Hi, I’m optimistic about landing at least a couple first rank interviews at some BB banks during the current grad recruitment drive in Aus. Are there any textbooks out there that summarise the technical questions one might receive for an IB interview? Covering topics as corporate finance, multiples valuation etc? I gave away all my CFA texts and sell past university textbooks unfortunately.
ugradCFA Wrote: ------------------------------------------------------- > Hi, I’m optimistic about landing at least a couple > first rank interviews at some BB banks during the > current grad recruitment drive in Aus. Are there > any textbooks out there that summarise the > technical questions one might receive for an IB > interview? Covering topics as corporate finance, > multiples valuation etc? I gave away all my CFA > texts and sell past university textbooks > unfortunately. Try to get the Vault guide on Finance interviews.
Thank you both - the Vault guide is mint.
The site jcole21 provided was started by a friend of mine, and from what I know, it’s the best direct source of free content. You’re doing the right thing to focus on corporate finance and valuation, but also don’t forget to spend time reviewing your financial statement analysis (very popular questions include how the three financial statements link together, as well as cash flow and balance sheet issues) along with what’s going on in the broader deal space these days. Lastly, it doesn’t suffice just to study the material – you need to practice aloud and get your answers to be as succinct and animated as possible, versus coming across as being robotic and uninspired. Every good candidate I interviewed for private equity not only knew the material, but was sufficiently confident that their delivery was confident and seamless. Good luck!
If anything, read John C. Hull’s book: Options, Futures, and Other Derivatives It’s a highly technical book that will give you brownie points if you understand the material.
If anything, read John C. Hull’s book: Options, Futures, and Other Derivatives It’s a highly technical book that will give you brownie points if you understand the material.
I don’t think Hull’s book is relevant to investment banking interviews. He’d just be spinning his wheels if he bothered reading that before his interview.
dont waste your time reading Hull for an IB interview for S&T yes but most of the material in there is far beyond anything you’d be asked in a corp fin interview. vault is a good starting point and as numi stated you have to do more than know the material. delivery and being able to discuss it is a big factor
i have an ibanking guide someone emailed me awhile ago, whats your email ?
you could also check out Damodaran’s (NYU Stern professor) website to practice using his basic spreadsheets, in order to remove the cobwebs.
Take this list and eliminate the possibility of anything listed on here happening to you. Eleven Reasons for Rejection 1. Poor attitude. Many candidates come across as arrogant. While employers can afford to be self-centered, candidates can not. 2. Appearance. Many candidates do not consider their appearance as much as they should. First impressions are quickly made in the first three to five minutes. Review the appearance checklist. 3. Lack of research. It’s obvious when candidates haven’t learned about the job, company or industry prior to the interview. Visit the library or use the internet to research the company, then talk with friends, peers and other professionals about the opportunity before each meeting. 4. Not having questions to ask. Asking questions shows your interest in the company and the position. Prepare a list of intelligent questions in advance. 5. Not readily knowing the answers to interviewers’ questions. Anticipate and rehearse answers to tough questions about your background, such as a recent termination or any employment gap. Practicing with your spouse or a friend before the interview will help you to frame intelligent responses. 6. Relying too much on resumes. Employers hire people, not paper. Although a resume can list qualifications and skills, it’s the interview dialogue that will portray you as a committed, responsive team player. 7. Too much humility. Being conditioned not to brag, candidates are sometimes reluctant to describe their accomplishments. Explaining how you’re ach difficult or impressive goals helps employers understand what you can do for them. 8. Not relating skills to employers’ needs. A list of sterling accomplishments means little if you can’t relate them to a company’s requirements. Reiterate your skills and convince the employer that you can “do the same for them”. 9. Handling salary issues ineptly. Candidates often ask about salary and benefit packages too early. If they believe an employer is interested, they may demand inappropriate amounts and price themselves out of the jobs; candidates who ask for too little undervalue themselves or appear desperate. 10. Lack of career direction. Job hunters who aren’t clear about their career goals often can’t spot or commit to appropriate opportunities. Not knowing what your want wastes everyone’s time. 11. Job shopping. Some applicants, particularly superstars in business development, will admit they’re just “shopping” for opportunities and have little intention of changing jobs. This wastes time and leaves a bad impression with employers they may need to contact in the future.
I think anyone should be prepared for very challenging interviews for top finance jobs. And by very challenging I mean that they won’t really test your knowledge (for entry-level jobs). By challenging I mean that they will test how sharp you remain under pressure. I once had an interview for a very prestigious investment firm. They interrupted me when I was talking about my CV at some point to ask me the square root of a number under 1. If you are like me, the surprise will be enough for you to mess it up. Then if you are lucky, you get a paper case study where you have some time to put your sh!t together. If you are unlucky like me the case study will be oral, in consists of you giving your recommendation to invest in given imaginary meat-processing company A or in given imaginary logistics company B. Since you have zero information on neither companies you are asked to orally improvise a plausible 2007-2010 summary P&L and CF statements item by item from Sales to Net CashFlow. Your interviewer sketches what you are saying on paper (you are not writing) and challenges every assumption you make about P&L line item, e.g. being fixed / variable, why did it decrease from x% while other item decreased by y% why do you assume that the delta in Working Capital will be positive if you have so many DSO, DPO, and Days of inventories held and what will be the cash effect, etc, etc. Repeat process for company number 2 and compare for example EBITDA margins’decline for the 2 companies given their respective cost structures, justifying everything you say. Case study is over, and you feel like a retard for screwing up questions that you know were not challenging if not under pressure. Then comes the second part, your general knowledge of let’s say valuation, with questions like what do you have to watch out for when using valuation method XYZ. That’s a walk in the park compared to first part of interview that you screwed up. Then interview is over, they tell you what are the next steps, but you know it’s formality because you screwed up the case study anyways. So you leave feeling like you’ve been KO’ed, but happy to be out of there. You kick yourself from ruining such an opportunity but on the bright side, you know that you won’t be caught off guard the next time. Bottom line : be prepared. I think what I described is pretty common for good finance jobs. These people are buying brain power. Anyone can spend weeks googling what they do, but not anyone can think clearly and fast under pressure. Good luck. Don’t want to scare you, but I think it’s good for you to be prepared.