Australia wide

Investment Banking
Do you want to earn big bucks and work on deals that are making headlines
in the financial press? Would you like to have your finger on the pulse of
financial markets and have the opportunity to work in the major financial
centres of the world? If so, a career in investment banking may be for you.

Investment banking can be intellectually stimulating, fast paced and

extremely well paid, but it also involves hard work, long hours and can be
high-pressured. Not everyone has the drive, the burning ambition and the
passion for making that next deal.
Investment
Investment
Career FAQs Investment Banking explores the many possibilities available
for a career in investment banking. One day you could be structuring large
mergers, helping companies raise capital for growth, investing in start up Banking
Investment
Banking
companies or trading in shares or bonds.

Hear from professionals in this industry and learn how to break into this
competitive field, including tips on how to stand out in a recruitment proc-
ess where sometimes only one in a hundred applicants are chosen for a
graduate program. Find out whether you have what it takes!
Banking
Other titles: Foreword by David Gonski, AO

Investment Banking
Advertising David is Chairman at Investec Wentworth Pty Limited, Coca-Cola Amatil,
The National Institute of Dramatic Art, Australian Council and Sydney Grammar School.
Allied Health He is Chancellor of the University of New South Wales and President of the Art Gallery
of New South Wales Trust.
Engineering realjobs realpeople realexperiences
Human Resources Throughout school and then university I never really had
any concept of investment banking as a career. I later made
Information Technology
the switch after many years in the legal and accounting
Law professions and regret not doing so much sooner. Career
Marketing FAQs will no doubt allow those starting their careers to
make the right choices early. Without reservation I highly
Medicine
recommend the publication.
Nursing David Phillips, Head of Structured Finance, Investec Bank (Australia) Limited
Teaching
This book provides a window into all levels of Investment
Xtreme
Banking in a way that no other publication does. The variety of
and more ... opinions and experiences will only act to better prepare those
who are considering this profession.
www.careerfaqs.com.au Nick Grogan, Associate Director, Hindal Securities Pty Ltd
Australia wide

Published by Career FAQs

Covers December 05.indd 5 20/12/05 2:50:39 PM

 Want more quality career resources from Career FAQs for FREE? Click here

Investment
Banking
By Zilla Efrat

Australia

Published by Career FAQs Pty Ltd

IB - 191205.indd i 20/12/05 6:49:41 AM

 Copyright Career FAQs Pty Ltd
First published in 2005

This book is copyright. Apart from any fair dealing for the purpose of private study,
research, criticism or review, as permitted under the Copyright Act 1968, no part
of this publication may be reproduced by any process or by any means, electronic,
photocopied, recorded or otherwise without prior written permission of the
copyright owner. Inquiries for reproduction should be addressed to the publisher.

Published by
Career FAQs Pty Ltd
Suite 76, The Hub
89–97 Jones Street
Ultimo NSW 2007
www.careerfaqs.com.au

National Library of Australia

Cataloguing-in-Publication entry:

Efrat, Zilla.

Investment Banking: Australia.

ISBN 1 921106 16 6

1. Investment banking – Vocational guidance – Australia. 2. Investment bankers

– Employment – Australia. I. Title. (Series : Career FAQs).

332.6602394

Publisher: Sue Stevens

Author: Zilla Efrat
Editor: Kerrie Eyers
Researchers: Louisa Veidelis, Amanda Evans
Design: Terri Marzullo, H2M Creative Services; James Manning, Rain Agency
Illustrations: Tim Hutchinson
Desktop Publisher: Terri Marzullo
Proofreading: John Sims, Sims Editing & Proofreading
Printed by Paragon Printers Australasia

Career FAQs acknowledges the following copyright owners for permission to

reproduce their work.

Graduate Careers Council of Australia, www.gradlink.edu.au

Hudson Recruitment
Michael Page International

Every effort has been made to contact copyright owners and obtain permission.
However, should an infringement have occurred, Career FAQs apologises for the
omission and requests that the copyright owner make contact.

Disclaimer

The opinions and statements made by people who contributed to this book from
the investment banking profession are their own and are not those of Career FAQs.
The publishers do not claim to represent the entire extent of the investment banking
profession and career choices. The aim has always been to provide a broad overview
of the possibilities available. As such Career FAQs Investment Banking does not
purport to be a true and accurate record of the investment banking profession, relying
on the voices of those working in the industry to tell their stories. Inaccuracies may
arise as a result of the nature of this book. Users should follow the links to actual
websites of organisations to ascertain current investment banking practice.

IB - 191205.indd ii 20/12/05 6:49:47 AM

 Foreword
Investment banking has been my life for the last almost 20 years.

It has been kind to me, providing a life of enormous variety and

professional excitement.

I have often reflected on how I came to be in investment banking. It

was undoubtedly more by accident than by design. As a commercial
lawyer, I had dealt with many in investment banking and over the
years I drifted towards that field of endeavour.
David Gonski, AO
Whilst I was lucky to find my true milieu by happy accident, I have
Chairman, Investec Wentworth
always felt that there was need for a publication, and/or course of Pty Limited
seminars, to allow those coming behind me to make a more scientific Chancellor, University of New
South Wales
choice than I had.
Chairman, Coca-Cola Amatil
There are so many questions to ask and to have answered; so many President, Art Gallery of New
South Wales Trust
branches, different firms and geographies to consider.
Chairman, National Institute of
This is why I have agreed to provide the foreword to this publication, Dramatic Art
Chairman, Australian Council
which I believe will provide much needed contemporary information
Chairman, Sydney Grammar
about corporate finance and investment banking to those who, like School
me, have an instinct that this industry may be for them.

I hope that this publication does help and, more importantly, I hope
that if the reader does choose corporate finance and investment
banking, they have the joy, excitement and rewards that I have had
from this industry.

iii

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 Investment Banking

iv

IB - 191205.indd iv 20/12/05 6:49:48 AM

 Contents
About Career FAQs ix
How to use this book xi

The big picture

Why investment banking? 1
What do investment bankers do? 2
What’s happening right now? 5
Current size of the profession 6
What are the job opportunities? 7
Corporate finance and advisory services 10
Structured finance 11
Project finance 11
Trading 11
Equity, fixed income and currency research 11
Sales 12
Derivatives 12
Private equity and venture capital 13
Women in investment banking 14
How much can I earn? 15
Performance-based bonuses 16
Who are the main employers? 21
Banks 21
Boutiques and smaller companies 22
Private equity firms and funds 22
Venture capital firms 23
Accounting firms 23
Government 24
The Treasury 24
Reserve Bank of Australia 24
The Australian Prudential Regulation Authority 24
Corporate Australia 24
What are employers looking for? 25

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 Investment Banking

Meet some employers 26

Jan Swinhoe – Global head of property,
industrials & consumer 27
Mark Thexton – Associate director 28
Chania Higgins – Graduate recruitment executive 31
What support organisations exist? 33
Main industry bodies 33
Australian Financial Markets Association 33
International Banks and Securities
Association of Australia 33
Finance Sector Union 33
Australian Venture Capital Association 34
Australian Bankers’ Association 34
Accounting and Finance Association of Australia and New
Zealand 34
Securities and Derivatives Industry Association 34
Women in Finance 35
Support organisations for new recruits 35
Financial Management Association of Australia 35
Securities Institute of Australia 35

Insider info
What jobs could I do? 41
What do real people say about their jobs? 42
Damian Motika* – Business analyst 42
David Schultz* – Private equity analyst, mergers and
acquisitions 44
Brett Ryman – Associate, investment banking 46
David Smith – Associate director, corporate finance 49
Tamal Saad* – Associate director, corporate finance 51
Teresa Ericchello* – Senior analyst, corporate finance 53
Duyen Nguyen* – Senior manager 55
Isabella Ebbitt – Executive, real estate advisory,
corporate finance 56
Anthony Farrace* – Manager, boutique investment house 59

vi

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 Kevin Gabaldon* – Senior executive, boutique
corporate advisory 62
Kara MacCauley* – Chief investment officer 64
Phuong Tan* – Finance analyst 66
Nadia Gosper* – Manager, structured investments 69
David Stanton – Healthcare analyst, equities 71
Madeleine Newland* – Manager, equity capital markets 73
Angela Capone – Credit trader, global markets 75
Itay Tuchman – Director, short-term interest rate trading 77
Tim Waggett – Vice president, sales 79
Langer Sieben* – Manager, development of financial products 82
Mark Murray – Senior analyst, financial risk 84
Larya Meyrick* – Senior analyst 87
Suzannah Faulkes* – Senior analyst 89
Mark Williams – Associate director, São Paulo, Brazil 92

Ready, set, go for it!

What qualifications do I need? 101
University courses 101
Do I need postgraduate qualifications? 104
Master’s of Business Administration 104
Securities Institute 107
What are the entry requirements? 108
Can I study by distance? 108
How much does it cost? 108
Will employers pay course expenses? 108
Industry-based courses 109
How do I get that job? 110
How are people recruited? 110
Graduate programs 110
Vacation programs 113
Advertised positions 114
Recruitment agencies 114
Headhunting 115

vii

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 Investment Banking

Government recruitment 115

Networking 116
Stand out from the crowd 117
Create an outstanding application 118
The résumé 119
Tips: Résumé writing 121
The cover letter 123
Tips: The cover letter 124
Selection criteria 125
Tips: Selection criteria 127
How can I stand out at the interview? 128
Preparing for the interview 128
Making a good first impression 131
Making an impact at the interview 132
Tips: The interview 133
Dealing with disappointment 137
What can I do right now? 138
Buzz words 141
Appendix 1 147
Comparative starting salaries of various professions 147
Appendix 2 148
Sample job advertisements 148
Appendix 3 150
Sample résumé 150
Appendix 4 152
Sample cover letter 152
Appendix 5 153
Different types of interviews 153

viii

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 About Career FAQs
Want to choose your ideal career but don’t
know where to start?
Will Santow, Managing Director, Career FAQs

Career FAQs publishes a diverse range of career books that focus on Career FAQs

different professions, industries and lifestyles to make the search for ■ real jobs
your perfect career that much easier. ■ real people
■ real experiences
Each book profiles real people doing
Don’t end up in
real jobs and talking about their real
someone else’s life, experiences – the good and the bad –
a career choice is as from the day-to-day routine of working
much a life choice as a life through to the more dynamic
vocational decision. aspects of a job. In addition to this,
Career FAQs books feature practical
information about qualification requirements, the key educational
and training institutions, industry bodies and support organisations,
earning capacity and job-hunting tips.

