1. Investment Banking Overview

2. Select Financial Services Segments
Investment Banking
Hedge Funds
Private Equity
Venture Capital
Industry Coverage
Product Group
Capital Markets
Sales & Trading
Equity Research
Value, Growth, Blend
Long-only, Long/Short, Short-only
Fundamental, Distressed, Macro, Event-Driven, Trading, Quant
Growth Equity
Large-Cap Fund
Middle Market
Control Equity
Secondaries
Co-Investing
Control Equity
Co-Investing
Front Office
Client Pitching
Valuation / Modeling
Deal Execution
M&A
Leveraged Finance
Equity & Debt Solutions
Investment Analysis
Portfolio Management
Trading
Deal Origination
Valuation
Investment Analysis Modeling
Portfolio Management
Deal Origination
Valuation
Investment Analysis Modeling
Portfolio Management
Middle Office
Portfolio Credit Analysis
Pricing
Counterparty Risk
Ratings
P&L Reporting
Mark to Market
Cash Operations
Settlements
CFO/COO
Cash Management
Marketing
Legal
Cash Management
Legal Entities
Tax Structuring
Investor Reporting
Fund Valuation
Cash Management
Legal Entities
Tax Structuring
Fund Valuation

3. Investment Banking Overview

4. Securities underwriting
Investment Banks serve as intermediaries between providers and users of capital
Chinese Wall
Strategic advisory
Securities underwriting
Sales & Trading
Users of capital
Investment Banking
Providers of Capital
Research
Corporations
Governments
Municipalities
Individuals
Pension Funds
Insurance Companies
Asset Managers
Corporate Treasuries
Sovereign Wealth Funds
Investments banks function as intermediaries between providers and users of capital
For example, in an IPO process, the bank connects the suppliers of capital (new investors) to the company going public
Banks also serve a wide range of clients
Private side
Public side

5. Overview of Investment Banking
Capital Markets
Advisory
Equity capital-raising
Initial public offerings (IPOs)
Follow-on offerings
Equity-linked (convertible)
Debt capital-raising
High-grade or investment grade
High-yield
Syndicated loans
Tax-exempt
Mergers & Acquisitions
Buyside
Sellside
Spin-offs / Splitoffs / Carve-outs
Hostile defense
Hostile takeovers / proxy fights
Joint Ventures
Restructuring
Ratings
Within investment banking, we serve many clients and play many roles
Most investment banking groups are typically structured into product and coverage groups

6. What Does An Investment Banker Do?
Origination
Execution
Client Relationship Management
Ongoing dialogue on financial markets, industry developments, new products
Long-term relationship as advisor to Senior Management and Boards
Idea Generation and Problem Solving
Strategic Alternatives
Capital Raising
Optimizing Capital Structure
Risk Management, Dividend Policy
Assessment Of Opportunities
Financial Analysis
Communication
Management, Board of Directors
Internal Committees
Identify Potential Investors
Negotiation / Structuring Transactions
Due Diligence
Documentation
Within investment banking, we serve many clients and play many roles
Most investment banking groups are typically structured into product and coverage groups

7. Investment Banking Groups
Capital Markets
Industry Coverage
Product
Equity Capital Markets
Debt Capital Markets
Tax-exempt
Leveraged Finance
Securitized Products
Consumer & Retail
Healthcare
Technology
Media & Telecom
Industrials
Natural Resources
Real Estate
M&A
Corporate Finance
Typically 2 years, but starting to change
Ability to stay for a 3rd year / get promoted to Associate / MBA sponsorship
Many different opportunities available – what interests you?
“Markets”
“Technical”

8. Investment Banking Competitive Landscape
Bulge bracket
Middle Market
Boutique
Low
Capabilities
High

9. Life of an Investment Banking Analyst

10. Overview of Investment Banking analyst programs
Two-year program with opportunity for a 3rd year
6-8 week training
Mentorship programs
Networking opportunities
Summer internship program serves as primary feeder to full-time analyst positions
An analyst wears many hats
Essentially, the Analyst (and the Associate for that matter) do anything requested of them by the senior banker
You work on many different projects at the same time and are always busy and learning new things

11. Role of an Investment Banking Analyst
Be a member of a deal team, executing day-to-day activities surrounding live transactions
Perform financial analysis and modeling
Develop and prepare client presentation materials (pitches, roadshows, board materials, etc.)
Coordinate roadshows, and M&A processes
Research and due diligence
An analyst wears many hats
Essentially, the Analyst (and the Associate for that matter) do anything requested of them by the senior banker
You work on many different projects at the same time and are always busy and learning new things

12. Why Investment Banking?
Benefits
Challenges
“Everyday is different”
Exposure to senior management
Steep learning curve
Work with talented and motivated people
Gain a strong background in financial analysis
Help execute exciting, landmark transactions
Networking
Exit opportunities
Long and unpredictable hours
Traveling
Demanding senior bankers
High stress/pressure environment
Within investment banking, we serve many clients and play many roles
Most investment banking groups are typically structured into product and coverage groups

