Private Equity Giants Raid Wall Street as Fundraising Talent Wars Heat Up

With capital harder to come by, private equity giants and investment banks are waging a global battle for talent as dealmaking activity ekes out a recovery.

This hiring spree comes after the private equity sector remained stuck in a holding pattern in recent years, as rising interest rates and market volatility put the brakes on dealmaking. Fund managers were left with an expanding pipeline of companies they couldn’t sell, with exits postponed.

“Firms are happy overpaying for fundraising talent,” said Christopher Connors, a principal at Johnson Associates. “It can be a large expense to the firm, but relative to how much revenue these people could bring in, it’s a good deed to the firm.”

“I think there’s a clear bifurcation between the largest firms [that are multi-strategy], and have economies of scale that can afford to hire,” said Connors. “Whereas some of the smaller firms are struggling with fundraising…very much not hiring, really at all, and some of them are shrinking.” 

Private equity careers may have an edge over investment banking because of carried interest — a share of fund profits that can far exceed annual pay and is taxed at lower capital-gains rates, Connors explained.

CNBC / September 8, 2025