From a distance the worlds of finance and tech can look pretty similar. Both industries attract large numbers of the world's best and brightest young minds. Both industries demand dedication, long hours and operate in fast-paced, and sometimes stressful work environments. Succeed in either industry and you've got a chance at becoming spectacularly wealthy.
But, just how similar are the industries? We caught up with some people who have lived, worked and thrived in both worlds and asked them their thoughts about the similarities and differences of working in tech and finance. Here's what they had to say:
Divya Narendra, CEO & co-founder of SumZero, Inc
Where did you work when you were in finance? My first job out of college was as an M&A Analyst at Credit Suisse. After doing my two years, I worked for a multi-strategy hedge fund in Boston called Sowood Capital.
Are there any day-to-day differences between working in the two industries? The day-to-day differences are numerous. As someone who initially bootstrapped his business, I went from earning a decent paycheck to initially earning nothing. Of course, the flip-side of this is that I owned substantial equity in my business, which is highly motivating. As my business grew, we were ultimately able to raise outside funding and build a team that has since stuck together. The dynamic is very collegial. I think this sort of supportive environment can be harder to replicate on Wall Street as well as at larger firms. The culture of a small team like ours is also heavily influenced by the fact that we all sit together. No employee has an office or even a cubicle but rather we share large tables that foster communication.
Whether large or small, all business are (or at least should be) mission driven.
Which industry has a better work/life balance? Tech is generally the better place to be when it comes to work/life balance in my opinion. Culturally speaking, tech firms are far less likely to enforce dress codes and usually more open to allowing employees to work from home and to have flexible schedules. The laser focus on results is still there, but tech firms tend to be a bit more flexible on the path to getting there.
Which industry do you prefer to work in? I'm obviously biased, but for me transitioning out of finance and into fintech has been a great decision for multiple reasons. I've been able to build upon what I learned early in my career, but I also gained a far greater deal of responsibility faster than I would have had I remained on Wall Street.
Philip Lang, Co-Founder at TripleMint
Where did you work when you were in finance? I was at Macquarie Capital.
Are there any major differences between working in tech and finance? The major difference between finance and tech is really cultural. In my position, I work on growing my company and initiatives to increase revenue. In finance, I was doing mostly client-based work that was focused on helping others. There is a larger sense of ownership in tech because each employee has a much larger stake in the overall success of the company.
Which industry has a better work/life balance? Tech has a much better work/life balance, though I would imagine that this really varies by the company. The concept of work/life balance doesn't exist much in investment banking, whereas in tech I am able to set my own hours with the understanding that I get all of my work done. I think there's also a much bigger focus on employee happiness in tech — we try to emphasize the 'fun' part of work.
Overall, which one do you prefer? I much prefer tech, but that's also because I get to work for myself! There's a great sense of achievement in creating careers and a company that people want to work for.
Samantha Lynch, Corporate Development & Strategic Finance Manager at Compass
Where did you work when you were in finance? Goldman Sachs, in News Corporation's M&A group.
Having worked in both finance and tech, are there any major day-to-day differences? Yes, I find tech to be a more collaborative culture — people are passionate about the product and mission, which results in a willingness to help other teams beyond one's own. I am amazed at the way colleagues also go beyond their day-to-day role to identify opportunities for growth and improvement and proactively drive them forward.
Secondly, I am now surrounded by a broader range of backgrounds and skill sets as opposed to being in an environment in which the majority have similar finance experience. On a weekly basis, I interact with marketers, engineers, product managers, sales managers, lawyers and more from Google, Pixar, L'Oreal, Bloomberg, McKinsey, Blue Apron and beyond.
What are any of the similarities between the two industries? Similarly, tech companies are fast paced cultures with the need to make thoughtful and well-informed decisions in a timely manner. The level of talent, intellectual curiosity and work ethic is similar as well.
Which one has a better work/life balance? Both require responsiveness, dedication and the ability to thrive in a fast-paced environment. I find that the tech industry's culture promotes a better work/life balance in terms of enabling remote work, encouraging employees to actually take their vacation days and recognizing hard work while not promoting face time. I also find that there is a greater ability to control your own schedule.
Which do you prefer? Tech — it is more satisfying to me to feel that I am applying my analytical and financial skills to truly have an impact on a company and to help drive growth/improvements. It is also more exciting to me to be part of a company that is changing/disrupting an industry and growing at such a fast pace.
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