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Comment by johngalt | Hacker News Reader

Investment banker: Work hard where you're at and then steal the client list to go start your own shop. If you're really better than the boss you hate people will flock to you. Make sure the clients see you as a go-getter.

That investment shop will have every banker arguing that they deserve a gigantic compensation package. Add's a lot of overhead that you won't have starting out.

Accounting: Like most professional services the web has revolutionized accounting. You can now trivially have your accounting done anywhere in the world. How about you start your own shop by hiring and managing overseas workers? Or how about a cadre of accountants based in a low cost area of the US? Since 1995 other industries have been transformed by technology MORE than the tech sector. Netflix/iPod/Kindle anyone?

You've got me on pharmaceuticals, but it seems that regulation is the key here. I doubt communism would help with that.

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"Investment banker: Work hard where you're at and then steal the client list to go start your own shop."

That's actually the one action where a non-compete is universally and trivially enforceable in all 50 states. As I understand it, IANAL. Additionally, it's unethical if you believe in that sort of thing. So, bad idea.

Not sure what communism has to do with anything. At all.

If you sign a non-compete, are you surprised that it's difficult to go out and found a competing organization? If you can't manage starting your own investment firm, then you apply what you've learned as a banker to a different slice of the pie. Fundamentally you're looking at ways it won't work rather than looking at ways it can work.

"Not sure what communism has to do with anything. At all." The article? Specifically mentioned communism as the solution to these problems? If you're pointing to regulation as a barrier to entry then what the article recommends wouldn't help.

EDIT: Excuse me it advocates the universal solidarity of social justice to promote the overthrow of capitalism in the name of socialism whew, good thing I caught that. Someone could have confused socialism with communism.

http://en.wikipedia.org/wiki/The_Gulag_Archipelago

One reason you don't see bankers doing that is that their comp is already set to about 1/2 the revenue they bring in. (Banks target to have 50% of their banking revenue go to salaries.) Plus, you get reduced income volatility by pooling risk with the other bankers. So maybe they give up 10% of your income of $1MM plus, but they also don't have years when you make zero (and I've seen Managing Directors at a bank go a full year without closing a deal that generates revenue - it can take years to close an M&A or equity deal depending on the client.)

It's such a good deal that while you see bankers jumping from one big bank to another to improve their deal, you rarely see them starting a new bank.

Or if your dad is super rich, he can just give you enough enough money to start your own hedge fund at 25. Connections beat skill more often than we'd like to admit.

Sadly, this is not a hypothetical. I belong to a yacht club with more than 25-30 y/o living this exact dream.

Ok, so build your connections working as a banker?

People will like or dislike you for a number of reasons/bias. I once had a high dollar investment customer that would only deal with me because of my attitude. Others that refused to deal with me because of my attitude. Trying to say that there is one "right" way to act and it only comes with money just isn't accurate. One of the first things you realize with banking is how varied or even normal rich people are.

There is no one shibboleth used to filter out the people that don't belong. Judgementally approaching them, and acting like they are all elitist exclusionary cronies will make them happily oblige your fantasy.

An analyst/associate is not going to be able to go off and start his own boutique if he can't even make it to MD in an existing firm(s).

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