Comments on: The Full Guide to Direct Lending: Industry, Companies & Careers

By: M&I - Brian

M&I - Brian — Wed, 07 Apr 2021 21:17:47 +0000

In reply to Bill. Potentially, yes.

By: Bill

Bill — Fri, 02 Apr 2021 06:47:01 +0000

Hey Brian,

I work in sponsor finance in commercial banking; we make first lien loans for private equity transactions. Do you think this is helpful experience for direct lending roles?

By: M&I - Brian

M&I - Brian — Wed, 24 Mar 2021 17:10:57 +0000

In reply to RJ. Sorry, we don't have information on that one. Most compensation surveys do not have much specific information on direct lending or differences in the different DL groups.

By: RJ

RJ — Wed, 24 Mar 2021 03:56:34 +0000

Useful article! Do you know what the responsibilities, comp, and exit opps look like for a portfolio management analyst or associate at a direct lender?

Different lending shops define PM differently and some have a separate team for it whereas others have associates handling PM tasks in addition to sourcing / underwriting / DDing new investments. Thanks.

By: M&I - Brian

M&I - Brian — Wed, 17 Mar 2021 19:54:38 +0000

In reply to Zachary. CB deals are somewhat different because you don't necessarily do as much modeling work, and the hours and intensity are lower because the debt issuances in CB are usually not related to deals. But it does vary by bank, and at some firms, there's barely any difference between CB and IB, or they're even grouped together.

By: Zachary

Zachary — Wed, 17 Mar 2021 17:42:06 +0000

Hi Brian, thanks for the article. I am headed into a corporate banking role this summer in a bank with CIB umbrella structure. I sometimes get confused when you refer to lack of deal experience when it comes to corporate versus investment banking roles: if I am doing credit analysis/due diligence, modeling, and helping to execute on project financing, term loans, etc. where my firm has “skin in the game”, why are those less of a transaction than syndicating loans on the LevFin or DCM side?

By: M&I - Brian

M&I - Brian — Tue, 09 Feb 2021 20:25:01 +0000

In reply to Jack H. Sorry, I don't know enough about that specific group to say much. From the description, it seems like the exit opportunities would be similar to the ones discussed here. Not sure if the top credit funds would be realistic, but other credit funds, direct lenders, maybe mezzanine, etc. would be possible.

By: M&I - Brian

M&I - Brian — Tue, 09 Feb 2021 20:06:54 +0000

In reply to John Smith. Not offhand, no, because the skill sets are somewhat different. You need to show more evidence of financial modeling and investing skills to move into direct lending. I'm sure some people have moved in from commercial banking, but it's not as easy as you might think.

By: Jack H

Jack H — Mon, 08 Feb 2021 03:55:42 +0000

Hi Brian,

I’m currently a student looking at a prospective summer internship.

I was wondering what are your thoughts regarding Credit Portfolio Advisory (specifically at Alantra, Dublin). They have a team that apparently advises on credit transactions.

My eventual goal was to join a credit fund like GSO or Guggenheim but this idea of ‘advising’ on credit transactions somewhat confuses me (as I thought all decisions were analysed and made by the deal parties without ‘middlemen advisors’).

Job description looks pretty similar to a credit fund analyst (but considering those are written by HR… I’d rather not trust them lol).

Any opinions on this credit advisory service, Alantra, exit ops etc. is much appreciated if you have any insight^

Thank you!!!

By: John Smith

John Smith — Fri, 05 Feb 2021 16:01:15 +0000

Hey Brian. Have you seen individuals move from commercial banking (C&I Lending) straight to Direct Lending? What do you think are the main areas or skills a commercial banking lender should focus on in order to transition his or her career to direct lending?