There are too many headhunters chasing too little work in London
Are there big problems in London's financial services headhunting community?
The way some people tell it, yes.
"We're having a real issue with the front office side of our business," says the chief executive of one London search firm. "These markets are 90% down on last year."
"London has been over-broked for years," says the chief executive of one London financial services search boutique. "The problem is that there are comparatively few new hires here."
"There are too many headhunters cashing too little work in London this year," says the chief executive of another (of all whom wanted to be totally off the record). "The ones with the house accounts and the repeat relationships are getting the work."
The slowdown is making itself felt. Kinsey Allen has lost some key people and is understood to be considering its options.
Other boutique financial services headhunters are also said to be finding it hard going. However, while 2011 isn't great, the chief executives we spoke to said it's not necessarily disastrous.
"2010 was a boom, so after that anything is going to look different," says one. "This is just a year in which your relationships count."
"The market is tougher this year than it was last year. However, it's a bit similar to the market in 2009," says another. "The search firms that are financially well-backed and have a diverse business model are the ones that are surviving."
Outside London, it may not be as bad. The latest global stats from the Association of Executive Search Consultants show financial services searches were down just 2.5% by volume in the first quarter.
