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How AI Changed the Silicon Valley vs. Wall Street Debate
Tech’s reign over investment banking as a millionaire-maker is ending, and how
Back in 2012, when I joined Goldman Sachs – one of the world’s most coveted investment banking companies – I knew the hay days of banking and finance were behind us.
The sub-prime crisis and the ensuing regulatory tightening ensured that investment banking payouts were significantly curtailed.
Yet, finance — and investment banking specifically remained a lucrative option for most graduates and post-graduates.
However, it wasn’t “the” place to be any longer.
The rise of Silicon Valley and the startup boom meant that technology was the sector to be in, and coding was the skill to have.
Big Tech was giving out more money in stock options than investment banks could pay out in year-end bonuses.
Heavily-funded startups were giving out lucrative ESOPs that would often turn into hefty windfalls when these companies had some form of an exit.
Investment banking bonuses, on the other hand, kept getting squeezed as markets remained volatile and scrutiny on the “perceived evil” of banking remained significant.
