Hi , I was wondering what source can you use to find out more information about recent deals that a particular group was involved in at a BB bank. How exactly would you go about in finding this information? I have an interview with a BB soon and was wondering what typical questions can you expect in an interview regarding those deals? thanks
You should be keeping up with deals by reading WSJ, NYTimes Dealbook, Financial Times, etc. If you’re really curious, check out the prospectuses for the transactions. You ought to have some thoughts on the rationale for the deal and whether or not you think it made sense for the companies involved.
For interviews, you only need to know basic details about, say, the 3 highest profile deals in the news (focus on the deal rationale, the biggest challenges, and how you might have valued the target). Then it helps to know a little about a couple of deals the particular bank has been involved in. Don’t get lost in detail. Try to sound interested rather than sounding as though you have looked up and memorised these details. When I was an IB analyst, I used to interview people (analysts and interns) all the time, and rejected heaps b/c they sounded like dorks (memorised all the deal info, but hadn’t thought about it and/or didn’t know s**t about finance). As for where to get the info, I don’t know how much of the content is free (I had a subscription when I was in IB), but www.mergermarket.com should have basic info for pretty much any deal. As for what questions to expect, a small (random and far from exhaustive list): Why IB rather than trading? Why our firm? (make sure you couldn’t say the same thing about any BB… I used to embarrass a lot of people that way) Expect some brainteasers. Talk about your strengths and weaknesses. Why would you want to work in IB, when everyone knows it’s going to kill you? What motivates you? Then expect some finance stuff… What are the different ways to value a company (DCF, public comps, transaction comps)? Maybe they will say something like “Company XYZ runs a toll road, what’s the best way to value it and why?”. Explain how you would build a DCF. I used to ask some pretty off the wall ones… “What do you prefer Keynesian or Monetarist economics?” Just make sure you know as much as you should for your educational background. Why have we seen a lot more PE activity? What do you read? Tell me about something interesting you’ve read recently in XXX. Do you have any favourite finance books?.. Hope some of this is useful.
YoMama14, have there been anymore cuts at your bank (or former bank) lately? Resumes have started rolling in from a few places. Also, Etienne gave some ideas for good questions. Be ready for all of those. In addition, given that you have ER experience, you will certainly be tested on your knowledge of financial statements and how they’re integrated - in particular, you ought to know your cash flows and ratios cold and how they affect the three statements. If you miss any basic cash flow questions, that could be a dealbreaker. Finally, you should really have a good handle on what the credit crunch is all about, be able to explain what happened, what’s been happening, and what you think will happen going forward.
If you have a bloomberg terminal, you can use the MA function to search for deals.
thanks guys for your helpful advice. Unfortunately I dont have any of the expensive resources that are available to the banks. numi, I have not heard of another round of layoffs at my former bank but speaking to current employees, another round is supposed to come soon. Many people feel that they will be laid off and are leaving/trying to leave to find more secure jobs.