The different ranks in M&A

The mergers and acquisitions (M&A) sector is widely regarded as one of the most prestigious and demanding fields in finance. Careers in M&A follow a well-defined progression, with increasing responsibilities and skill development at each stage. If you’re considering a career in this field, it’s essential to understand the various roles and their nuances. This article outlines the typical M&A positions, from junior analyst to managing director!

Analyst: the base of the pyramid

The analyst role is the entry point into M&A for recent graduates. After completing a top business or engineering school, coupled with two or three internships, most young professionals begin their M&A journey as analysts.

Main responsibilities include:

• Conducting financial analyses, modeling, and valuations (DCF, comparables, etc.).
• Gathering and organizing information in data rooms during due diligence
• Preparing marketing materials like pitch books, teasers, and information memorandums (IMs).

As the operational engine of transactions, analysts play a critical role in execution. The position demands exceptional attention to detail, strong technical skills, and the ability to thrive under an intense workload.

This stage typically lasts 2–3 years. In larger institutions, analysts may progress through sub-levels (e.g., junior analyst to senior analyst or analyst 1 to analyst 3), with gradually increasing responsibilities.

Read also : The recruitment processes in M&A

Associate: the strategic intermediary

After a few years as an analyst or with additional education (such as an MBA or specialized master’s), professionals advance to the associate position.

Main responsibilities include:

• Supervising analysts’ work and ensuring the quality of deliverables
• Actively participating in negotiations with clients and stakeholders
• Collaborating closely with vice presidents and directors to structure deals.

Associates develop a strategic understanding of transactions while honing their interpersonal skills. Team management also becomes an integral part of their role.

This stage lasts approximately 2–4 years before advancing to vice president (VP). Similar to the analyst role, associates may progress through sub-levels (e.g., associate 1 to associate 4 or junior to senior associate).

Vice President (VP): the project management expert

The VP is responsible for coordinating all phases of a transaction and bridging the gap between juniors (analysts and associates) and seniors (directors and managing directors).

Main responsibilities include:

• Overseeing multiple transactions simultaneously
• Maintaining client relationships throughout the project lifecycle
• Identifying growth and business development opportunities

At this level, the focus shifts to project management and leadership. VPs also begin playing a more active role in business development.

Typically lasting 3–5 years, this phase is a pivotal moment in a career. The role transitions from execution and production (analyses, financial models, strategic documents) to negotiation, relationship building, and team management.

This stage is where professionals refine their skills in business strategy and leadership, preparing for the next step: director, where the emphasis is on being a “deal maker.”

Director: the deal maker

The director’s role centers on generating revenue and managing complex transactions.

Main responsibilities include:

• Identifying new deal opportunities
• Negotiating transaction terms with clients and investors
• Managing relationships with key clients and expanding the client portfolio

Directors are deal makers who transform opportunities into successful projects. Their commercial acumen and networks are critical assets at this level.

This stage can last 5 years or more, depending on performance, before advancing to managing director.

Managing Director (MD): the pinnacle of the hierarchy

The MD is responsible for overall strategy, major client relationships, and business growth.

Main responsibilities include:

• Building and maintaining a network of clients and investors
• Managing large-scale transactions
• Representing the bank or firm at major industry events
• Mentoring and guiding team members across all levels

The MD is the face of the M&A team, tasked with driving business growth, enhancing the firm’s reputation, and closing significant deals.

For some, the MD role represents the pinnacle of their career. For others, it serves as a stepping stone to more strategic positions, such as managing partner or executive committee member.

Read also: M&A intern: missions, recruitment and perspectives

Why is this hierarchy important?

Each rank in M&A is designed to develop specific skills, from technical fundamentals to strategic leadership. This structured progression equips professionals to manage complex transactions and meet the demands of high-profile clients.

Career prospects

A career in M&A offers rapid growth opportunities for high-performing professionals. Beyond advancing within banks or advisory firms, many M&A experts transition into private equity, sovereign wealth funds, hedge funds, corporate finance roles (such as CFO or Head of Corporate Development), or even entrepreneurship, leveraging the transaction expertise they’ve gained.