MDF wrote:
DagwoodDeluxe wrote:
I would estimate nearly 90% come from H/S/W.
Your estimate seems hugely inflated.
Given that I'm currently sitting on the couch while my wife watches the Country Music Awards, I decided to actually look into this statistic. I've debated it with friends before, and you claim my estimate is inflated, so I figured I'd get the facts.
I looked at the websites of the top 15 PE funds by fund size, according to Private Equity International (PEI). I evaluated what % of senior professionals at each firm had an MBA from a school other than H/S/W. First, a few qualifiers:
1. I only looked at senior partners (would take too long to look at all MDs, Partners, and VPs). The title for this position varied by firm, but the most common title was Managing Director.
2. I only looked at U.S. offices. The OP seems to want to work in the U.S., and the MBA degree is obviously much less relevant internationally, so much fewer professionals have MBAs at all, let alone from H/S/W.
3. I only looked at traditional LBO/private equity. I ignored other product groups within the mega-funds (e.g. venture, real estate, hedge fund)
4. I only looked at investment professionals. In other words, I did not look at MDs that are head of the back-offce, or head of accounting, or head of LP Services, etc.
5. Most firms had several MDs that did not have an MBA (either just a bachelors, or another advanced degree, typically a JD).
Here are the results:
TPG - N/A (don't profile professionals on the website, at least that I could find)
Bain Capital - 3/22 (2 Tuck, 1 UChicago) - 14%
Carlyle - 2/17 (1 Haas, 1 Loyola College) - 12%
KKR - 1/14 (1 Anderson) - 7%
Blackstone - 2/19 (1 City University of New York, 1 U Chicago) - 11%
Apollo - 1/16 (University of Western Ontario) - 6%
CVC - 0/1 (Only one US MD) - 0%
First Reserve - 2/12 (Rice, Cornell) - 7%
H&F - 1/16 (Kellogg) - 6%
Apax - 1/11 (INSEAD) - 9%
General Atlantic - 5/18 (Stern, Babson, 2 Columbia) - 28%
Warburg Pincus - N/A (no way to sort by title on the website)
Cerberus - N/A (no bios included)
Advent - 0/10 - 0%
TOTAL - 18/156 - 12%
Key take-aways:
1. I was pretty much dead-on with the 90% estimate.
2. If you don't go to H/S/W and want to work at a large PE fund, apply to GA!
A few caveats on this analysis:
1. I may have missed an MD here or there - it is difficult to sort by geography/title on many of the websites.
2. Obviously the % of MDs with MBAs from schools other than H/S/W will increase as the fund size decreases and/or as you move to regional cities (e.g., GTCR and Madison Dearborn in Chicago are great funds not on this list, but will have more people from Kellogg and U Chicago).
Anyway, the point is, if you want to work for a large PE fund, it is a HUGE advantage to get into H/S/W and VERY difficult to break in if you go to another school.