13. Typical Analyst Wish List
Strong communication skills (written and oral)
Quantitative / technical skills
Teamwork and leadership skills
Motivation and strong work ethic
Self-confidence and positive attitude
Time management skills
Personality (sense of humor, enthusiasm and ability to adapt to different situations)
Knowledge of firm and industry
Ability to work well under pressure
Creativity
Banks are looking for the best of best to become analysts
Personally, I look for analysts who will walk through fire to get the job done and have the raw mental horsepower to solve problems
Banks hire both business and non-business majors
[For example, my experience is that Engineering students make great analysts]

14. General Preparation Network with peers and alumni Internships
Research - Do I want to do Investment Banking? What type of firms?
Make sure your resume is clear, concise and error free
Take advantage of resources available to you (alumni, Feld Career Center, etc.)
Everything is fair game
Practice, practice, practice
Preparation is critical
Learn about the job, yourself, and get your resume in order

15. The Interview
Be prepared: know as much about the bank and position as possible
Know yourself: what motivates you, your strengths and weaknesses and be able to articulate those points
Know EVERYTHING on your resume
Be honest and demonstrate enthusiasm and motivation
Read the Wall Street Journal EVERYDAY and use the Vault Guides
Practice interviewing (mock interviews, preparing answers, etc.)
Ask questions
The interview is your chance to impress the bank and move to the next round
Preparation is critical – you shouldn’t be surprised by any of the questions
Show enthusiasm for job!

16. Resources Vault Career Guides Breaking Into Wall Street
Wall Street Prep
Wall Street Training
DealMaven
The interview is your chance to impress the bank and move to the next round
Preparation is critical – you shouldn’t be surprised by any of the questions
Show enthusiasm for job!

17. Corporate Banking

18. Various Group Structures Types of Analysis Performed
Select Bank Divisions
Corporate Banking
Wealth Management
Sales & Trading
Research
Varies significantly from bank to bank:
One end of spectrum: Corporate Bankers are the Industry Coverage Team
Other end of spectrum: Corporate Bankers are Credit Analysts
Managing money for:
High net worth
Retail
Corporate sponsored retirement plans including pensions, 401k plans, non-qualified plans, etc.
Various Group Structures
Sales: Calling investors to suggest trade ideas
Trading: Buying and selling financial products with the goal of achieving a gain
Stocks = Equity Research
Bonds = Fixed Income Research
Assigned to Various Sectors
Energy, technology, media, telecom, consumer…
Types of Analysis Performed
Counterparty Credit
Loan Pricing / Terms & Covenants Negotiation
Industry Studies
Investment research and screening
Analyze the research
Investment recommendations
Tactical allocation decisions and rebalancing
Interact with individuals, executives, investment committees, fund managers
Buy and sell financial products on behalf of clients
Financial Modeling
Investment recommendations
Earnings reviews
Participate on investor calls
Company visits
Travel to industry conferences
Sales
Cross Selling
Know the Client
Know Your Bank
Relationships Across Both
Qualifications
Series 79 (depends on firm)
Interview Selling Points:
Financial Statement Analysis
Credit Analysis
Law
Series 7 & 66 & Insurance License
Chartered Financial Analyst (“CFA”)
Chartered Retirement Plan Specialist (CRPS)
Certified Investment Management Analyst (CIMA)
Certified Financial Planner (CFP)
Series 7 & 63
Chartered Financial Analyst (“CFA”)
Chartered Financial Analyst (“CFA”)

19. Corporate & Investment Bank (CIB)
Corporate Banking: Deal Dynamics High Level
Client (Corporation)
e.g. Insurance Co.
Corporate & Investment Bank (CIB)
Client Need
Corporate Banking Solutions
Bank Line / Working Capital
Liquidity Facility / Commercial Paper Backstop
Letters of Credit (LCs or LOCs)
Project Financing
Structured Vehicle Funding
Capital Markets Hedging Programs
Revolving Credit Facility (RCF): “Revolver”
Letter of Credit Facility
Term Loans
RCFs & LCs etc.,
Trading Lines
“Revolvers” from bank’s perspective:
Large, Long-Term (1-15 yrs) Commitments: Puts Balance Sheet of bank at Risk
Typically serve as liquidity / back-up facilities and are priced to incentivize the client NOT to draw
Clients desire these facilities as well as their investors + rating agencies + other stakeholders
Banks do not make a lot of money on undrawn revolver commitments: The bank gets paid to provide a
- expensive, like a credit card
promise

