With the continuous development of China’s capital market, equity research positions in foreign investment banks have become increasingly popular among Chinese students studying abroad. Equity research not only has high pay and good work-life balance, but also provides a fast track to jump to the buy side. This article summarizes application tips and interview questions to help readers better understand and prepare for equity research roles.
Equity research application process and interview questions
The equity research recruiting season usually starts in September. Applicants need to prepare a stock pitch to analyze a company in depth. Interviews will focus on testing logical thinking abilities, unique perspectives, and reactions under pressure. Brain teaser questions are also common in buy side interviews.
Required abilities to be a qualified equity research analyst
A good equity research analyst needs to pay attention to details, have strong logical reasoning skills, demonstrate unique thinking, and identify the information that can directly impact stock prices from large amounts of data.
Day-to-day responsibilities vary across different sectors
Equity research associates are usually assigned an industry group to cover. Their day-to-day work involves analyzing assigned companies, building financial models, writing reports, communicating with clients, etc. The sectors covered can range from healthcare, retail, to mining and resources.
High pay and better work-life balance than investment banking
According to Glassdoor, equity research analysts can earn over $100k in total compensation. Moreover, compared to banking, equity research offers relatively better work-life balance, with less extreme hours. It’s one of the most stable front office roles that allows working till 60 years old.
In conclusion, equity research provides a promising career path for Chinese students studying abroad, due to high pay, good work-life balance, and opportunities to jump to the buy side. By understanding the application and interview tips summarized in this article, candidates can better prepare for and land equity research roles.