With all of the above covered in each book, it is easy to see why
Career FAQs provides a dynamic new approach to finding the
right career.

Career FAQs was conceived in 2004 as a result of my own quest

to settle on a particular career path through my 20s and early
30s. At times of career angst or just indecision about where I
should go for my next move, I would try to get my hands on
empowering, high-quality, up-to-date career information that
related specifically to the market in which I wanted to work. I
could find nothing. When I asked around, the only thing I found
was a shared frustration amongst many of my contemporaries.

The Career FAQs books will address this critical information and
educational gap and so reduce the future mismatches between
career–lifestyle aspirations and career–lifestyle realities.

ix

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 Investment Banking

The range of Career FAQs titles is constantly expanding as we

continue to talk to people who have carved out interesting and
dynamic careers and to hear their stories in their own words.
For a list of current titles, please visit our website,
www.careerfaqs.com.au.

Best of luck with finding the right career for you!

Will Santow
Managing Director
Career FAQs

Thank you!
A special thanks from the team at Career FAQs to the many
people who have contributed their time and shared their
experiences and insights to help make this book possible.

It is always inspirational to find people who are willing

to give of themselves, particularly their time – a scarce
commodity for most people today – to help make a
difference to others.

That you all gave so willingly and provided such compelling

insights into your working lives so that others can make
better informed career choices is truly appreciated.

IB - 191205.indd x 20/12/05 6:49:52 AM

 How to use this book
All Career FAQs books are structured with a similar layout, so if fyi
you are familiar with one book, you will be able to navigate easily Career FAQs books that
through all the others and find the information you need quickly are grouped by theme and
focus on a particular lifestyle
and easily. choice or personality type,
such as Xtreme, have the
Our books profile real jobs and the people doing them to provide
three sections covered for
a broad overview of possibilities. It is not a definitive list but is each of the extreme jobs
intended to provide some insights into what it can mean to work in listed.

these particular roles.

Career FAQs books are divided into three main sections.

‘The big picture’ provides an overview of the industry,

employment opportunities and salary scales. It provides
information about the main employers and the variety of support
organisations that exist.

‘Insider info’ profiles the personal experiences of people who are

currently working within the profession. It allows you to discover
what people working within the industry say you should expect
from working in different jobs at various levels of seniority. fyi
‘Ready, set, go for it!’ tells you how you can get the appropriate Words, phrases and
acronyms appearing in
training and experience to ultimately get that job you want and
bold typeface are defined
guides you through the process of gaining employment. in buzz words at the back
of this book.
Style elements are used in Career FAQs books to help you navigate
through the information.

cv is a snapshot of a person’s career pathway –

it shows some of the key job stepping stones
along an individual’s career path that led to
the current position

detour indicates that another Career FAQs title has

more jobs of this type

find out gives you directions to find out more about a

more particular topic or organisation

xi

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 Investment Banking

provides additional information or an interesting

fyi
fact and provides directions to relevant appendixes

is used as a margin note to help clarify the

glossary
meaning of a word (in bold typeface) within text
– also defined in buzz words.

are jobs in the industry or profession that, at the

hotjobs
time of writing, are in demand

in is a short profile of a specific job, with

brief characteristics such as salary, qualifications,
number of hours worked, the ability to balance
personal and work commitments and the flexibility
afforded by the employer

explodes popular myths surrounding a particular

MYTH career choice
fact

myweek is a day-by-day overview of the typical work-

specific activities required of an individual in a
particular job

jobs that have an unconventional, interesting

or out of the ordinary focus

q&a tells the story of real experiences of people

working in the industry

highlight some of the issues associated with a

tradeoffs particular career – such as difficulties or obstacles
that you might face in the featured industry

xii

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 The big picture
Why investment banking?
Do you want to earn big bucks and work on deals that are making
the prominent headlines in the financial press? Do you want to
develop innovative ways to grow Aussie businesses and structure
the deals that keep oiling the cogs of our economy? Perhaps a
career in investment banking is for you. Investment banking involves
working at the more sophisticated end of the finance sector. It can
be intellectually stimulating, challenging and fast-paced, and it can
provide you with great opportunities to work overseas.

In recent times, the high earning power of investment bankers

has caught the media’s attention. For example, Macquarie Bank,
nicknamed the ‘Millionaire’s Factory’ in the press, recently had to
fend off criticism of the $10 million-plus pay packets handed to its top
executives. Of course, the majority of investment bankers won’t earn
this much, or anywhere close, but it’s still a high-paying environment.
But, with high rewards come high demands. You can expect to
work long hours and to endure lifestyle challenges. You’ll be under
pressure to get things done quickly. You could face many moments
of frustration where you are stretched too thin and then moments of
exhilaration when a plan does come together.

Want more quality career resources

from Career FAQs for FREE? Click here 1

IB - 191205.indd Sec1:1 20/12/05 6:49:54 AM

 Investment Banking
MYTH
at the age of 25 one
can become the next
Rupert Murdoch or
Gordon Gekko (from
the 1987 movie
Wall Street)
Not everyone will reach
this league, but hard
work is the way people
rise through the ranks
to get to a position
fact
where they can influence
the future of big and
important companies.
IB - 191205.indd Sec1:2
What do investment bankers do?
They say that money makes the world go round. And, if it does,
investment bankers help direct and facilitate its flow. Generally
speaking, investment bankers provide a wide range of financial
services to clients, who typically include companies, financial
institutions, governments, institutional investors and individuals.
Investment bankers make a massive contribution to the Australian
economy by promoting savings and investment, and through their
activities they help allocate the country’s resources more efficiently.
They structure deals that will help companies grow in the future
or that will get infrastructure such as roads or airports built where
they’re needed. They also create vehicles to help individuals grow
their wealth.
Investment bankers may perform the following tasks:
■ restructure companies
■ buy and sell companies
■ raise debt and equity capital
■ prepare client pitch materials
■ help clients list on the stock exchange
■ deal in shares or bonds
■ analyse the prospects of listed companies
■ conduct financial analysis – build financial models, write
information memorandums
■ oversee project management to ensure clients’ objectives are
obtained
■ draft presentations, board papers and various shareholder documents
■ customer calling, preparation and presentation of proposals, drive
sales revenue targets, lead specific sales initiatives
■ represent business externally
■ review companies – their regulatory requirements, history of current
operations and assess whether a change in regulation is warranted.
20/12/05 6:49:57 AM
 T h e big pic ture

What skills and characteristics does it take to be a successful investment

banker? To find out, we went straight to the source – investment bankers
themselves. Here is a compilation of what they said.

■ entrepreneurial

■ people skills – team player, ability to network, relationship builder glossary

■ good time management – ability to work smart and delegate tasks A-type means:

■ highly ambitious – driven to succeed, aggressive, A-type personality – a hard-working, ambitious

person preoccupied with
■ energetic schedules and the speed
of their performance,
■ commercially minded as opposed to B-type
personalities, that are more
■ thick-skinned – calm under pressure, stress-resistant, resilient creative, imaginative and
philosophical
■ motivated/self-starter

■ logical thinker – analytical, able to reason, objective

■ confident

■ quick-thinking

■ organised

■ focused

■ individual thinker/creative thinker/dynamic

■ attention to detail

■ good listener

■ hard-working

■ has emotional intelligence

■ prepared to sacrifice personal time

■ strong numerical skills

■ strong communication skills

■ integrity.

IB - 191205.indd Sec1:3 20/12/05 6:49:58 AM

 Investment Banking

tradeoffs
As in any profession there are some drawbacks for those working
in investment banking. Many of the people interviewed commented
on the long hours, the stress, or the competitive nature of the job.
Downsides described include:

■ excessively long hours – 24/7 is standard during high-pressure times

■ frequent overtime and weekend work

■ very little spare time and commitments outside of work are difficult

■ not unusual for young people in their early 20s to ‘burn out’

■ work on average around 12 hours a day

■ hard work, challenging expectations, tight deadlines

■ uncertainty of the market, fickle nature of the finance industry,

frequent and unexpected legislative changes

■ ultra-high stress levels and ultra-competitive results-driven

work environment

Investment bankers work in many different capacities. The following

illustration shows a range of jobs that people work in – though this, by
no means, covers all the possibilities.

IB - 191205.indd Sec1:4 20/12/05 6:49:59 AM

 T h e big pic ture

What’s happening right now?

The demand for graduate recruits is affected by many factors, including:

■ macro factors such as the business cycle, economic conditions and

business forecasts

■ the level of regulation – for example, increased regulation may

prompt a greater demand for professionals in the compliance function

■ competition with other banks glossary

■ consolidation in the industry as a result of bank mergers Consolidation means:
and takeovers – private equity investment
strategy that involves
■ global staff movements. merging several small firms
together and exploiting
The Finance Sector Union’s Angela Jolic notes that the past decade has economies of scale or
seen the finance industry go through incredible changes. The bigger scope.

companies in the industry have reduced their staff numbers. At the

same time, there is now a rising number of smaller companies growing
their businesses and taking over some of the functions the larger
companies had. A lot of jobs that were plentiful have disappeared,
while other positions have experienced a boom.

Allan Ritchie, the investment banking consultant at Hudson Recruitment,

notes that the Asian Crisis in 1998 spread swiftly across the Asia–Pacific,
affecting currencies, interest rates and other markets. This was followed
by trouble in other emerging markets, from Latin America and into
Russia. Trading volumes fell as investors took their money out of the
markets. Mergers and Acquisitions (M&A) activity also slowed.

It was an ugly time. I was working as an investment banker

in London at the time where about 20 per cent of the people
working in investment banking lost their jobs and that affected
other ancillary businesses.
Allan Ritchie, Hudson Recruitment

In 1999, conditions in the investment banking industry began to

improve on the back of the tech boom and investment banks started
hiring new analysts again. But a few years later came the bursting of
the technology bubble, September 11, SARS, and war being declared
on Iraq. Again, job prospects turned gloomy.

Prospects are currently rosy, but like other industries, investment

banks are influenced by economic conditions and how these affect the
perception of their clients and their investment appetites.

