The paper provides insights into a large and growing sector of the economy, as well as an area where, due to teaching responsibilities, finance scholars have a relatively large impact. Several prior papers on areaswithin the broader invest- ment banking community hint at possible reasons for the strong persistence in finance careers that I demonstrate below. 1 For example, Hochberg, Ljungqvist, and Lu (2007) show the importance of networks in venture capital and Ka- plan and Schoar (2005), Brown, Harlow, and Starks (1996), and Chevalier and Ellison (1997) find that success leads to investor inf lows in private equity funds and mutual funds. .
