|Topic||i-banking interview advice please|
|I have an interview for an internship at an investment banking boutique later this week. I've heard that in i-banking they generally ask you three things: why i-banking, why at this company, why you. Not sure how to answer the part "why at this company"... Do I have to know the delas that they closed recently? Any advice will be truly appreciated.|
|I was an i-banking analyst after college at a mid-size investment bank....and I interviewed first year analysts....for a boutique firm the answer to why this company is (its a entreprenuiral environment...you'll have more time to spend / learn from the senior bankers...you'll be more involved in the deal team because of the small size of the firm....and the best for last...you can truely be a generalist for your two year stint of duty.
Trust me..the above answer is all that you have to say for that question.
As a free tip....on the why you...say you have worked really hard your whole life..and 14 hour days are normal for you.
Good luck on the interview!!!
|There are a number of common criteria which most competitive firms use in hiring new employees. These include, but are not limited to: candidate's academic background, experience, personality fit, work ethic, etc.. However, the final decision really hinges on the appropriateness of fit, which cannot be efficiently evaluated by this forum.|
|It really depends on what type of internship you'll be interviewing for. I'm assuming the internship is in the general M&A and/or Corporate Finance capacity. There are the usual softball questions that any employer would ask as you've mentioned, why banking, why you, why do you want to work for them.
Try to get as much info about the firm in terms of what they specialize in, what deals they've recently closed, etc. I can't stress the importance of knowing just those things, I've seen my friends at recruiting events ask boutique banks about deals/clients outside of the boutique's scope and it really reflects badly on you. Also, make sure you understand what's going on with the boutique. Most boutiques arent broker/dealers meaning you're really only working on M&A deals, so you wouldn't want to discuss raising equity/debt.
As for why banking and what makes you qualified, you really just want to relate things that you've done that have required tenacity and hard work. You worked in a foreign country and worked to get to the US for banking, bring that up, that's impressive. Mention the CFA but don't harp on it, sure it takes a lot to pass and it's a commitment but as for bragging rights the CFA doesn't do much in banking.
If this is more of an associate level vs analyst level internship you better know your accounting and finance too. If it's an associate level internship there's a good chance of getting those questions. Examples are walk me through a DCF, explain Adjusted Present Value, explain unleverage Beta, what is Net Working Capital, what comps would you use for our industry, etc. They tend to be open ended for a reason because interviewers will typically drill down from your initial answer to see if you really understand what's going on.
For example, for NWC, they'd ask you what it is, you give them the textbook, Current Assets - Current Liab. Then they'd ask but really, what is NWC. Then you explain that it represents the liquidity a firm has for immediate financing needs (whatever the usual Ross, Jaffe, textbook says) and then they might ask you what accounts under assets make up Current Assets, etc. Sounds easy here but when you know it's one job 100 people are going for it gets tougher.
If you're internship is at an analyst level though don't worry about the accounting/finance stuff. Good luck.