IB - 191205.indd Sec1:5 20/12/05 6:50:02 AM

 Investment Banking
fyi
In 2001, HIH Insurance Group
went into liquidation and it
is currently the subject of a
Royal Commission. For more
information see:
www.hihroyalcom.gov.au
glossary
Risk management means:
– being able to manage
different risks and anticipate a
wide range of circumstances
that have to be managed
and having procedures and
systems in place to manage
circumstances as they arise
IB - 191205.indd Sec1:6
Some market setbacks, such the collapse of Enron and HIH, and
the National Australia Bank trading scandal, have created new jobs
in merchant banking, especially in the area of compliance and risk
management, as the regulators step in to try to prevent any
future shocks.
Current size of the profession
According to the Reserve Bank, the total assets of investment banks
operating in Australia topped $73.4 billion in January 2005.
By May 2004, there were 53 authorised banks in Australia, 39 of
which were foreign-owned. Some are full service banks while others
are specialists focusing on niche markets. Many of the foreign banks
entered the market after it was deregulated over 15 years ago,
creating a highly competitive playing field.
The International Banks and Securities Association of Australia
(IBSA) estimates that there are about 25 000 Australians employed
in investment banking. Most of these jobs are concentrated in Sydney
and Melbourne. Sydney, however, dominates. It has developed as the
financial capital of Australia in recent years and has attracted most of
the foreign-owned banks.
Many global banks also export financial services by servicing regional
and global operations from Australia. Some examples include:
■ Citigroup – Asia–Pacific processing hub for foreign exchange,
employing 85 staff
■ Deutsche Bank – global operational, information technology and
support services, employing 135 staff
■ JPMorgan Chase – Asia–Pacific institutional equities and
futures/options operations, and human resources, accounting,
procurement and compliance support, employing 135 staff;
custodial services in Adelaide, South Australia, with 165 staff
■ Morgan Stanley – global foreign exchange, Asia–Pacific accounting,
structured products, equity operations and human resources
support, employing 80 staff
■ UBS – global information technology call centre in St Leonards,
New South Wales, employing over 120 staff.
One niche branch of investment banking is venture capital. According
to Australian Venture Capital Journal editor Victor Bivell, there were
20/12/05 6:50:03 AM
 T h e big pic ture

128 venture capital firms in Australia, managing $10 billion and

employing 663 professionals at the end of 2004.

The 2005 financial year was a good one for mergers and
acquisitions (M&A) all over the world, and Australia was no
exception. In the first half of 2005 alone, global M&A increased
by 31 per cent over 2004 to be worth $US1.3 trillion ($A153
trillion), according to market research firm Dealogic.
In Asia excluding Japan, announced M&A volumes rose 14 per
cent, to $US114.9 billion, in the first half. Led by the $7.7
billion takeover of WMC by BHP Billiton, Australia made up
nearly 24 per cent of the region’s activity.
According to Thomson Financial league tables, over the whole
financial year M&A activity involving Australian players rose by glossary
43 per cent, to $US108.5 billion, although the number of deals
League tables means:
remained relatively static – up from 2041 in 2003–04 to 2141
– measure by which
last year. investment banks compare
CFO Magazine (August 2005) their performance in the
key areas of M&A, equity
and debt underwriting.
What are the job opportunities? Skills shortage means:
– shrinking labour market
In Australia, most investment banking jobs are in Sydney and Melbourne.
due to an ageing
population, slowing
While many media reports suggest that finance employment is in
birth rates and skilled
decline, in reality, according to the Australian Bureau of Statistics, the immigration rates
number of people employed in the industry has increased by 14 per
cent from 1999 to 2004.

Like other sectors of the economy, investment banking is suffering a

skills shortage and, at present, demand for staff in this industry is
high, although there’s some uncertainty where this will go over the
next six months.

Edmund Gill, a director at Hays, says there’s a general need across the
investment banking industry for good quality people.

There’s a need for analysts generally and demand for compliance

people is growing. Investment bankers have to think globally.
Compliance in the US and UK is a lot stricter and investment
banks here in Australia are trying to stay a step ahead of this.
People with finance and accounting skills are always needed, and
there’s also demand for business development people.
Edmund Gill, Director, Hays Recruitment

According to the International Banks and Securities Association of

Australia (IBSA), demand for new recruits in investment banking has

IB - 191205.indd Sec1:7 20/12/05 6:50:03 AM

 Investment Banking
glossary
Securitisation means:
– pooling and re-packaging
of non-tradable securities into
marketable securities.
BASEL II means:
– round of deliberations by
central bankers from around
the world, under the auspices
of the Basel Committee on
Banking Supervision in Basel,
Switzerland.
fyi
BASEL II, which comes into
affect in Australia in 2008,
aims to produce uniformity in
the way banks and banking
regulators approach risk
management across national
borders. Banks are currently
changing their systems
to comply with Basel II’s
requirements. See:
www.bis.org/bcbs/index.htm
The Sarbanes-Oxley Act
(SOX) was passed by the US
Senate in 2002 in response
to the collapses of major
public companies such as
Enron, Tyco and WorldCom. It
aimed to strengthen corporate
governance – Australian
companies that have
exposure to US securities
markets have to comply to
SOX.
IB - 191205.indd Sec1:8
been fairly stable over the past few years. New graduates make up
about five per cent of the IBSA member workforce.
IBSA adds that there are growing opportunities for recruits in a range
of new products – such as securitisation – and in expanding areas
– such as funds management.
Other areas where there is currently growing demand for staff include
finance and accounting, as well as compliance. The compliance demand
is driven by rising regulation of the banking sector following some high-
profile corporate collapses in recent years in Australia and overseas.
International developments like BASEL II and Sarbanes-Oxley have
boosted the need for investment bank staff. There are also new global
standards for the prevention of money laundering and the need for local
operations to comply with their parent company policies. However, the
positions created by these developments generally require industry
experience and would not be suitable for new entrants into the industry.
Historically, there has always been a significant demand at the
18 month to three years’ experience level in most disciplines,
which allows for internal growth and development for existing
staff. With limited recruitment over the last three years, there
have been few graduate recruitment schemes or juniors being
taken on for training.
As a result, a gap has developed in the market, which is forcing
clients to compete for that experience in terms of salary and
benefits, hence looking to bring on staff with more experience
than would traditionally have been necessary. This has resulted
in salaries being driven up. A quick glance at the press will
provide plenty of evidence of the demand for candidates, with
agency and client led advertising reaching fever pitch.
The next stage in the cycle is likely to be a switch to recruiting
graduates and school-leavers, which will help to stabilise the
market at that mid level.
Currently, however, the experienced professional on the
job market is the hottest commodity for any employer and
competition is incredibly fierce.
The skills in heaviest demand at present fall within the
international equity and derivative arena.
Whilst fixed income over the last three years has seen a level
of consistent recruitment, the peaks in volume recently have
noticeably been for equity and derivative product knowledge.
Hays Investment Banking Salary Guide 2005
20/12/05 6:50:04 AM
 T h e big pic ture

Typical entry-level positions for new recruits include:

■ Research assistants

■ Trainee private client advisers

■ Corporate services advisers

■ Institutional dealers

■ Information technology trainees

■ Client services

■ Assistant portfolio managers

■ Administration and support staff.

The investment banking industry is very fast-paced, which is

reflected in employment trends. What is considered to be a ‘hot
job’ today may very well have changed a couple of months down
the track. When making career choices, students should not
rely on perceptions of which areas are growing. Instead, they
should take the time to research all aspects of a bank’s business
to locate areas that may be of interest to them, and are most
relevant to their qualifications.
International Banks and Securities Association of Australia

hotjobs
We asked some HR experts what jobs were currently hot in investment
banking. Here’s what they listed:

Private equity, principal finance, corporate advisory, mergers

and acquisitions, divestments, capital raisings and general
corporate reconstruction.
Jon Michel, Founder of Jon Michel Executive Search

Corporate finance, alternative assets, leveraged finance and

private equity.
Allan Ritchie, Investment banking consultant, Hudson Recruitment

There are some interesting entry-level positions in mergers

and acquisitions and equities research that offer a broad and
exciting scope for work.
HR manager, ABN AMRO

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 Investment Banking

There are many pathways open to you in investment banking. They

could include:

■ corporate finance and advisory services

■ structured finance

■ project finance

■ trading

■ equity, fixed income and currency research

■ sales

■ derivatives

■ private equity and venture capital.

Corporate finance and advisory services

This involves providing acquisition, merger, fundraising and strategic
advice. You are likely to get involved in helping companies raise the
capital they need for ongoing operations, new projects or acquisitions.
You’d work out how much capital they need and how best to get it
– for example, by borrowing from a bank or by issuing bonds or shares
or other securities. Transactions may include divestments, initial
public offerings, takeover defences, equity-linked and debt capital
issuance and, of course, M&A.

In M&As, you would help one company buy another or merge with
another. You might also advise clients how to fight off any unwanted
takeover bids. You are likely to be part of a team which gives advice,
values transactions, structures deals or negotiates favourable terms.
In the beginning, you could work as an analyst, running lots of
valuation models on spreadsheets and doing background research
into the companies and industries involved in any potential deals. As
you gain experience and move up the ranks you are likely to get more
client-focused.

You might also work on the privatisation of government-owned

enterprises – such as Telstra. Here, you could advise a government
about the nature, timing and pricing of asset sales, or get involved in
marketing the sale to investors.

People dealing with corporate finance often work for investment

banks, but they could also find opportunities at accounting firms,
the larger commercial banks, boutique corporate finance practices,
private equity companies and at large Australian companies.

10

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 T h e big pic ture

Structured finance
Structured finance involves ‘non-standard’ ways of raising money,
through tailor-made securities. These could include asset-backed
commercial paper, collateralised bond obligations (CBO), and
repackaged asset vehicles. The investment bank’s job is to create the
security so that it meets the needs of both the buyers and issuers,
set out the legal terms of the agreement, and price the deal. Here,
you’ll be looking for hidden risk and value in structured securities and
at ways to repackage and refinance a company’s assets so that it is
best placed to meet its future funding goals. The job requires a solid
combination of spreadsheet, accounting and legal skills.

Project finance
Investment banks have made their mark as the financiers and
facilitators of large-scale business projects on behalf of companies
or governments. Project finance deals often bring together a
large number of investors, including commercial banks and even glossary
development banks. Investment banks can be involved right at the FX means:
start – by identifying needs, conceptualising projects, introducing – Foreign Exchange
partners or structuring finance – and they might continue by managing
funding during the construction and commissioning stages.

