So thanks to the advice that I have received on this forum I have finally been able to secure my first interview for full time employment post undergrad. The position is for an investment analyst at an AM firm. From what I understand, I will be supporting the portfolio manager directly. With time ticking before the interview I must say that I’m starting to get the jitters. Any words of encouragement or advice would be much appreciated. I am particularly interested if anyone has info on the following: 1) What is the salary range for this type of position? (the firm has around $5bil in AUM but the particular fund is around $300 mil) 2) I’m not completely familiar with position titles on the buy side. Where does an “investment analyst” stack up in the hierarchy? Based on the profiles of the other investment analysts at the firm, I am extremely lacking experience which makes me wonder if I am way over my head. 3) What kind of duties does this position entail? Hours? Culture?(unfortunately, I no longer have access to the job description and applied for the job several weeks back) 4) What kind of questions will I be asked? 5) What questions should I ask them? The last three questions are the most important to me. I am treating this interview as possibly the only way I will be able to break into the field (at least for a few years) so I will be devoting all of my time to getting ready but it’s kind of difficult when you don’t know what you’re getting ready FOR. This is why I would be very grateful if anyone can eliminate any of that uncertainty.
There was a discussion a couple of months ago concerning buy side equity analyst questions/interviews. Do a search (buy side), you should be able to pick up some great tips.
Is this an equity analyst position? How long do you have before the interview?
Be prepared to be dissapointed in salary, esp if your particular fund only has 300 AUM.
thommo77 --> Thank you for the link! Carson --> I have a couple of days nuppal --> I am prepared. I am more interested in the experience that I will get and not the compensation (at least not for the time being). It seems that many people work on the sell side for a few years just so they can get into a buy side role such as this so I am grateful for the opportunity to possibly shave a few years off my career progression. I am convinced that as long as I work hard and learn as much as I can, the compensation will come eventually.
Redox Wrote: ------------------------------------------------------- > nuppal --> I am prepared. I am more interested in > the experience that I will get and not the > compensation (at least not for the time being). It > seems that many people work on the sell side for a > few years just so they can get into a buy side > role such as this so I am grateful for the > opportunity to possibly shave a few years off my > career progression. I am convinced that as long as > I work hard and learn as much as I can, the > compensation will come eventually. Excellent, almost exactly what I told my current employer as well. Except the shave a few years off my career thing since im sell-side.
#5 is the most important of your requests. Make a list of 7-10+ questions that you want to ask them. This might sound like a lot, but it does a couple things: -You learn a lot more about the firm and the principals than you would if you had 2-3 questions -It prepares you for the chance that the interview revolves around answering your questions. I just had an interview in which 90% of the interview was me asking the interviewer questions, and it started with that. After 5 questions or so, she said “what else can I answer for you?” It makes for a great interview - if you’re prepared. -In general, you sound much more interested in the firm, even when answering other questions. You never know when you can tie your answer to something you learned about the firm. A couple things I was interested in, or would be in your case… What are the particular strengths of your team? What can be improved about your team? What are your valuation processes? What type of growth would you like to see for this fund over the next 5 years? (if it’s a small cap, do they have a cutoff of 1B or 1.5B, etc. and a target date for reaching it?) Sounds like a pretty great job, congrats on getting the interview.
Redox, Are you sure it’s a research position? Investment analyst often refers to back office type work…
eganlyst --> I will certainly be taking your advice. EMHdenied --> I am sure that it is a research position. I was told over the phone that I would be working directly under a specific portfolio manager and was told what space his fund covers. Also looking at the bios of the other investment analysts at the firm it’s clear to me that this is not a BO position.
Redox, how did you get the interview? Good interviewing skills come with practice. During my first interviews I would be visibly nervous, but now I’m very comfortable taking on their questions simply because I’ve been on enough that I became used to it. I would be prepared with a stock pitch. Or be able to talk about your personal investment strategies. If you’ve kept up with the markets at all, you should be able to pull one or two stories about what you think. If there are multiple rounds, the first round is usually behavioral but I would still be prepared for technical questions. People always say that you should be enthusiastic and personable. Try to make the interview less of a Q & A session between you and the interviewer, but more like a conversation. Good luck.
