Investment Banking Insights

Updates in the world of investment banking, regarding Wells Fargo's release from it's $1.95 trillion asset cap. Also, Ken Moelis steps down as CEO of Moelis & Co.Click here for Buy Side Recruiting HelpBuy Side Resources (14 Real LBO Case Studies w/Apollo, Blackstone, KKR, etc.) For 10% off enter: IBIThe Pulse - Buy Side RecruitingBuy Side Resources (14 Real LBO Case Studies w/Apollo, Blackstone, KKR, etc.) For 10% off enter: IBIDisclaimer: This post contains affiliate links. If you make a purchase, I may receive a commission at no extra cost to you.Contact: investmentbankinginsights@gmail.com

Drew Pascarella is a seasoned investment banker and educator (including my professor!). Drew shares his journey from an IT role at Goldman Sachs to becoming a front-office investment banker at Citi, and eventually transitioning to teaching at Cornell University. We cover a lot of ground, including themes such as:- the importance of networking and mentorship- building your reputation throughout your career- the evolving landscape of investment banking educationIt was an honor to interview someone who played such a big role in my journey these past two years. So Drew - thank you for coming on the show!Contact: investmentbankinginsights@gmail.com

Series 63 exam results and differences from the SIE.Also…I just graduated from business school!!!!

Most of the investment banking jobs in the United States are in New York...but what if you want to work somewhere else? Setting up your life in a physical location is a big decision that impacts your entire lifestyle. Today we cover how to tackle this interview question.Contact: investmentbankinginsights@gmail.com

Today we're sitting down with Pete Fraser, a former mechanical engineer who successfully pivoted to investment banking after his MBA at Cornell. Pete shares his journey from working in a steel mill in Gary, Indiana to landing a coveted position at Guggenheim in New York City.We discuss: The culture shock of MBA recruitingA cautionary tale about getting cutThe "Zero Defects" philosophyThe importance of having a champion on the inside...and much moreCheck out Pete's book Wall Street Dropout at https://streetdropout.com/You can reach out to him at: peter@streetdropout.comContact: investmentbankinginsights@gmail.com

Beta measures systematic risk...great to know, but what do we do with it? In today's episode we'll walk through how to un-lever and re-lever beta based on the capital structure of a target business that you're valuing (e.g. for a DCF analysis).Contact: investmentbankinginsights@gmail.com

How I did on the Securities Industry Essentials (SIE) exam and advice for you!Contact: investmentbankinginsights@gmail.com

What does beta mean in finance and what is it used for? A simple explanation.Contact: investmentbankinginsights@gmail.com

Today we're performing a quick comparable companies analysis for NVIDIA in Capital IQ. We'll walk through how to create the set of comparable companies and get to the point of being able to compare trading multiples for similar firms.Contact: investmentbankinginsights@gmail.com

Today I'll give a quick update on where I'm at in my journey, and share some insights I've learned talking with a several of you!Contact: investmentbankinginsights@gmail.com

AI's a big buzzword these days, but it's worthwhile to think about how artificial intelligence is going to impact our work as investment bankers. While I don't think we'll be out of a job, I strongly believe the nature of our work as advisors is changing, and we'll be expected to do much more, as sophisticated tools allow us to expand our productivity.Contact: investmentbankinginsights@gmail.com

It's my pleasure to welcome Jason Lum back on the show to talk about recruiting trends and strategies to help you stand out (particularly if you go to a non-target school). We discuss what's going on in the market right now and specific actions you can take to make progress toward success!Looking for one-on-one help with the recruiting process? Jason and his team still have a few slots open for this cycle, so reach out now if you need some extra help.Note: At no extra cost to you, I may receive compensation from services you purchase through this podcast.Contact: investmentbankinginsights@gmail.com

Last week we talked about the Capital One and Discover deal going on right now, and I thought it would be a great opportunity to explore how the math might look for a deal like this. We'll go over a simple merger model that I put together in Excel. Contact: investmentbankinginsights@gmail.com

Capital One has decided to acquire Discover Financial, a big deal in the financial services space. Today we discuss the basic elements of the deal, including purchase price, consideration, and rationale.Contact: investmentbankinginsights@gmail.com

After you get the internship and secure the return offer, what's next? To get licensed as an investment banker, you have to take a few tests....bummer right? Don't worry, these are standardized exams that will draw on a lot of knowledge you've already been learning. Let's dive into exactly what these tests are so you know how to approach them when you're ready.Contact: investmentbankinginsights@gmail.com

Happy 2025! Every now and then it's good to zoom out of the small details of recruiting and understand what's going on in the broader industry. Here are are some fast facts and figures about how the IB industry did in 2024...and my thoughts for what's to come this year!Contact: investmentbankinginsights@gmail.com

When you get that investment banking offer in hand, it's a beautiful thing. The most common situation is simple - you accept the offer!But what if you have multiple IB offers to choose from? It's an amazing position to be in, for sure, so how do you decide? We talk about this scenario today on Investment Banking Insights.For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

How To Know When To Quit RecruitingFor recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