Trading
As a trader, you might be buying or selling shares, bonds, currencies
(referred to as Forex or FX), options, futures and other securities.
Traders often make snap decisions worth millions of dollars and work
in a fast-paced environment where world events can have a big impact
on the markets. As a trader, you would need to have very strong
analytical know-how, sure instincts, fast reflexes and sometimes,
poker-faced bargaining skills. You’d also need to understand markets fyi
and the inter-relationship between markets. Along with numerous
The classic image of a trader
other traders on the ‘trading floor’, you are likely to spend your
– a man on the trading floor,
working hours in front of computer screens, watching prices move up shouting ‘buy’ and ‘sell’
and down and tracking news and events that could affect prices. is now an extinct breed.
Today, trading is almost
paperless and takes place
Equity, fixed income and currency research in cyberspace. Although
a gut feel for markets
Equity analysts examine the strength of listed companies and will always be important,
their future prospects. They are usually assigned to an industry or traders increasingly rely on
mathematical pricing models
region. They research stocks and come up with buy, hold or sell and statistics.
recommendations for investors. Their duties might involve visiting

11

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 Investment Banking
glossary
MBA means:
– Masters of Business
Administration
Arbitrage means:
– simultaneous buying and
selling of one security at two
different prices in two different
markets, which results in
profits without risk.
12
IB - 191205.indd Sec1:12
companies and developing close contacts with big investors or
individual clients. Investment banks often like to hire people with
industry experience into equity analyst positions (as opposed to fresh
MBAs or undergrads). For example, they might hire someone who has
worked previously in a mining or energy company to be their resources
analyst because this person will already have a good understanding of
the resources sector and will be able to ask the right questions.
Fixed interest and currency analysts research the prospects of bonds
or exchange rates. Each type of security requires different skills and
expertise. In foreign exchange markets, an understanding of general
macroeconomic and political conditions is useful while in fixed
interest markets having quantitative skills, a knowledge of pricing
models and arbitrage theory will pay off.
If you work in research, you will produce written reports on markets
or companies and their prospects. These reports will be distributed to
clients and read by the bank’s traders. Researchers spend their time
sifting through companies’ annual results and announcements, and
talking to companies about developments that could influence their
profitability and future prices of their shares or bonds. Researchers
need to be numerate, inquisitive and have strong presentation and
communication skills.
Sales
In sales you would be responsible for conveying information
about particular securities to large professional investors like
fund managers, charities and superannuation funds, or to wealthy
individual investors. Sales skills and product knowledge are crucial
in this area as is the ability to get through to busy investors. You’ll
also need charm and persuasiveness, and should enjoy dealing
with people. You are likely to spend a lot of your time working the
telephones, often talking to clients from the moment the financial
markets open to the moment they close (as well as several hours
before and after).
Derivatives
Derivatives are types of financial instruments. Their value is ‘derived’
from the price of some underlying asset – for example, an interest
level or stock market index. They are designed to help organisations
protect themselves against the risk of price changes, or to be
speculative investments. Options, swaps and futures are examples
20/12/05 6:50:07 AM
 T h e big pic ture

of derivatives. To structure derivatives, you will need to be innovative

and to be a good problem solver. You’ll also need a strong quantitative
background, possibly in engineering, physics or applied mathematics.
However, a legal background may also prove valuable because
derivatives have to be structured around regulations and laws.

Private equity and venture capital

Private equity companies or funds help raise money for unlisted
companies to help them further their growth. They don’t do this by selling
glossary
companies’ shares or bonds, but by taking a stake in the company. MBO means:
They also hope to use their expertise to improve the performance of the – where a company, or a
company, before selling out at a profit some years later. division of a company, is
bought by its managers.
The terms ‘venture capital’ and ‘private equity’ are often used
interchangeably but, strictly speaking, venture capital refers to MBI means:

funding new and developing companies, while private equity is more – where managers from
outside take over a
usually associated with management buy-outs or management buy- company.
ins of more mature companies.

If you work in private equity or venture capital, you are likely to work
for a small company or fund. You may, however, also find a role in an
investment bank or large accounting firm as an advisor.

Most private equity and venture capital firms in Australia don’t

hire graduates directly and tend to take on people who have had
some years experience elsewhere – such as in investment banking,
accountancy or strategy consulting.

However, if you do join a private equity fund in a junior position, you

are likely to spend a lot of time number crunching, examining the
accounts of the companies and building financial models. To do this,
you will need a strong financial background.

As you get more experience and take on more senior roles, you will get
more involved in appraising whether the company is worth investing
in at the asking price, and whether the fund is likely to be able to sell
its stake in the company at a profit in the future. You might also help
‘execute’ the deal – that is, doing everything needed to ensure it takes
place. Once you become really senior in the fund, you could become an
originator. Here, you would oversee the deal while it is being done as
well as originate new deals by finding new companies for the fund to
invest in. For more senior roles, it also helps if you can build a strong
rapport with company executives and if you have some experience of
strategy and the day-to-day requirements of running a business.

13

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 Investment Banking

Women in investment banking

Investment banking is not generally regarded as a ‘traditional’
employer for women and it’s widely considered a male-
dominated industry.

‘There are still relatively few females in the industry. Ninety-nine

per cent of the people I work with are male,’ says Isabella Ebbitt, an
executive in KPMG’s real estate advisory area of corporate finance.

Similarly, a senior female analyst at BDO Chartered Accountants

and Advisers, says: ‘Female partners are still in the absolute
minority in corporate finance but the number is increasing.’

One problem for women, especially those with families, is that

many of the jobs involve working long hours.

‘It’s really hard for women. The time when they peak at their career
in this industry runs into the time when they should be having
children. It’s not easy. Making it work depends on the environment
you are in,’ notes one high-flying corporate financier.

But times are changing!

Firstly, many female investment bankers don’t believe they are

discriminated against and most don’t believe they earn lower salaries.

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 T h e big pic ture

MYTH
Also, diversity is becoming a competitive necessity rather than the banking and
just a competitive advantage for many employers in the industry. finance industry is a
Women are increasingly playing a bigger role with greater boy’s club
representation at the senior levels and more female graduates
It has changed a
are joining the industry – in areas such as funds management great deal, especially
and retail broking, there is good representation of females at all in the dealing room
environment. Fifteen
levels and many examples of successful senior women.

fact
years ago, three people
out of 80 were females.
But in other areas of the industry women remain under- Now it’s almost 50/50.
represented – for example, in mergers and acquisitions,
structured finance and within the trading areas. Overall, however,
female representation at senior levels is generally lower when
compared with other industries.

Investment banks have attempted to address the gender

imbalance by focusing their energies on initiatives that provide
women with the training, development and support they need to
advance in this industry.

ABN AMRO, for example, offers female staff development

programs and flexible part-time and work-from-home options.
Paid leave of 12 weeks is offered to employees who are primary
care givers.

How much can I earn?

Top performers Salaries in investment banking tend to be
can earn a bonus better than in many other sectors of the
economy, but what actually counts is the
of 100 per cent of
bonuses that one earns over and above
their salary.
the salary. According to Allan Ritchie, the
investment banking consultant at Hudson, top performers can earn a
bonus of 100 per cent plus of their salary. New graduates get smaller
portions of the bonus and bonuses rise with seniority. The higher up
you are the more of the bonus pool that accrues to you.

On top of this, say in private equity, there’s a remuneration known

as ‘carry’. Although not common, the ‘carry’ is a long-term incentive
which gives you a share in the business you’ve built up.

According to Allan Ritchie, a recent graduate entering the investment

banking world as an associate or analyst can expect to start off
earning between $40 000 and $60 000 a year. A senior associate with

Want more quality career resources

from Career FAQs for FREE? Click here 15

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 Investment Banking

two to three years’ experience can start looking at $80 000 a year
and at $130 000 when he or she has three to five years’ experience
in the game. An associate director with five years or more experience
will take home over $150 000 while a director may pocket $180 000
to $275 000. An executive director or head of division will earn $250
000 plus a year. But of course, this is before the bonuses which will
depend on how good a year that area in the investment bank had.
Salaries at a domestic investment bank are often on a par with those
at international investment banks, but bonuses are not always as high.

Entry-level salaries are around $40K to $50K for a new

graduate with no experience. You will progress on merit and
usually earn a bonus on top of a base salary. After 10 years, you
should be earning well into the six figures.
Ben Reeves, National recruiting manager, KPMG

Performance-based bonuses
Bonuses are a standard element of the investment banking
sector’s remuneration structure, and job seekers chase good
bonus payers. The aim of bonuses is to recognise and reward
employees for exceeding their individual targets and those of the
company or bank. They also provide recognition for outstanding
contributions that exceed expectations at both team and
individual levels. But just how these bonus are allocated will vary
greatly between different organisations.

Essentially, however, the bank or major business unit must first

turn in a good performance. Then, depending on level of its level
of success, a team will get its share of the ‘bonus pool’. What
slice an individual gets of this share is based on his or her own
performance and varies depending on the seniority of their role.
The more senior you are, the bigger slice you are likely to get.

Corporate finance and investment bankers are chasing

the ‘100 per cent of salary plus’ type of bonus but the
performance/profitability has to be strong.
Allan Ritchie, Investment banking consultant, Hudson Recruitment

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 T h e big pic ture

A survey by the International Banks and Securities Association of find out

Australia (IBSA) found that its members paid a total of $2.4 billion more
in salaries in 2003. More than two-thirds of IBSA employees earned See ‘Comparative
above the average wage of $48 000 per year according to the starting salaries of various
Australian Bureau of Statistics. This reflects the high standards of professions’ in Appendix 1

performance expected in the investment banking industry. The salary

spread by range was as follows.

Salary Range / % of respondents’ employees

Over 200K: 14%

151K–200K: 7%
101K–150K: 13%
51K–100K: 34%
50K or less: 32%

Source: IBSA Member Survey 2003

The salaries paid to investment bankers are more than commensurate

with those of university graduates entering other professions.

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 Investment Banking

The following table shows the ages, jobs and salaries of investment
banking professionals interviewed for this book. Many have listed
their salaries without the healthy bonuses and other financial
incentives that are so much a part of this industry.

