The Making of an Investment Banker

The Making of an Investment Banker

My notes from Jim Donovan’s lecture:

Part 1: Getting the job (interview)

  1. Great grades are important/relevant.
  2. Pre-reqs: Research the company you are interviewing at, project confidence, be able to walk them through your resume.
  3. Interview advice:
    1. Prior to the interview:
      1. Read the Wall Street Journal every single day (15 minutes a day):
        1. One article on Macro-economic topic like inflation or interest rates.
        2. One article on a specific industry, company, or transaction (merger, IPO, earnings etc.)
        3. One article from the op-ed page.
      2. Become familiar with the 3 financial statements:
        1. Know what they are
        2. Take a class in financial accounting
        3. Know how they interact with each other
    2. During the interview:
      1. What topic do people enjoy talking about the most? Themselves. Get them to talk about themselves. Ask open ended questions: Why did you decide to become an investment banker? What’s the most interesting transaction you’ve worked on, and why? They’ll enjoy the interview a lot more this way. You’ll learn the most.
      2. Avoid questions that lend themselves to yes/no answers. You want this interview to be a dialogue, not an interrogation.

Part 2: Keeping the job

  1. Find a role-model: Single criteria - purely merit based.
  2. Make it clear that you have no ego. Get coffee. Get photo copies. Volunteer.
  3. Take notes. It conveys to the people in the room that you are serious, and what they’re saying is important. Gives them a sense of comfort that you’re not going to forget.
  4. Work hard. Be prepared for that.
  5. First impressions die hard. Good first impressions die hard, and bad first impressions die hard. Early on, be available, be responsive.
  6. Never stop learning.

Part 3: Excelling at the job (as an elite senior investment banker)

  1. Give your client advice that is the best advice for the client, even if, and in particular if, it is contrary to your own interests.
  2. Take a position. Don’t equivocate.
  3. Embrace and relish in adversity.
  4. Master discipline.
  5. Excel on the merits.
  6. Never ever give up. Apply this to everything in life - from getting a reservation at a restaurant, to getting a job, to getting a new client.