There are a number of ways to prepare for investment banking interviews...and there are ways to not prepare. I've experienced some of these mistakes myself and want to share the lessons I've learned with you in today's episode. The content of what you share is important, but the way you deliver your message is equally important.For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

Today I have the pleasure of sharing a conversation with someone who not only rose the ranks of investment banking to become a Director, but is also someone who runs recruiting at the largest privately held investment bank in the world, Lincoln International.Oh and...he's also the person who hired me at Lincoln!Jon Paris shares his story with us, detailing his career growth as well as what investment banking candidates should do to perform at their best during the interview process. Connect with Jon here: https://www.linkedin.com/in/jonathancparis/For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

A trend is emerging among some investment banks, where case studies are becoming a component of the interview process. In today's episode, we discuss:why case studies can be relevant to investment banksthe two structures of case studies I've observedhow to approach preparation for case studiesFor recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

Today's episode features a conversation with finance consultant Jason Lum. Jason worked his way up to several high-finance roles - including a banking role at CIBC - from his time as an undergraduate at a non-target university in Canada. We discuss several aspects of the recruiting process, including:- using 'bridge' roles to land your IB job- the importance of combining networking with relevant experience- how to bounce back from a superday disaster!To connect with Jason, check him out at: https://jhlconsultinggroup.ca/ or on Linkedin: https://www.linkedin.com/in/jason-lum7/For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

Today we'll look at a real deal pitch example for a deal that's happening in the market right now. We cover the basic facts of the deal and what things you can point to in terms of the strategic rationale for the acquisition.For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

Getting the typical "why investment banking" question is expected, but what if your interviewer expects you to go deeper?You might get asked for a deal pitch! Today we cover the basics of how to structure an answer to the question "pitch me a deal"For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

What does it take to become an investment banking analyst? When you do you need to start the process, and how do you keep track of so many deadlines?In today's conversation, I speak with Larry B Oliver. As a current IB analyst, Larry has experience navigating the analyst recruiting process and offers tips on how to best navigate it.Larry also runs The Pulse newsletter, a free resource helping aspiring bankers (and others in adjacent fields) stay on top of deadlines. Check it out in the link below:The Pulse Newsletter -- (beehiiv.com)For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

When a company mergers with another business or acquires a business, there is a standard process that investment banks go through to get the deal done. Today we explore these six steps.For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

Today we discuss some common valuation ratios for investment bankers!For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

It's time to reflect on my summer internship in investment banking! Here are the high level lessons I learned.Contact: investmentbankinginsights@gmail.com

We're back! A quick update for y'all.Contact: investmentbankinginsights@gmail.com

Aside from the basic three methods of valuing a company, here are a few other valuation methodologies you should know.For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

Today we cover the three major valuation methodologies!1. Comparable Companies2. Precedent Transactions3. Discounted Cash FlowFor recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

You might know the basic equation for calculating enterprise value already. But how do you account for convertible bonds as part of that calculation?For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

Let's learn how to calculated fully diluted shares for a company using something called the Treasury Stock Method.For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

Let's break down enterprise value together today!For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

Goodwill is one of those weird accounting concepts that doesn't come naturally at first. But it's super important and not that hard to understand once you break down the underlying logic of it. Today we'll learn about goodwill! It's critical for investment bankers to know, particularly in the context of mergers and acquisitions.For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

What is EBITDA and why do we care about it as investment bankers?For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

What's the difference between GAAP and the ambiguous "Non-GAAP" earnings that we often see in company financials? For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

Capitalizing a purchase vs expensing it can be understood by looking at the differences between the Income Statement and the Balance Sheet. Let's check it out!For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

I used to think that when a business "made money" it was the same thing as earning revenue, as well as collecting cash. But then I realized I was wrong. Today we cover a basic accounting principle that's important for investment bankers to understand when looking at financial statements.For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

When an asset gets written down in value, how does that impact the financial statements? What happens when debt gets written down too?For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

What does it mean for capital to be "working"? Today we unpack this concept, which is plays an important role in understanding the balance sheet, cash flow, and projecting cash flows in a DCF model.For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

Can Shareholder's Equity be negative on the balance sheet? And if so, how?For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

What happens when a company sells a product, and how are the financial statements impacted? We'll assume the product is sold for $20 and it costs $10 make.For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

What happens to the financial statements when a company buys a factory with debt? We'll look at this scenario at Year 0, Year 1, and the end of Year 2 / start of Year 3.For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

How do you account for changes in the financial statements when inventory increases by $10?For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

How does accrued compensation work on the financial statements? Today we'll work through a simple problem to find out.For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

Let's put our knowledge of financial statements and depreciation to work to solve a simple investment banking accounting question.For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

Depreciation and Amortization always seems like funny concepts to me, but now that I have studied them in more detail I understand why they exist.Today we'll go over the basics of what D&A actually are and why they matter.For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

We covered what the three financial statements are, and their most basic components. What how do they connect to each other? We'll cover some of the major connections between the three financial statements.For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

Today we're talking about the fundamentals of the cash flow statement! (my personal favorite)For recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com

Today we're covering the fundamentals of the Income StatementFor recruiting help, join the WSO Academy waitlist today!Contact: investmentbankinginsights@gmail.com