Approximate salary No. of

Age No. of years
Position title as at 30 June 2005 years in
group in job
($) profession
30s Associate director 250 000
18 months 7
plus bonuses
Late 20s Senior analyst,
70 000 3 months 1.3
corporate finance
30s Executive, real
60 000–80 000 2
estate advisory
Late 20s Manager, boutique 130 000–160 000
1 5
investment house plus bonuses
30s Senior executive,
boutique corporate Performance-based 2 4
advisory
30s Chief investment
300 000–1 million
officer, listed 1
performance-based
property trust
Late 20s Finance analyst Performance-based 1.5
Early 30s Manager, structured
150 000 approx 4 7
investments
30s Healthcare analyst,
Performance-based 6 6
equities
Late 20s Manager, equity
Performance-based 5 7
capital markets
Early 20s Credit trader, global
Performance-based 13 months 2
markets
Mid 20s Director, short-term 150 000–250 000
1.5 6.5
interest rate trading plus bonuses
40s Vice president, sales 100 000–150 000
plus 30–60% 1 over 10
bonuses
30s Senior analyst, 90 000–100 000 plus
financial risk super and study 3 5
management assistance
Late 20s Senior analyst,
60 000–80 000 1 3
management
30s Senior analyst,
60 000–100 000 2 6
management
Career FAQs survey, 2005

You may notice that the interviewees are mostly in their 20s and 30s.
This confirms that, at least to some degree, investment banking is

18

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 T h e big pic ture

a high-paying young person’s game – and, the figures don’t include

glossary
performance bonuses.
Performance bonuses
The next table from Michael Page International also shows salaries means:
before bonuses are added. As you can see, there is considerable – bonuses awarded for
variation in the range of salaries. This survey indicates that salaries achieving objectives.
are negotiable with some directors starting on $160 000, while others
can earn $220 000 plus.

Corporate Finance Salary*

Analyst/executive 65K–100K
Associate 100K–120K
Manager 120K–150K
Associate director 150K–220K
Director 220K+
Equities research Salary*
Assistant analyst 80K–120K
Analyst 120K–200K
Senior analyst /lead analyst 200K+
Equity capital markets Salary*
Analyst 65K–90K
Manager 90K–130K
Associate director 130K–160K
Director 160K+
Source: Michael Page International Finance Salary Survey
* These figures are generally the total remuneration (i.e. cash, statutory superannuation
component and benefits), excluding bonus/incentive schemes.

However, no matter how your earnings are structured, what you

actually take home each year is what really matters. And, it’s bonuses
that count in investment banking. Indeed, bonuses are a key reason
why high performers want jobs in this industry.

The Hudson Recruitment salary guide shows how much bonuses

can boost your earnings and how performance can be important in
determining your income in the investment banking game.

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 Investment Banking

The salary listed is an approximate indication of what someone in that

position would earn. The ‘bonus % of base’ shows how much more
you can earn if you meet your targets. The lowest end of the range
is the percentage of your salary you get (in addition to your salary)
if you and your team just meet your targets. The highest end of the
range indicates what is possible to earn if you exceed your targets.
However, if you don’t meet your targets, you won’t get a bonus and
may possibly lose your job because you aren’t performing.

Corporate finance/M&A Salary Bonus % of base

Head of division/MD 400K 75–250
Director/senior vice president 275K 75–150
Associate director 150K–220K 90
Manager 80K–130K

Equity capital markets Salary Bonus % of base

Head of division/MD 350K 75–150
Director/senior vice president 275K 50–100
Associate director 120K–200K 50–100
Manager 80K–100K 50–100

Debt capital markets/

Salary Bonus % of base
securitisation
Head of division/MD 350K 100–200
Director/senior vice president 275K 100–200
Associate director 120K–200K 50–100
Manager 80K–120K 50–100

Structured finance Salary Bonus % of base

Head of division/MD 350K 75–250
Director/senior vice president 275K 75–150

Funds management – Sydney Salary*

Performance analysts (3 years’ experience) 50K–75K
Quantitative analysts (5 years’ experience) 80K–120K
Equity analysts (5 years’ experience) 90K–130K
Client relationship manager 130K–150K
Portfolio manager 130K–180K
Business development manager 130K–200K
Source: Hudson salary guide

Note that a head of division or managing director (MD) can earn

$400 000 and receive bonuses of up to 250 per cent of the base
salary, totalling a massive $1 400 000.

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Who are the main employers?

People with investment banking skills can be employed by many
different types of organisations. In fact, their skills are needed
whenever large deals or projects are being structured, money needs
to be raised or financial assets need to be bought or sold. The main
employers of people with investment banking skills are:

■ banks

■ boutiques and smaller companies

■ private equity firms and funds

■ venture capital firms

■ accounting firms

■ government

■ corporate Australia.

Banks
Most of the traditional investment banks operating in Australia are
global multinationals with a head office based in another country.
Some of the best known ones include:

■ ABN AMRO (The Netherlands)

■ BNP Paribas (France)

■ Citigroup (USA)

■ Credit Suisse First Boston (Switzerland)

■ Deutsche Bank (Germany)

■ HSBC Bank (UK)

■ ING Bank (The Netherlands)

■ JPMorgan Chase Bank (USA)

■ Merrill Lynch (USA)

■ Morgan Stanley (USA)

■ Nomura (Japan)

■ Royal Bank of Canada (Canada)

■ UBS AG (Switzerland).

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 Investment Banking

The big four commercial banks – Commonwealth Bank, National

Australia Bank, Westpac and ANZ – and some smaller banks like St
George also engage in investment banking activities.

Australia also has its own home–grown investment banking

operations, the biggest and perhaps the most successful of which
is Macquarie Bank. It is the only large, majority Australian-owned
investment bank. It is listed on the Australian Stock Exchange (ASX)
and operates in 23 countries.

Boutiques and smaller companies

Numerous smaller investment banking companies exist. Some are also
listed on the ASX, including Babcock & Brown and Mariner Financial.
Babcock & Brown, for example, has its headquarters in Sydney but
operates from 18 offices worldwide. Not only does it advise on and
arrange transactions, it sometimes takes a stake in them.

There is also a wide range of other boutique or smaller investment

find out
more
Archer Capital
www.archercapital.com.au
CHAMP Private Equity
www.champequity.com.au
banks. They include Investec, Caliburn, InterFinancial ECM and,
possibly Australia’s newest investment bank, State Equity Group,
which was launched in August 2005.
Private equity firms and funds
There are 13 private equity funds listed on the ASX and plenty more
that aren’t. Here’s a selection of Australian private equity companies:

Crescent Capital Partners ■ Archer Capital

www.crescentcap.com.au
■ CHAMP Private Equity
DB Capital Partners
www.dbcapitalpartners. ■ Crescent Capital Partners
australia.db.com
■ DB Capital Partners
Hastings Private Equity
www.hfm.com.au ■ Hastings Private Equity
Ironbridge Capital
www.ironbridge.com.au ■ Ironbridge Capital
Wolseley Partners ■ Wolseley Partners.
www.wolseleypartners.com.au
It’s worth browsing through their websites to get a feel for what they do.

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 T h e big pic ture

Venture capital firms find out

more
There are over 100 venture capital firms in Australia, managing $10 www.a-b.com.au
billion and employing more than 600 professionals. Here’s a small
www.cvcltd.com.au
selection of these companies:
www.equitypartners.com.au
■ Allen & Buckeridge www.firstgroup.com.au
www.momentumvc.com.au
■ Continental Venture Capital
www.nanyang.com.au
■ Equity Partners
www.capstart.com.au
■ First Corporate Group www.rmb.com.au
www.starfishventures.com.au
■ Momentum Venture Capital
www.tvp.com.au
■ Nanyang Management www.ventures.com.au
■ Pacific Capital Corporation

■ RMB Ventures

■ Starfish Ventures
glossary
■ Technology Venture Partners
IPO means:
■ Venture Capital Partners. – Initial Public Offering. This
is the first sale or issue
A visit to their websites should give you a better idea of what they of privately owned equity
actually do. (securities or shares) in
a company via issue to
the public and investing
Accounting firms institutions. An IPO
can also be known as
Also employing people with investment banking skills are business ‘going public’ or ‘taking a
company public’.
advisory firms like KPMG, PricewaterhouseCoopers, Deloitte and Ernst
& Young. They are typically involved in activities like mergers and An Independent expert
report:
acquisitions, capital raisings, IPOs, financing, real estate, business
– informs shareholders
valuations and preparing independent expert reports. As they do not lend whether the share price
money to fund transactions, the investment banking areas of accounting paid for any transaction is
firms are valued for their ability to provide independent advice. fair and reasonable.

Working for KPMG is an excellent career choice for those

wanting to work in investment banking because of our strong
learning culture, opportunities for travel, well structured
training programs, involvement of graduates in all aspects of
our assignments, and our approach to allowing graduates to work
across all parts of our business and with other divisions of KPMG.
Julian Vella, Head of Corporate Finance, KPMG

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 Investment Banking

Government
Numerous government departments employ graduates with finance
and investment banking skills. Governments do, after all, have to fund
large projects and look after tax payers’ money. The government is
also a major issuer of bonds.

Here are some government departments that hire people with

corporate finance and investment banking skills.

The Treasury
Treasury employs approximately 800 people in Canberra and runs a
12-month Treasury Graduate Development Program. There are also
employment opportunities in Treasuries in other states.

Reserve Bank of Australia

The Reserve Bank of Australia (RBA) hires graduates for a number of
its divisions. You could, for example, become involved in the bank’s:

■ foreign exchange market operations

■ holdings of domestic and foreign securities
fyi ■ monitoring and analysing domestic and overseas financial markets.
The Treasury
http://graduates.treasury. Australian Prudential Regulation Authority
gov.au

RBA The Australian Prudential Regulation Authority (APRA) is the prudential

http://rba.recruitasp.com.au regulator of banks, insurance companies, larger superannuation
APRA funds, credit unions, and building and friendly societies. A job with the
www.apra.gov.au/careers regulator could involve a wide range of analytical financial skills.

Corporate Australia
Many of Australia’s largest companies, and multinational companies
with branches in Australia, hire people with investment banking skills
to help them raise money on the capital markets, restructure their
balance sheets or invest in other companies or projects.

For example, Lend Lease employs a number of people with investment

banking skills in its corporate finance, project finance and treasury
departments to help it fund, construct and manage its real estate
assets around the world. The group has been behind the development
of many office towers, hospitals, airports, shopping centres,
pharmaceutical facilities and residential communities.

