1 / 6

How To Get Into Private Equity

Learn how to get into private equity with this ultimate guide that shares details about essential skills, qualifications, work experience, and various job roles.

United13
Download Presentation

How To Get Into Private Equity

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. United States Private Equity Council (USPEC) CPEP™ Charter ▾ Overview Why CPEP™ Education Requirement Experience Requirement Learning Resources CPEP™ Exam CPEP™ Journey Register for CPEP™ Examination Standards Insights ▾ Blogs Careers in Private Equity Private Equity Central Our commitment to fostering the growth of private equity professionals is reflected in the introduction of Private Equity Central, a virtual community that serves as your comprehensive resource and networking platform for success in this ever-evolving industry. Explore Now Partner Contact Us X Search Here... Search myUSPEC × CPEP™ charter Overview Why CPEP™ Education Requirement Experience Requirement Learning Resources CPEP™ Exam CPEP™ Journey Register for CPEP™ Examination Standards Insights Blogs Career in Private Equity Partner Help Center Contact Us ☰ X Don't Have an Account? Start your CPEP™ journey and manage your profile conveniently by creating your myUSPEC Account today.

  2. Create Account Sign In to Your myUSPEC Account Email ID* Password* Remember Password Forgot Password? Login Create myUSPEC Account > How to Get into Private Equity How to Get into Private Equity Jan 24, 2024 | Editorial Team twitter What is Private Equity? Private Equity (PE) refers to a form of investment that actively involves investing in privately held organizations or assets that are not publicly traded on a stock exchange. They pool funds from high-net-worth individuals, institutional investors, and other sources to obtain equity ownership in private organizations. In simple terms, private equity investments are done in the mature businesses where the high net-worth of private individuals and enterprises invest their capital by buying major stakes in private enterprises or by purchasing enough shares of a public enterprise to acquire control and then delist it from stock exchanges and make it private. Private equity is a bigger subset of a more complex piece of the financial landscape called the private markets.  Private Equity Career Path Many aspiring professionals are interested in aiming for a private equity career. Many key positions are available in a PE firm. The career path in private equity and hierarchy varies from one firm to the other. One can earn well if they are in any of the following positions. Private Equity Analyst The entry-level job is mainly related to logistical deals. Average salary per annum – USD 100 to USD 150K Time for promotion to next level – 2-3 years Associate In this position, deals and analytics are the main focus Average salary per annum - USD 150 to USD 300K Time for promotion to next level – 2-3 years Senior Associate Sourcing deals, managing transactions, and monitoring organizations in the firm’s portfolio Average salary per annum - USD 250 to USD 400K Time for promotion to next level – 2-3 years Vice President Manager of almost all the deals Average salary per annum - USD 350 to USD 500K

  3. Time for promotion to next level – 3-4 years Principal or Director Negotiator and also a top generator of deals Average salary per annum - USD 500 to USD 800K Time for promotion to next level – 3-4 years Managing Director or Partner Fundraiser and Chief Representative Average salary per annum - USD 700K to USD 2M How to Get into Private Equity The professionals who are employed in the private equity industry mainly works for investing companies, like pension funds and large private-equity enterprises. The hiring companies in this industry are usually backed by investors because to get control of a company needs huge funding. Many individuals are often perplexed by a question about how to get into private equity. The most common way an individual can get into the private equity industry sector is through investment banking. Several professionals are looking for opportunities in the private equity sector so that they can stay ahead in their finance careers.  Prerequisites If an individual is seeking a career in private equity, then they will require the following: Top academic credentials such as grades, test scores, and university reputation. Good networking and preparation for the interviews. Relevant work experience that includes a sound knowledge of transactions. How to Get into Private Equity Essential Qualifications to Enter Private Equity The private equity sector is looking for the best talent in the sector of financial services. Educational Qualifications If one aims for a private equity career then they are required to have a bachelor's degree in any finance- related field, such as: Finance Mathematics Economics Accounting Statistics If an individual has prior banking experience and is way too senior, then one can choose the private equity industry as an Operating Partner or Consultant. Many recruitment managers also look for people who have an MBA followed by relevant experience in the investment banking industry. But if one wants to get into this industry in an entry-level position then they should be less than 30 years. However, if one is going for a senior-level position and have relevant experience, then age is not considered. Work Experience Work experience related to private equity has been an issue with several private equity firms for a while, with many believing that the MBA tended to get professionals with a rigid mindset. But things have changed immensely, mainly due to the emerging of online degrees. An individual who has the right experience could develop many connections with people from around the globe and across various other industries will offer individuals the scope to develop a strong network

  4. that will be very resourceful in one’s career. Industry-Recognized Certification Obtaining a private equity certification will strengthen the candidature for the job roles to which one has applied. These qualifications are a great add-on as they are completely skill-specific, highly professional, and are preferred by several recruiters in the private equity sector. One such certification is Chartered Private Equity Professional (CPEP™), which is a professional credential that was developed by the United States Private Equity Council (USPEC). USPEC offers comprehensive qualifications for aspiring individuals who want to become certified private equity professionals. CPEP™ is designed to excel and to enhance one’s finance skills up to a level that is expected by the top PE and VC firms. Top Skills to Excel in Private Equity Communication skills PE is a team effort, so one must be interactive with other team members to sign deals with organizations and need good communication skills to showcase their ideas.  Networking  To crack new deals, networking with potential investors is required. Networking is also very useful to enhance one's private equity career to connect with employers on a shared interest, like attending the same college, getting the same certification, and so on.  Research To discover potential deals, market research, and data extraction is required. Research related to ratio analysis, recommendations, and reports on investment opportunities that investment banks, institutions, or their clients might be interested in.  Negotiation  To help close deals, negotiation skills are required also get a clear understanding of priorities, pressures, options, and interests. An active participation in negotiation with potential investors is carried out.  To End With….. If you are thinking about whether private equity is right for you or not, then it is a must to thoroughly analyze the pros and cons before entering the field. If you possess a passion for financial investing deals and are looking for some lucrative and growth-driven opportunities, then this is the perfect place. Several private equity firms are looking for dynamic professionals who are confident, independent, assertive and have analytical qualities. Most Popular Private Equity vs Venture Capital: Which Career is Right for You? Private Equity vs Venture Capital: Which Career is Right for You? How to Get into Private Equity How to Get into Private Equity Hedge Fund vs Private Equity: What's the Difference? Hedge Fund vs Private Equity: What's the Difference? Brought to you by USPEC Private Equity Central Expert insights. Personalized for you. Trinity Hunt looks for targets that ‘move the IT stack to the cloud’