20. Covenants Banks do not lend unconditionally
Long-term commitments are made under the condition that the borrower maintains a largely consistent risk profile
So, legal protections are built in: Covenants
Examples:
Minimum Credit Rating of ‘ BBB ‘
Maximum Debt-to-Capital Ratio of 35%
If client fails to meet these criteria, they are “in breach”
A client in breach of a covenant will have no legal right to draw funds from the bank

21. Corporate & Investment Bank (CIB)
Corporate Banking: Deal Dynamics High Level
Client (Corporation)
e.g. Insurance Co.
Corporate & Investment Bank (CIB)
Client Need
Corporate Banking Solutions
Bank Line / Working Capital
Liquidity Facility / Commercial Paper Backstop
Letters of Credit
Project Financing
Structured Vehicle Funding
Capital Markets Hedging Programs
Revolving Credit Facility (RCF): “Revolver”
Letter of Credit Facility
Term Loans
RCFs & LCs etc.,
Trading Lines
“Revolvers” from bank’s perspective:
Large, Long-Term (1-15 yrs) Commitments: Puts Balance Sheet of bank at Risk
Typically serve as liquidity / back-up facilities and are priced to incentivize the client NOT to draw
Client’s desire these facilities as well as their investors + rating agencies + other stakeholders
Banks do not make a lot of money on undrawn revolver commitment: The bank gets paid to simply provide a
In periods of stress, these facilities go from having relatively relaxed surveillance profiles → to receiving intense attention
They are LARGE commitments and represent “money out the door” when the client draws
American International Group (AIG)
So, banks usually commit the largest amounts with the most favorable terms (pricing + covenants), to their best clients
Clients in turn recognize this strategic partnership and open their doors to more business:
Sales & Trading, Debt Capital Markets, Equity Capital Markets, Foreign Exchange & Cash Management, M&A Advisory etc.,
- expensive, like a credit card
promise

22. Example - Syndicated RCF: Due Diligence (DD) Meeting / Call
Corporate Banking: Revolving Credit Facility
Example - Syndicated RCF:
Lead Bank
(“Agent Bank” or
“Lead Arranger”)
Discuss Client Needs (Size and purpose of RCF)
Discuss Market Appetite for lending: Bank Group + Allocations
Determine Target Terms: Pricing, Covenants, Tenor (length)
XYZ Client (Corporation)
Corporate Banker
Treasurer (sometimes CFO)
“Launch Deal”
2010
XYZ Company
US$3.0bn
Revolving Credit Facility
Lead Arranger
Banks Group
Due Diligence (DD) Meeting / Call
Post DD
Negotiations:
Agent/Lead Bank largely responsible for negotiating on behalf of banks group
Allocations
HSBC
JP Morgan
Citigroup
BAML
UBS
+ others…
$350m
1st Tier
$350m
$250m
2nd Tier
$250m
$150m
$650m

23. What to Expect The Job Long Hours (less hours than Investment Banking)
Life will revolve around deals
Good salary + bonus package (less than Investment Banking)
A lot of phone time / meetings with clients, other banks, lawyers, & internal colleagues
Credit analysis
Financial Statement Analysis / Modeling
Industry Studies
Must know your clients better than the competition
Investor Calls / Presentations
Company press releases as well as reports in the media
10-Ks, transcripts, sell-side research etc.,
Broad product experience / limited understanding of each product
Competitive / High Pressure Environment
Can be said about any position at a bank. Especially front office but also middle and back.

24. Middle Market Financing Positioning
Investment Banking Middle Market Financing Corporate Banking
Provide similar but expanded services to corporate and institutional clients:
Capital raising in the form of syndicated loans, public and private issues of debt and equity
Specialized services such as M&A and ratings advisory, industry and competitive analyses and market-making in complex instruments
Sales, trading and research of publicly traded issues and currencies
Product groups specialize in a certain service or instrument, such as M&A, bonds, equity
Industry groups cover all client firms which operate in a certain field (i.e. healthcare, gaming, energy, media)
Responsibilities include:
Issuing loans (vs. bonds, high yield)
Taxes strategy
Treasury management
FX management
Cash management
Project financing
Traditional “Corporate Banking” offered by large banks with diverse product offerings
Focus on relationship with company as cross-selling of products
There is often an overlap between corporate banking and IB capital markets when capital markets expertise is utilized to issue equity or debt
Focus on supporting middle market clients by providing corp. loans for acquisitions, recaps, refinances & other corp. needs
Business largely driven by private equity activity
Firms focused underwriting fees and greater interest rate spreads
Many MM firms also have advisory & capital market services, but not broader corporate banking services