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What are employers looking for?

When hiring new graduates, investment banks look for excellent
academic performance regardless of academic field, although,
typically, successful candidates have completed commerce, law,
economics or finance and related degrees.

Investment banks want employees with a combination of strong

analytical and interpersonal skills although some jobs lean more
towards one skill set than another.

Investment banks are looking for people with:

■ a high degree of confidence and well-developed interpersonal skills

■ strong problem-solving, analytical and quantitative skills

■ the ability to work well under pressure and to tight deadlines.

They also want people who:

■ thrive in a collaborative environment and are team players

■ are highly motivated, flexible and have initiative.

To fit the bill, you’re likely to be a team player, a fast learner,

innovative, committed and creative. You’ll also need to possess
leadership potential and integrity. You’ll probably have to demonstrate
that you’re highly numerate, quick thinking, personable and articulate.

Early positions in investment banking are likely to require good

spreadsheet skills and analytical skills. However, in mid-career,
your success may depend more on your ability to communicate with
clients and get deals done. By this time, it will also be crucial to have
a good understanding of market trends, the larger macroeconomic
environment and deal mechanics.

Although qualifications are clearly important, when it comes

to securing a job and establishing your career, there are a
range of skills that are critical. The skills that top this list
are communication skills. Finance workers, no matter what role
or company they’re in, need to be able to communicate and
relate well with their customers, managers and co-workers.
Customer service, sales and relationship management skills are
also extremely important. The finance industry is primarily a
service industry. In recent years, there has been a shift from
the industry being fairly average in terms of the customer
service it provides to now having a strong focus on high net

25

IB - 191205.indd Sec1:25 20/12/05 6:50:19 AM

 Investment Banking

worth customers and needing employees with strong relationship

management skills who can retain these customers and grow
their business.
Angela Jolic, Finance Sector Union

Meet some employers

Let’s have a closer look at what financial and HR managers look for
when recruiting. What types of people do they think best suit the
financial profession? And what are the things you should consider
before embarking on an investment banking career?

We spoke to:

■ Jan Swinhoe – Global head of property, industrials & consumer

■ Mark Thexton – Associate director

■ Chania Higgins – Graduate recruitment executive

26

IB - 191205.indd Sec1:26 20/12/05 6:50:20 AM

 T h e big pic ture

Jan Swinhoe – Global head of property,

industrials & consumer

Jan currently works at Westpac Institutional Bank, having perviously

worked in corporate superannuation and capital markets. She has
seen significant chnages take place in the industry.

q&a
What are the best aspects of your industry?
It’s very intellectually stimulating, there is a high level of people
contact, it’s a very practical environment and there is a high degree of
change which keeps it very dynamic and interesting.

What are the disadvantages?

The long hours and constant pressure.

What type of person best suits investment banking?

Someone who is bright, numerate, quick to adapt to change and who
likes to challenge the status quo.

Can you describe a particularly interesting project you have

been involved in?
Being involved in industries as they evolve and in Merger and Acquisition
activity. As different products develop it’s good to be the first bank to do
a deal of that kind and be at the frontier of product development.

How did you get to this position? What was your career
path like?
I did a Bachelor of Science Honours (Pure Mathematics) at UNE. I
then studied through the Institute of Actuaries in London. Initially,
I worked for two large life insurance companies in the area of
corporate superannuation in Australia, before moving into banking as
a derivatives trader. I also spent time in New York where I broadened
out into capital markets and derivatives. Then I was looking for a more
people-related, management role and I joined Westpac Institutional
Bank over ten years ago, where I have held numerous positions.

What do you feel young people contemplating a career in

investment banking should know?
The need to be patient and flexible, as this industry changes all the time.

Has the industry changed in the time you’ve been in it?

Absolutely! It’s completely different from what it looked like when
I started. The technology has changed and there is much more
regulation of the industry, with the introduction of things like Bazel lI,
International Financial Reporting Standards and Sarbanes-Oxley. It’s
also far more technologically reliant and this has speeded up the pace

27

IB - 191205.indd Sec1:27 20/12/05 6:50:22 AM

 Investment Banking

of an already busy environment. We also have to deal with greater

expectations from customers, who have become more demanding and
have increasingly complicated requirements. We’ve had to develop a
better understanding oft heir needs and the range of products now on
offer is enormous. On the recruitment side it’s become more difficult
to identify the skills that would prepare someone for the role and
there’s a lot more flexibility and variance on what core skills are required.
The recruitment processes are also far more formal these days.

What did you want to be when you were at school? Could you
have imagined your career turning out this way?
I wanted to become either a psychiatrist or a mathematician. I
couldn’t have imagined my job now, but it has led to the right
outcome as I’ve always been able to use the quantitative skills and
have the people contact.

Mark Thexton – Associate director

Mark believes that corporate finance and investment banking offer
enormous opportunities as a career option. Previously to his current
position at PriceWaterhouse Coopers Securities, Mark has worked in
many corporate finance positions including business analyst.

28

IB - 191205.indd Sec1:28 20/12/05 6:50:23 AM

 T h e big pic ture

q&a
What are the best aspects of your industry?
The corporate finance and investment banking industry offers
enormous opportunities for professional and personal development.
It is relatively unique in that it offers exposure to a wide range
of industries, diverse types of organisations (listed and private
companies, trusts) and a myriad different and complex transactions
(divestments, acquisitions, mergers, initial public offers, management
buy-outs etc.). As a result, there is always an immense amount to
learn and it is constantly challenging – and therefore very rewarding.

What are the disadvantages?

It is a relatively high-pressure environment, especially when there is a
lot to do and too little time. The hours are long so don’t expect to work
‘nine until five’. Planning often goes out the door when critical issues
arise or a major project lands so then it’s all hands on deck to get the
job done quickly and to the highest standards.

What type of person best suits investment banking?

Some characteristics of the people who are very successful in
corporate finance/investment banking include: quick to learn
and to absorb new concepts, lateral thinker, persistent, effective
communicator and analytical. Also, given the nature of projects and
level of negotiations, people in corporate finance/investment banking
tend to be quite ‘thick skinned’.

Can you describe a particularly interesting project you have

been involved in?
Probably the most memorable and enjoyable of recent projects was
the initial public offering of Tattersall’s Limited. It was a very large
project which involved Tattersall’s transitioning from an estate (akin to
a private trust structure) to a listed public company. This was the first
time in Australia an estate had been restructured to a public company,
which added significant complexities and time to the project.

How did you get to this position? What was your career
path like?
Before moving into corporate finance, I worked in industry for about
eight years. I started as a business analyst (after completing a
commerce degree), then progressed to strategy and the development
of new businesses in the banking industry. I have also completed
postgraduate studies in finance and investment management. These
were all excellent areas to gain relevant experience which has been
invaluable for the development of my career in corporate finance.

What do you feel young people contemplating a career in

investment banking should know?
Like most industries, there is a lot more to corporate finance or

29

IB - 191205.indd Sec1:29 20/12/05 6:50:25 AM

 Investment Banking

investment banking than the general external perceptions. It is not all

glamour and high flying, but rather a lot of hard work and dedication
in order to be very successful. Saying that, it is very challenging and
can be an incredibly rewarding career.

Has the industry changed in the time you’ve been in it?

The corporate finance and investment banking industry is relatively
dependent on equity and capital market conditions. In the last few
years we’ve seen very strong markets (1999/2000 and current) as well
as soft markets in 2003.

What did you want to be when you were at school? Could you
have imagined your career turning out this way?
After finishing studies, I had intended to move into consulting/
strategic advisory. To some extent, corporate finance/investment
banking is a similar field to this (advising clients on strategic matters
etc.), but is also quite different in certain respects. I think that my
skills naturally evolved somewhat and I therefore found myself more
suited to corporate finance than other areas of advisory/consulting.

What is an industry myth? What is the fact?

That investment banking is about just doing high-flying deals. In
reality, there is a great deal of work that goes on behind the scenes,
including planning and project management, managing client
expectations, industry and market research, company analysis,
financial modelling and project administration. That being said, it is a
very fulfilling and rewarding career!

30

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 T h e big pic ture

Chania Higgins – Graduate recruitment executive

In her role as graduate recruitment executive at Macquarie Bank,
Chania is fully conversant with the desired attributes of the graduates
that Macquarie Bank recruits each year to fit the culture of a diversified
international provider of financial and investment banking services.

q&a
How many people work for your company in Australia? How
many people in the world?
Having grown substantially since our establishment, we currently
employ over 6800 people in 24 countries around the world.

How many investment banking personnel work at your bank?

As of 31 March 2005, the Investment Banking Group employed
1838 staff.

What are the different types of investment banking jobs

(different areas) in your bank?
Within our investment banking group, graduate opportunities are
primarily offered in corporate finance and equities research. Across
Macquarie, a diverse range of graduate opportunities is available
including accounting, banking and finance, equities sales, structuring
and trading, funds management, human resources, information
technology, property and risk management.

What are you looking for in investment banking MYTH

professionals? it is an aggressive
When recruiting, we seek the following attributes: male-dominated
environment
■ a keen interest in an investment banking career
■ high levels of motivation and energy it is a team-driven
fact

environment with
■ above average analytical ability equal opportunities for
males and females.
■ excellent communication
■ interpersonal skills
■ the ability to work as part of a team
■ creativity and entrepreneurialism
■ and a strong sense of discipline and ethics.

How does your graduate recruitment program work?

Each year we recruit graduates from a variety of tertiary disciplines for
a broad spectrum of roles throughout the bank. Graduates are typically
hired in their final year of study, to commence the following February.

