Working for a rating agency?

[iamito]

Hi everyone,

I have this interview for a position at S&P coming up. The position is in their cash flow modelling department (within structured finance).

I come from a structuring background (in a European IB) and I'm considering this potential career move.

I enjoy modelling a lot and I have experience in structured finance. So the position seems very attractive to me. However, I don't know if going from a relatively big IB to a rating agency (RA) is a good career move.

A few questions for those in the know:
- is the pay much worse at RAs? are there any bonuses for Associates / Associate Directors?

- is the work environment very different from the one in an IB? and how so?

- if after a few years someone from a RA decides to move back to IB or Asset Management, will the experience at the RA be considered not as good as a similar experience in a bulge-bracket IB?

thanks a lot for your help.
It may clear some of the doubts I have about working for a RA

iamito

 

[Andy Nguyen]

What will be the business model of RA going forward? It's unclear but it's safe to say the easy money era is gone. And take into account the scrutiny it is facing.

Rating Agencies Face Curbs

Senate Votes Measure to Give SEC a Role in Bond-Vetting Process; Response to Crisis


The Senate approved a provision that would thrust the government into the process of determining who rates complex bond deals, in a move to end alleged conflicts of interest blamed by some for worsening the financial crisis.
The 64-35 vote Thursday represents one of the strongest moves yet by Congress to change how business is done on Wall Street. The amendment aims to resolve what's considered one of the thorniest problems in financial markets: Bond issuers choose ratings agencies and pay for ratings, meaning raters' revenues depend on the very firms whose bonds they are asked to judge.