Investment Banking Prep Guide Description:
Prepare for your job interview at an Investment Bank like Goldman or JPM. Learn on the go with +150 common job interview questions & detailed answers across the four common interview categories.
You will study Accounting, Valuation, M&A+LBO and qualitative questions. The selected questions in this mobile course are the most common examples used by major bulge bracke banks in the application process. Expensive or even free Investment Banking books are not necessary after the finishing the course.
You will face accounting questions in an investment banking interview. Even if you’ve never taken an accounting class, you’ll be asked questions that require rudimentary knowledge. At the minimum, you'll need to know the 3 financial statements, how they link together, and be able to walk the interviewer through the process. To be safe, our training questions also covers depreciation, inventory and more. Furthermore, you may also get more advanced questions (e.g. what happens to the 3 statements when company manufactures and sells products?), what goes into shareholders’ equity, and less common topics like GAAP vs. non-GAAP and revenue and expense recognition.
The kinds of valuation questions asked depend on your professional background. If you are pursuing Finance as a major or had an investment banking internship at a bulge bracket investment bank, the rigor of valuation questions will be higher because the assumption is that you have additional knowledge. The first part will be Enterprise Value and Equity Value. The second part is Discounted Cash Flow Analysis (DCF), which means using a company’s projected cash flows, discounting them for the time-value of money and cost of capital to find its present value. Example: “Walk me through a standard DCF."
3. M&A+LBO - MERGERS AND ACQUISITIONS & LEVERAGED BUYOUT
Common questions are "What happens on all 3 statements when COGS goes up?”. Such modeling (Merger Model and LBO) questions are surely coming up in the job interview. Most modeling will focus on merger models – looking at what happens when a company acquires another company – or Leveraged Buyout (LBO) Models Mergers and Acquisitions will also cover accretion/dilution when acquiring another company or an analysis between using cash, stock, or debt to finance an acquisition. More advanced questions on Mergers and Acquisitions cover synergies.
4. QUALITATIVE QUESTIONS
The job interview questions are not limited to finance. While technical questions attempt to establish basic professional knowledge, the qualitative questions try to check for fit. Since investment banking involves a lot of group work, having the right attitude is extremely important in investment banking, and success on this part of the interview might often be more important than the technical interview component. You may also get brain teasers , but these were more common in earlier years. We included some of them in the App course frontier nevertheless, but you can find many more among free investment banking books.
BREAKING INTO WALL STREET MADE EASY
The course content is great for effective Wall Street Prep, for example after your Finance Master or MBA Program. Breaking into Wall Street will become easier if you know what exercises to expect and how to answer them. Become an effective Punk of Business and investment. Further reading on inquisitions and mergers: If you require additional reading, we recommend the Punk of business and investment from inquisitions books. Other paid or free investment banking books may also help you practice your knowledge from this App. Crack the Wall Street Frontier on the go.
An Internet Connection is required at the first launch of the App.