25. Middle Market Financing Overview
Landscape Overview
More fragmented market led by pure commercial banks and finance companies, specialty funds, hedge funds and mezzanine funds
Focus on smaller and medium sized leveraged loans ($250MM or less) and mezzanine debt (typically $100MM or smaller) for companies with less than $500MM in revenues and EBITDA between $10MM and $75MM
Private investors driven with focus on club deals (deals with only 2 – 6 lenders & no broader syndication) and investment returns, given the companies smaller sizes and increased risk profile
Underwriters emphasize senior loan club transactions, smaller scale loan syndications and portfolio lending/investment
Pure commercial banks and financial companies dominate senior loan market
Specialty funds, hedge funds and mezzanine funds dominate junior capital market
Middle Market New Issue Volume (<$50MM EBITDA)
Deal Financing Timeline Example

26. Career Considerations
Analyst Role / Responsibilities
Career / Role Benefits
Financial analysis and financial modeling
Company valuation
Comparable analysis
Preparation internal credit / approval memos
Industry and company research
Developing client presentations
Marketing material (i.e. Teaser, Confidential Information Memorandum)
Updating all internal databases and systems
Administrative tasks (set up calls, fax, FedEx, etc.)
Banking-like training programs
Greater access to superiors & senior management
Truly understand corporate growth, financial analysis & capitalization
Develop strong knowledge of many industries
Analysts tend to wear more hats than in larger banks
Quality of life: Hours, flexibility, goals & expectations
Defined career paths & competitive compensation
Opportunity to change career path both internal / externally
Introduction to numerous business owners
Career Options – Firm Types
Environment – Work / Life Balance
Commercial banks
Finance companies / specialty funds
Hedge funds and mezzanine funds
10-12 hour days, weekend work depending on firm
Medium/High stress levels: Pressure to perform, competitive environment & demanding superiors with little room for error
Multiple deals / companies / projects at one time
Work frequently with others in deal teams of 2 – 4 people within your group
Frequent “fire-drill” deadlines for client driven approvals
Frequent meetings & conference calls throughout the day

27. Representative Companies
Large Commercial Banks
Super-Regional Banks
Citibank
Bank of America
Wells Fargo / Wachovia
Comerica
Union Bank of California
Bank of New York Mellon
Key Bank
SunTrust
Fifth Third
PNC
Foreign Banks
Finance Companies / Funds
CIBC
Toronto Dominion
Royal Bank of Canada
Bank of Montreal / Harris
Societe Generale
HSBC
National Australia Bank
ANZ Banking Group
Royal Bank of Scotland
Macquarie Group
Sumitomo
GE Capital
CIT Group
Churchill Financial
Madison Capital
Capital Source
Freeport Financial
Denali Capital
Newstar Financial
Orchard/First Source
Jefferies Finance
American Capital
Golub
Cerberus
Orix
Ares Capital

28. Next Steps…
Take advantage of ALL Feld Career Center services, job postings and info sessions
NETWORK: Utilize the BU Alumni network and all family & friend contacts
Practice your interviewing skills and have all “book” knowledge down cold
Get the JOB!
Have a story about who you are, where you have been and where you are going
Utilize all resources including the Vault Guide, publications (WSJ, etc.), websites (LinkedIn, eFinancialCareers, etc.)
Search yourself: Make sure this is the field for you BEFORE going through the process
Commit: Once you decide to go for any finance job, give it your all – or it will show otherwise

29. Questions

30. Appendix

31. Thoughts… How to Make it Happen
Get any available on campus interviews – practice makes perfect
Talk to the career center about firms that will be recruiting as well as firms that used to recruit
Begin ing junior BU alums at the firm as soon as possible and well ahead of interview
After exchanging s, ask for a few minutes on the phone
PROOF READ your s. If there is a typo or a grammar error, it can kill your momentum
Be sensitive to the interviewers time constraints. Do not insists on times / topics / sending your resume
Remember: Alums are BUSY and they are doing you a big FAVOR by talking
Make sure you have a story about who you are and why you want the position / company / industry you are applying for
Specialize your resume
Today’s job market is extremely tough: Employers are looking for the perfect candidate
It is a numbers game but make sure you target positions for which you are a good fit
Make sure your resume is FLAWLESS; bad formatting, a strange layout or something that is hard to read can easily give someone a bad impression and/or cause them to overlook your talents
If you don’t have a 4.0 GPA or all of the relevant course work, guess what? - It is OK!
Will cost you initially but can be recovered from
Get the best job you can
Work hard and be the best
STAY in TOUCH with people
Always be aware of and open to new opportunities

32. Typical Entry Point (for Large CIBs)
Corporate Banking: Some more detail
Career Options
Typical Entry Point (for Large CIBs)
Large Corporate & Investment Banks:
Citigroup, JP Morgan, Bank of America Merrill Lynch, Barclays, Goldman Sachs, Morgan Stanley, UBS, Credit Suisse…
Middle Market Financing:
Commercial Banks, Hedge Funds, Specialty / Finance Companies
Out of undergrad (Analyst Program)
From Business School (Associate Level)
After 2+ years at a Rating Agency
Or other relevant field