31

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 Investment Banking
glossary
Meritocracy means:
– a system in which
advancement is based
on individual ability or
achievement.
fyi
Macquarie runs a summer
vacation program which
recruits around 150 graduates
and over 80 undergraduates
a year from a wide range
of degrees, most in its
Sydney, Melbourne and New
Zealand offices.See ‘How are
people recruited?’ for more
information on graduate and
vacation programs in general.
32
IB - 191205.indd Sec1:32
How many graduates apply each year? Which faculties do
you recruit from?
On average, we receive approximately 4500 applications. We recruit
from a variety of disciplines including accounting, actuarial studies,
combined law, commerce/business, computer science, economics,
engineering, finance, human resources, information technology,
mathematics, property and science for positions across the bank.
How do you select graduates?
Graduates apply via an online application form. Applications are then
assessed and the successful applicants are invited in for a first-round
interview with a member of the graduate recruitment team. Subsequent
interviews are held with business managers and psychometric testing
and reference checking are also part of the process.
What are the career opportunities of someone who goes into
investment banking?
At Macquarie, we are meritocracy and as such career advancement is
based on job performance. We have a strong internal labour market
which allows staff to diversify their career paths should they have an
interest to do so.
How do you suggest people go about getting into investment
banking?
The undergraduate and graduate program is a good place to start.
What do you feel young people should know about
the profession?
It is a dynamic, entrepreneurial, client-based, transaction-driven,
challenging and at times high-pressured environment.
How has the profession changed?
The profile of investment banking in Australia has increased as a
result of growth and the globalisation of worldwide markets.
What personal attributes suit a job in investment banking?
Commercial acumen, innovative, tenacious, driven, strong sense
of ethics.
What’s the best thing about working in the industry?
It is a challenging, dynamic and rewarding industry that is continually
changing.
Are there any negatives?
Long hours can occur when working on transactions.
20/12/05 6:50:29 AM
 T h e big pic ture

What support organisations exist?

The investment banking industry does not have one institute or
organisation that specialises in providing guidance and support for
industry members. This is because of the diversity of roles that exist
within the industry – it would be difficult to create a ‘one size fits all’
type organisation. However there are many organisations which focus
on specific aspects or roles within the profession.

Main industry bodies

There is a range of organisations which provide support services to the
industry in general, as well as training opportunities – ranging from
postgraduate studies to one-day workshops – and career guidance.

Australian Financial Markets Association

The Australian Financial Markets Association (AFMA) is the peak
representative body of the Australian over-the-counter (OTC) wholesale
financial markets industry. OTC markets cover transactions in financial
securities facilitated outside an exchange. These transactions
include trading in foreign exchange, interest rate products, financial find out
derivatives, repurchase agreements, commodities, equity, and
more
AFMA
electricity derivatives. The AFMA offers a range of training programs
www.afma.com.au
and runs over 30 workshops presented by market practitioners. It also
IBSA
offers the Diploma of Financial Services (Financial Markets). www.ibsa.asn.au

Financial Sector Union

International Banks and Securities Association www.fsunion.org.au
of Australia
The International Banks and Securities Association of Australia (IBSA)
represents investment banks operating in Australia. Its primary role is
to press for government policies that will encourage the strong growth
of investment banking in Australia. It does not provide information or
recruitment support for students seeking to enter the industry.

Finance Sector Union

The Finance Sector Union (FSU) represents employees working
in finance positions right across the Australian finance industry,
including those working in banks, insurance companies, finance
companies, broking firms, financial planning companies, funds
managers, credit unions, money market dealers and investment

33

IB - 191205.indd Sec1:33 20/12/05 6:50:29 AM

 Investment Banking

advisory companies, amongst others. The union is active in improving

the working conditions of its members and is intimately aware of the
pressures on an individual trying to manage a finance career.

Australian Venture Capital Association

The association is a source of industry statistics and news. It
promotes opportunities for education and networking and runs an
annual Australian venture capital conference.

Australian Bankers’ Association

The Australian Bankers’ Association (ABA) provides analysis, advice
and advocacy and contributes to the development of public policy on
banking and other financial services. With the active participation of
find out the member banks, the ABA works to foster an environment in which
more financial services are valued and can prosper.
www.avcal.com.au

ABA Accounting and Finance Association of Australia

www.bankers.asn.au
and New Zealand
AFAANZ
www.afaanz.org The Accounting and Finance Association of Australia and New
SDIA Zealand (AFAANZ) represents the interests of accounting and finance
www.sdia.org.au academics and other people interested in accounting and finance
education and research in Australia and New Zealand. Members
include academics and professionals from major corporations,
business houses, banking, finance and investment bodies. It runs
education programs, continuing professional development programs
and holds an annual conference. It also publishes a journal,
Accounting and Finance.

Securities and Derivatives Industry Association

Securities and Derivatives Industry Association (SDIA) is the peak
industry body serving 65 stockbroking firms and over 1300 practitioners
across Australia. It represents the stockbroking industry on policy
and issues with government and regulatory agencies and deals with
customer-supplier relationship issues with exchanges, clearing houses
and other suppliers. It also provides professional recognition for
industry practitioners and professional education and training.

34

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 T h e big pic ture

Women in Finance
Women in Finance (WIF) is a non-profit organisation which provides
networking opportunities for women in the finance industry, with
branches in New South Wales, Queensland, Victoria and Perth. WIF
provides personal and professional development opportunities
through a series of monthly breakfast functions, workshops,
mentoring programs and other networking events. Speakers present
advice on a range of topical issues including career development,
leadership and current industry trends.

Support organisations for new recruits

find out
There are a number of support organisations or networks for new more
recruits into the industry. Support initiatives within investment banks WIF
may include mentoring programs and internal networking groups. www.womeninfinance.com.au
Many investment banks also liaise with universities to organise joint FMAA
ventures, such as career days, to keep students informed. www.fmaa.com.au

SIA
Financial Management Association of Australia www.securities.edu.au

SIA Student Services

The Financial Management Association of Australia (FMAA) is a NSW and ACT
student organisation encompassing students from the universities of sia.nsw@securities.edu.au
Queensland, Sydney and Melbourne. Some members are sponsors of Queensland
the FMAA, which provides career advice and information on a range of sia.qld@securities.edu.au
industries (including the investment banking industry). The FMAA also VIC and TAS
organises events where students have direct access to member banks. sia.vic@securities.edu.au

Western Australia
Securities Institute of Australia sia.wa@securities.edu.au

SA and NT
The Securities Institute of Australia (SIA) represents the securities sia.sa@securities.edu.au
and financial services industry. It has more than 11 000 members and
14 000 students in 59 countries. Its aim is to raise standards in the
securities and financial services industry by:

■ providing practical, contemporary and innovative education

■ fostering ethical and effective markets

■ advocating high levels of professional conduct.

SIA can help you identify and pursue your chosen field in the securities
and finance services industry and offers career path seminars.

35

IB - 191205.indd Sec1:35 20/12/05 6:50:30 AM

IB - 191205.indd Sec1:36 20/12/05 6:50:31 AM
 YOU HAVE THE AMBITIONS,
WE HAVE THE CHALLENGES

As Australia’s leading investment bank, Macquarie Better still, you’ll be learning from professionals

has built a reputation for innovation. So it should come recognised as leaders in their fields and working on

as no surprise that the opportunities we can offer you deals that are the envy of the industry.

stretch well beyond the ordinary. To read more about the graduate and undergraduate

A career at Macquarie can lead you anywhere from programs and other opportunities available with us, visit

corporate finance, accounting and wealth creation to our website. At Macquarie, we can guarantee that you

trading, sales and risk management. will be challenged, but never bored.

www.macquarie.com.au/careers
t

MAC0187 Inv Banking Ad.indd 1 14/9/05 3:41:17 PM

 Your exceptional talent drives our success.
It starts with you.
UBS is a global financial powerhouse because of the ideas, skills, and commitment
to excellence of our employees. We offer talented individuals a world of oppor-
tunities. A diverse culture of mutual respect and support gives all our employees
the opportunity to excel. Our world-class training prepares you to be successful.
Your skills and ambition are recognized from day one.

To learn more about life at UBS and apply for a position, go to:
www.ubs.com/graduates

© UBS 2005. All rights reserved.

9787TS Career FAQ Ad 20/12/05 12:44 PM Page 2
 Insider info
What jobs could I do?
Investment bankers work in large and boutique banks, in financial
service firms such as PricewaterhouseCoopers (PwC), KPMG, and
Ernst & Young, to name just three, and in government.

The investment banking professionals we talked to worked in the

following jobs:

■ Business analyst

■ Private equity analyst

■ Associate or associate director, corporate finance

■ Senior analyst, investment banking firm

■ Real estate advisory

■ Head of transactions

■ Manager, structured investments

■ Healthcare analyst, equities

■ Credit trader, global markets

41

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 Investment Banking

■ Manager, equity capital markets

■ Director, short-term interest rate trading

■ Vice president, sales

■ Manager, development of financial products

■ Senior analyst, financial risk

■ Senior analyst, APRA.

This is by no means the full range of investment banking jobs,

however, it does give a broad overview of the job market.

What do real people say about

their jobs?
What do people working in these jobs have to say about their career/
work? Some of the people interviewed asked to remain anonymous so
they could talk more freely about their jobs. An * next to the person’s
name indicates the name has been changed.

cv vacation Damian Motika* – Business analyst

accountancy jobs >>
Damian is in his early 20s and has been a business analyst at
graduate recruit, Macquarie
Macquarie Bank for the past 15 months.
Bank >> business analyst

q&a
What do you like best about your career?
The opportunity to learn about commercial dealings and to play an
active part in transactions. In addition, the responsibility given to all
analysts is great.

Can you briefly describe a particularly interesting project you

have been involved in?
I was involved in the restructure of a large privately owned corporation
where I worked closely with top management.

What do you wish someone had told you about investment

banking before you started on this career path?
Definitely do it!

42

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 In s ide r in fo

Does this job allow you to achieve the work–life balance that
suits you now?
Not always. It is difficult to make commitments outside of work during
the week. There is however a certain amount of flexibility to plan your
own timetable throughout a typical day.

What type of person do you think best suits investment

banking?
Someone who is driven and entrepreneurial.

What do you feel young people would like to know about

investment banking?
Although it is a demanding profession at times, the benefits, both
in
monetary and in terms of personal development, make it extremely
worthwhile.
brief
Business analyst
What is the best thing you think you can do for your career? quals dual degree
Work hard, because in the banking industry, your career progression is Commerce and
Law, UQ
solely performance-based.
hrs/wk lots
What is the best industry secret you’ve ever heard? life–work not the best
A secret so big that I certainly can’t mention it! Actually every day I flexibility only to plan your
daily timetable
deal with secrets.

