Aspiring to be a Private Equity expert? Confused about which qualification to earn for building a fulfilling career in Private Equity? Not to worry as this article will let you know ways to become a valuable part of the Private equity industry in no time.
First, let us discuss how the Private Equity industry works & how can private equity certifications help you make a successful career in this lucrative field.
Here is what happens in Private Equity
Private Equity is composed of funds & investors that are ready to place millions & millions of dollars in order to acquire stakes in companies that require capital or else restructuring. These companies make revenues and look for ways to make more profits. Such investments are not required to be listed in a public exchange.
Reasons to have a career in Private Equity
If you begin your career in private equity, you will be faced with some really interesting work, though, it is tough & requires you to spend long hours. On a regular day, as a private equity professional, you will have meetings with bankers, legal representatives as well as consultants. However, on a few special occasions, you will also get to meet the CEOs of large firms as well as management teams which can provide you with great exposure. Even in a junior position, you will get to understand how business functions on a higher level.
When you talk about the remuneration, it is obviously excellent like in any other financial field. Apart from the regular pay along with the bonus, a private equity professional also gets an incentive which is called carried interest. It is a direct share in the profits of their company as well as a major part of their income.
Here are the places from where Private Equity Firms mostly recruit
Private Equity firms look for analysts primarily from:
- bulge-bracket investment banks
- middle-market banks, and boutique banks
- PE professionals from other firms
- undergrads for junior roles in emerging markets
The things that Private Equity firms consider while hiring
Getting a job in private equity is not like taking a walk in the park. Your inclination towards numbers & your conviction to get into this field in highly necessary to find a place in this industry. You are required to have a sharp brain, deep analytical power, massive energy to work all day long & excellent communication & negotiation skills to deal with different kinds of people.
Coming to the qualification part for becoming a private equity professional, I would say that getting a graduation degree in any of the finance-related subjects & earning a masters can help you reach your goal. However, there is fierce competition in the job market and you are required to have something distinctive to set you apart from your competition and a private equity certification can help you with that.
There are several Private Equity Certifications in the market that can attract prospective employers and help you make a niche in this money-making field.