To PMs: Career path - multi- vs single-manager

[tol1]

Ladies / Gents,

 

I have been offered 2 different investor positions in equities at different funds that run a value-based, bottom-up investment strategy.

 

The multi-manager (MM) total comp is lower initially, but there is a stronger curve in the long-term if the performance is decent obviously. It is not the typical trading platform with tight risk limits. All PMs follow a value-based strategy and everyone runs his own P&L.

 

The other option is a large single-manager (SM) with the typical Analyst - PM structure, ie path to PM takes long time and total comp as an Analyst is stable across the cycle. I would not work for a "star PM" or even the founder I should note.

 

The SM has the stronger brand but lower annualized return vs the MM.

 

My goal was always to work for an experienced senior PM / founder with a strong track record, but one cannot have it all I suppose.

 

What are your thoughts on either path and your own experiences?

 

Thank you

[HalfMeasure]

Not a PM, but from what I've seen the PM/team you'll be working with is the most important factor. Each of the business models has its pros and cons. It also depends on the stage in your career and what you're looking for personally and what stage you're at in your career (e.g. brand differences matter less if you're planning to stay long term).

[Homestead31]

What is your background and experience level, and what is your ultimate goal?

[tol1]

Mid-level experience on both buy- and sell-side. Goal is PM and maybe start own shop at some point.