With the competitive nature of investment banking in the US, landing a coveted analyst role can seem daunting for aspiring bankers. However, with proper preparation and guidance, it is possible to break into this lucrative field. This article will provide an overview of investment banking analyst roles in the US and actionable tips on how to secure a position. We will cover topics like required skills and qualifications, interview preparation, networking, as well as top firms hiring analysts. Whether you are a student or experience hire, this comprehensive guide will equip you with the knowledge to navigate the recruiting process and launch your investment banking career in America.
Understand the role and required competencies for investment banking analysts in the US
Investment banking analysts are typically the starting role for graduates and perform financial modeling, valuation, due diligence, and pitchbook creation. Analysts work long hours and require strong technical skills in Excel and financial accounting. Communication and interpersonal abilities are also vital to manage senior bankers and clients. Top firms like Goldman Sachs and Morgan Stanley expect analysts to be detail-oriented, collaborative, and able to handle high-pressure deadlines.
Gain relevant experience through internships and extracurriculars
Securing an investment banking internship is pivotal when recruiting for analyst roles. Not only does it provide hands-on experience, but conversion rates from intern to full-time exceed 90% at top banks. Aim for a sophomore year banking or finance internship and subsequent junior year investment banking internship. If unable to land banking internships, consider alternatives like Big 4 accounting that develop transferrable skills. Outside of work, join finance or business-related clubs on campus to demonstrate interest.
Perform extensive interview preparation focused on technical and markets questions
You will need to pass challenging and rigorous interviews to get an investment banking offer. Expect technical questions on accounting, valuation, financial statement modeling, and DCF analysis. Firms also test market awareness so stay up to date on industry trends and recent deals. Use resources like Wall Street Oasis to practice mock investing banking interviews. Review your experiences and formulate clear stories with structured frameworks to answer behavioral questions.
Leverage university alumni networks and local contacts to make connections
Networking is indispensable when breaking into investment banking. Connect with alumni in your target office through university clubs or LinkedIn. Attend local bank-run events to interact directly with bankers. Ask family, friends, professors if they have any contacts at firms you are interested in. Secure referrals to increase chances of getting an interview. Cold calling analysts can also help make a connection.
Target boutiques and top firms hiring significant analyst classes each year
The highest analyst compensation and exit opportunities come from elite boutique and bulge bracket banks like Centerview, Evercore, and Goldman Sachs. However, landing roles at these firms is extremely competitive. Thus also apply to banks like Houlihan Lokey, William Blair, and Wells Fargo with strong training but better odds. Check firm websites and LinkedIn to identify ones hiring large analyst classes.
With meticulous preparation and leveraging all available resources, it is possible for driven candidates to break into investment banking in America. Gain relevant experience, master the technical skills, and utilize networks to get your foot in the door. While the hours are long, the intellectual stimulation and opportunity for advancement make it an attractive career.