What is the Buyside?

By High Yield Harry

Buyside firms include firms that make investment decisions to deploy capital, managing money on behalf of investors. This differs from the sellside, which primarily facilitates transactions and provide clients with banking needs.

Types of Buyside Firms

Private Equity

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Firms that acquire and improve companies using debt and equity capital

Private Credit

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Direct lenders providing debt financing to companies

Hedge Funds

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Investment funds using various strategies to generate returns

Asset Management

Firms managing investment portfolios across various asset classes

Venture Capital

Firms investing in early-stage and high-growth companies

Pension Funds

Organizations managing retirement investments for employees

Sovereign Wealth Funds

State-owned investment funds managing national savings

Career Progression

Generally, finance professionals join the buyside after a two-year stint in Banking. The sellside is a great training ground to learn the basics, where upon joining the buyside, finance professionals start to learn how to invest, deploy capital, and manage money.

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