I would be suspicious. This is an employer’s market. Possibilities: -You have some sort of superimpressive resume for your age, which is unlikely to matter because people with superimpressive resumes 2-5 yrs out of school with work experience are unemployed -you have some amazing network -the fund is not top tier (reputation/performance/location, etc.) -other?
nuppal Wrote: ------------------------------------------------------- > Be prepared to be dissapointed in salary, esp if > your particular fund only has 300 AUM. I disagree. I think the base salary would more than likely be reflective of the size of the firm ($5bil). The bonus however will probably be tied into the incentive fees earned on the 300MM.
Tell us the city and firm so we can help you better. This is in Toronto isn’t it?
Topher --> The firm made a private job posting that was specific to my school. RealWarriorsOnlyPlease --> Not sure how to respond to this one. I DO attend a top school in Canada if that means anything. My resume is pretty good but nothing fantastic considering I do not have very relevant finance related experience. Part of my application package included an analysis of a stock and without sounding cocky, I think I did a damn good job on it. Also have have the CFA level I under my belt which I happen to know that no other undergrad at my school has (at least I think). I take it by your skepticism that this interview is a great opportunity for me so I definitely won’t be taking it lightly. Part-time Crook --> I’d rather not reveal this information, especially considering I’m not sure how this information would be relevant in regards to helping me with the interview? You are correct that this position is in a major metropolitan area (at least by Canadian standards hahah) Before this, I have mostly prepared for investment banking interviews. Can anyone shed any light on how an AM interview might differ from an investment banking interview? Specifically, how does the technical component differ? Any online resources would also be greatly appreciated.
Does anyone know what kind of technical questions I can expect?
Redox don t let yourself get discouraged by the cynics and sceptics of this forum who say it has to be a BO job / the fund must be a crappy one / something stinks. You have a shot at something that could turn out to be quite good for you.
Nothing overly technical. It is a position requiring no prior experience so they won’t expect you to have much in the way of modelling skills. I’d imagine they will ask you some macro questions (what do you think of the economy, China, dollar, deficits etc). What makes a stock an attractive investment is another classic (high ROE, low debt, moat, good management etc). And be ready with a stock pitch. For a round one interview, I’d expect more behavioural questions than technical. That is particularly true at entry level. So be able to talk through your cv and explain why you want the job. The focus here is always to bring it around to how your experience will be of benefit to their company. Don’t keep telling them you really want the job and it would be a great fit for you. That’s a given since you are interviewing. You need to make them think that you’d make a positive addition to their team. After that, be ready for all the standard junior interview questions. An example (or 3) of times you’ve shown leadership. A time you made a mistake and learned from it. What are your greatest skills/weaknesses. What motivates you. Maybe a brainteaser or two. You can pick up books on how to handle basic interview questions like these at any bookshop. Prepare your answers beforehand. Often, you can have prerehearsed answers to at least 75% of the questions you are asked. If you are surprised by a question, don’t stumble over your response. ums, ahs, well, eh, maybe… is not a good answer. Take a moment and say something like “that’s an interesting question. I’d never really considered it before.” Then either make a qualified best guess or a dignified pass. As long as you do this with confidence then you will not lose marks with the interviewer. People often stumble over questions in interviews and then completely lost their confidence for the rest of the interview. Confidence is key in interviews. Go in knowing that you want the job, can do it well and then make them believe it too. That’s what the process is all about.
Yep. I was not trying to be offensive. However, I would say use the opportunity to interview them just as much as they are interviewing you.
Thanks to everyone for the words of encouragement. Special thanks to Carson. Your post is EXACTLY what I was looking for when I made this thread.