  5. PE Hub FEBRUARY 22, 2024 Is UPS Stock Going to $170? 1 Wall Street Analyst Thinks So The Motley Fool FEBRUARY 19, 2024 Stay Updated! Get the latest in Private Equity with USPEC Newsletter straight to your inbox. Sign Up Subscribe Email address* United States Private Equity Council CPEP™ Charter Examination Examination Policies Insights twitter Get the latest in Private Equity with USPEC Newsletter. Subscribe Now Institutional Partnership Start Application Help Center Contact Us Academik America's global network handles all tasks associated with managing customer relationships, customer support, credentialing logistics, partner network, and invoicing for the United States Private Equity Council. Any inquiries can be directed to USPEC here. Disclaimers & Safe Harbor Declarations:+ The names and logos of products, brands, technologies, and organizations mentioned on this website are trademarks and properties of their respective owners, and their use on this website is for informational purposes only. USPEC does not use names of companies, institutions, people, technologies, brands, platforms, products, etc., on/ in its websites, collaterals, newsletters, and other communication material for promoting its certifications or services, and permits such use only if the name(s)/ brand(s) of people or products in question have made a generic contribution to the thought and practice of Private Equity internationally. The theme, context, and subject of messages, stories, cases, and testimonials on this website are factual, while the supporting images/ graphics, etc., have been used only for effect, with due permissions, if required. Unless otherwise mentioned or generally known, all names of individuals mentioned on this website are fictitious.

  6. USPEC strictly protects and closely guards the identity and personal information of all its clients and customers, and does not reveal their names, pictures, or any other personal or professional information in any of its marketing or advocacy communication. USPEC certification programs for aspiring and working professionals are fleshed on the world's first industry- agnostic body of knowledge, which is constantly evolving, and hence USPEC certifications do not purport to cover all competencies and knowledge areas in the strategy required of professionals at any point in time. USPEC certification exams cover areas specified in the body of knowledge and exam curricula, and are not necessarily linked only to the exam study material provided to registered participants. Though USPEC certifications constantly aim at assisting professionals in exceling consistently in their professions and careers, there are no specific guarantees of success or profit for any user of these concepts, products, or services. No programs offered by USPEC or its collaborating institutions lead to university-equivalent degrees unless specifically mentioned under a program. Though, all facts, figures, and other qualitative or quantitative information or infographics appearing on this website have been presented only after careful scrutiny and validation of their sources, the United States Private Equity Council does not take responsibility for the absolute truth or veracity of such information, or for the consequences of use of the information on this website. All facts and figures pertaining to the future of industry or markets or products or professions or USPEC's own estimates are forward-looking ; shared in good faith and sincere judgement, and are based entirely on extrapolations of the present, and USPEC does not claim them as representatives of or forming any exact factual projection of the future. The United States Private Equity Council is not a training organization, and has no linkages whatsoever with organizations or individuals offering training or examination preparation services. All programs and schemes etc., related training, education, content, or marketing are designed and executed by 3rd party, and USPEC does not permit any of these to impact, influence, or renege on the ethics, rigor, or the sanctity of its credentialing policy or process. USPEC and/or its partner institutions reserve the rights to cancel, modify and revise timetables, schedules, calendars, fee-structure, course-modules, assessment, and delivery structures of any program, either offered independently by USPEC or jointly with partner institutions, without prior notice to prospective and registered program participants. USPEC and its collaborating institutions reserve the rights of admission or acceptance of applicants into certification and executive education programs offered by them. USPEC does not discriminate against any person on the basis of race, color, sex or sexual orientation, gender identity, religion, age, national or ethnic origin, political beliefs, veteran status, or disability in admission to, access to, treatment in, or employment in their programs and activities. USPEC reserves complete rights to involve 3rd party organizations in the management of the business, knowledge, content, operations, and backend processes related to customer relationships, customer-support, logistics, partner-network, and invoicing, and under further notice, these processes are being collaboratively shared among the globally distributed offices of multiple specialist 3rd-party service providers including Academik America and ExamStrong. USPEC can remove or replace at any point in time, any of its vendors, associates or partners found underperforming, or engaged in unethical business practices to preserve the interests of its customers and maintain the standards of its services to the highest of levels as expected. No external/ 3rd- party service provider or partner or associate of USPEC has any role to play in certification award decisions of the United States Private Equity Council. Individuals or organizations deciding to deal with or do business with USPEC are assumed to have read and agreed to these facts pertaining to USPEC services, practices, and policies. All queries may be directed to info@uspec.org. © 2024. United States Private Equity Council. All Rights Reserved. Privacy Policy Terms of Use Sitemap

More Related