[Edaily Marketin Hur Jieun Reporter] An increasing number of junior accountants from major domestic accounting firms are moving to global private equity (PEF) firms. Global private equity firms, which had previously preferred candidates with backgrounds in foreign investment banks (IBs) or strategic consulting, have recently significantly increased their hiring of accountants with hands-on experience, leading accounting firms to emerge as a key source of talent for the private equity sector.

According to the investment banking (IB) industry on the 16th, four junior accountants from one of South Korea’s Big Four accounting firms (Samil, Samjung, Anjin, and Han Young) have moved to the Korean offices of foreign private equity firms so far this year. Even amid a slump in the M&A market, the fact that junior-level staff from a specific major firm have been poached by top-tier global firms has led the industry to view this as an unusual wave of departures.

Amid

a Deal Drought… Accountants Skilled in “Practical Number Work” Are in High Demand

The shift in hiring trends among global private equity firms is linked to the recent slowdown in the M&A market. In the past, junior positions at global private equity firms were primarily filled by candidates from foreign investment banks or strategic consulting firms. However, with the recent decline in large M&A deals, opportunities for junior investment bankers to gain hands-on deal execution experience have relatively diminished.

In contrast, junior staff at accounting firms have honed their practical numerical skills through tasks such as valuation, financial due diligence, and leveraged buyout (LBO) modeling. During a deal drought, global private equity firms—which must meticulously review data rooms and proactively identify financial risks in target companies—have no choice but to highly value the hands-on expertise of accountants.

An official at a private equity firm explained, “In a time when workforce efficiency has become critical, there is a desperate need for ‘plug-and-play’ talent who can be deployed immediately without a separate training period,” adding, “This is why there is a continuous influx of offers for junior accountants from major accounting firms.”

Beyond Advisory Roles to Active Investors… Accountants Also Flock to PE

From the perspective of junior accountants, moving to a global private equity firm is an attractive career shift. This trend is seen as a reflection of the desire among young accountants—who have felt limited by their advisory roles supporting transactions from a third-party perspective—to transform into active investors who make investment decisions directly and enhance the value of portfolio companies.

In particular, global private equity firms often have overwhelmingly larger assets under management (AUM) and more sophisticated investment systems compared to domestic firms. They are considered the best option for accountants seeking to build a systematic investment career at the junior level. The experience gained at global private equity firms can also open up diverse career paths, such as moving to domestic or international firms or launching their own investment firms.

An industry insider in investment banking stated, “As uncertainty in the M&A market persists, the redeployment of talent within the capital markets is likely to continue for some time.”