Time: 3 AM. Average Hours Slept per Night: 5 Hours.
At Blackstone's own offices, all executives and investment professionals are generally expected to be at their desks five days a week.