43

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 Investment Banking
cv accounting/tax roles,
large company >> strategy
and finance positions >>
private equity analyst
glossary
Divestment means:
– when a company chooses
to sell one of its assets or
business units.
Takeover defences means:
– strategies implemented by
the target company in order to
prevent its takeover.
Roll-ups means:
– when a company acquires a
number of business or assets
and consolidates these within
a single entity.
Spin-offs means:
– when a company chooses
to separate a business unit
from their core-business.
44
IB - 191205.indd Sec1:44
David Schultz* – Private equity analyst,
mergers and acquisitions
When he was young, David, a private equity analyst at the ‘big four’
accounting firm KPMG, said he wanted to ‘work in the city, carry a
briefcase and eat McDonald’s for lunch every day’. What happened
hasn’t been too far off the mark. ‘Through high school I always
gravitated towards business subjects – accounting, economics
and so on – and had no intention of doing a trade, medicine, law or
engineering,’ he says.
Today, his role involves corporate finance with a mergers and
acquisitions focus. M&A positions in a large firm involve advising
on the acquisition and divestment of companies, capital raisings,
industry profiling analysis, some valuation work, takeover defences,
industry roll-ups, spin-offs and so on.
q&a
What are the best aspects of your industry?
The best aspects of my job are that it is rarely boring – every job
is slightly different, with one-off tasks, the work is mentally (and
physically) challenging. There’s also the opportunity to work on some
high-profile deals in an ultra-competitive work environment. The
money’s great. There’s also the opportunity to cross into management
positions after a short (intense) period in the industry.
What are the disadvantages?
Funnily enough the disadvantages are often the same as the
advantages. It depends on the individual as to which one they are! The
hours and expectations are demanding. The ultra-competitive work
environment can be wearing.
What type of person best suits investment banking?
Bread-and-butter financial skills are essential. An active interest
in financial markets, share trading and so on is also very helpful. A
reliance on active life in sports and hobbies may be a disadvantage as
graduates may have to give up a lot of this.
Charisma and ‘contacts’ count for a lot. Deals are won by knowing
potential clients in advance, having ‘friends in high places’ and so
on. Being comfortable networking and being social is very important.
Being comfortable dealing with ‘old people’, senior managers and so
on is also important.
20/12/05 6:50:35 AM
 In s ide r in fo

Can you describe a particularly interesting project you have fyi

been involved in?
There’s a wide variety here. Working on deals that are monitored The attacks on the US
daily in the press can be a highlight. Selling family businesses and on September 11, 2001
caused a dramatic fall in
achieving the right outcome for the client is also enjoyable. Every deal
world financial markets.
is slightly different.

What do you feel young people contemplating a career in

investment banking should know?
The work–life balance is difficult, and it’s not for everybody. Also, the
old adage of ‘working hard guarantees success’ doesn’t always apply. in
It’s a case of not only working hard, but being able to ‘work smart’, brief
using delegation and people skills. Private equity analyst, ‘big
four accounting firm’
Has investment banking changed in the time you’ve been $$$ performance
in it? based so varies
Investment banking has a strong boom/bust cycle. Since I have been quals Bachelor degree,
Accounting and
working in the industry, it has grown strongly but this will not always Finance; majors;
be the case. It is often a matter of luck for graduates as to what the CA; working
towards CFA
market will be like when they graduate. I was lucky enough to have a
hrs/wk heaps
position signed before September 11, 2001. After that date it was very
life–work difficult – many
difficult for some graduates to get a job. people have to
give up sporting
There has been an increased focus on outsourcing ‘non-value-added’ commitments
activities. For example, running a ‘data room’ during a divestment and hobbies
process is now the domain of specialised providers.

detour
Like the idea of working in
IT? Check out Career FAQs
Information Technology.
www.careerfaqs.com.au

45

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 Investment Banking

cv trainee accountant Brett Ryman – Associate, investment

PwC >> graduate recruit banking
Citigroup >> associate,
Brett is in his late 20s and is an associate at Citigroup. He has been in
investment banking
his job since early 2001.

‘I applied to work for Citigroup as part of the company’s graduate

recruitment program early in my final year of study and, after an
extensive process of interviews and testing, was offered a position,’
he says.

During his university degree, he completed a two-year traineeship

with PricewaterhouseCoopers, where he worked full-time and studied
part-time in the evenings.

He says that while previous work experience is not a prerequisite for

getting a job in investment banking, there is no doubt that candidates
who have relevant experience have a definite advantage.

q&a
What does your job involve?
An investment banking associate is responsible for coordinating the
day-to-day execution of transactions, preparing client pitch materials
and working with more senior bankers on the development of new
transaction ideas. Associates also spend a considerable amount of
time in the professional development of junior staff.

What do you like best about your career?

The constant work variety and the opportunity to work on high-profile
corporate transactions.

What do you like least?

The hours – I work around 60 hours a week.

Can you briefly describe a particularly interesting project you

have been involved in?
I was heavily involved in the team that advised WMC Resources in
relation to takeover offers by Xstrata and, subsequently, BHP Billiton.
The transaction was one of the most significant deals in Australian
corporate history with a value of around A$10 billion.

What do you wish someone had told you about working in

investment banking before you started on your career path?
It’s important to know that the job involves a significant personal
commitment. If you are not driven to succeed in your career, then
investment banking is probably not for you.

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 In s ide r in fo

Does this job allow you to achieve the work–life balance that
suits you?
Investment banking places great demands on your time and
maintaining a good work–life balance is definitely a challenge. As
anyone in the industry will tell you, the commitment involved is
incredibly demanding. For me, given the stage of my life, devoting
the time and effort into developing my career is something that I
personally find worthwhile.

What type of person do you think best suits investment

banking?
The investment banking industry suits people who are highly
ambitious, intellectual, energetic, commercially minded and calm
under pressure. To work in investment banking, I believe you need to
be motivated, analytical, driven to succeed, commercially minded, and
interested in finance.

What do you feel young people would like to know about the
industry?
While working in investment banking can often involve working on
high-profile, interesting transactions, the career can also be incredibly
demanding and not as glamorous as it may appear.

Has your job/career turned out the way you expected? in

I did a lot of research before entering the industry, so broadly my brief
career in investment banking has turned out the way I expected. Associate, investment banking

What did you have to learn the hard way? $$$ performance-based

A career in investment banking is always demanding, no matter what quals Bachelor of

Business
level of seniority you are. (accounting and
finance), UTS
How important are qualifications to working in this industry?
hrs/wk 60+ average
Common qualifications for investment bankers include undergraduate
life–work challenging
degrees in business/commerce, law, accounting, economics and finance – you have to be
– exceptional candidates with other degrees are also considered. very committed
to your job
The key point I would make is that while the type of qualification is
important, demonstration of superior academic performance is far
more critical. Candidates with average or below average marks will
rarely make it through the initial review of applications.

What is the best thing you think you can do for your career?
Never compromise your personal integrity.

47

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 Investment Banking
myweek
monday
9.00–9.30 Check emails received from
overseas offices over weekend
9.30–10.30 Internal meeting to discuss
projects for the week ahead
10.30–11.30 Conference call with client
to discuss bid letter for a potential
cross-border acquisition – bid
letter due to be lodged at 5.00
11.30–5.00 Finalisation of bid letter
5.00–11.00 Preparation of case study
for an M&A transaction for an
upcoming client presentation
wednesday
9.00–10.00 Further conference call with
client to discuss updated valuation
analysis
10.00–12.00 Internal meeting to discuss
industry opportunities in the
Australian financial sector for an
overseas client
1.00–9.00 Preparation of internal
compliance documentation for an
upcoming equity deal for a locally
based client.
friday
All day Continued work on strategy
paper; called colleagues in
Hong Kong and Singapore to
obtain industry information; built
a financial model showing the
impact on the acquiring company
from the proposed transaction
5.00 Work drinks
48
IB - 191205.indd Sec1:48
tuesday
9.00–10.00 Call with colleague in New
York regarding preparing some
profiles on a number of Australian
acquisition opportunities
10.00–4.00 Preparation of company
profiles
4.00–5.00 Follow-up conference call with
client regarding bid letter lodged
the previous day
5.00–10.00 Prepared additional valuation
analysis for the client based
on requests arising from the
conference call
thursday
All day Preparation of a strategy paper
for a client seeking to merge
with a major competitor; paper
includes information on valuation,
communications strategy,
regulatory approvals and bid
tactics; email sent to colleagues
in New York and London to obtain
background industry information
11.00 Internal conference call with New
York and London offices to get
formal approval to underwrite the
equity offering
weekend
Saturday
10.00–4.00 Completed strategy paper:
making final changes to the
presentation provided by my boss
Sunday
Day off (but not always)
20/12/05 6:50:40 AM
 In s ide r in fo

David Smith – Associate director, corporate cv engineer, Dow

finance chemicals >> business

analyst at Dow >> boutique
David has held his position as an associate director in corporate finance
m&a advisory house >>
at ABN AMRO for four years and is involved in mergers and acquisitions.
associate director
After doing a Chemical Engineering degree, David initially worked
at Dow Chemical for five years, 18 months of which were spent
as a business analyst. This prompted him to complete a Master’s
of Business Administration. He joined a boutique mergers and
acquisitions advisory house after the company did a presentation on
campus. Two years later he moved to ABN AMRO.

He loves his job, especially dealing with the client issues, working on
meeting client needs and coming up with solutions.

q&a
What do you like best about your career?
The variation. I’ve experienced a wide range of industries: chemical
engineering, marketing/sales and now corporate finance – mergers
and acquisitions.
I also enjoyed a career break for two years while I completed an MBA.

What do you like least?

Having very little spare time. The balance between work and life can
be pretty tricky in this industry.

What do you wish someone had told you about investment

banking before you started on this career path?
Something about the time spent sacrificed to the job. It is hard
because as tough as it is to find spare time to do the things I enjoy,
I love the work that I do because it is challenging and stimulating. I
think your priorities change. When you’re a graduate you don’t mind
the long hours because it is exciting and you’re learning a lot but I
think as you move on in your career your priorities change and you
want more out of life.

What type of person do you think best suits working in

investment banking?
Smart, confident, analytical, quick-thinking and able to get along
with all kinds of people. Some of this you learn from experience but a
good graduate should have all these qualities and certainly be able to
reason and be analytical.

49

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 Investment Banking

in What do you feel young people would like to know about

brief investment banking?
Associate director, Probably about the money you can earn.
corporate finance
quals Chemical Most graduates have a pretty poor understanding of corporate finance
Engineering and M&A. I certainly did! It is interesting to see graduates come into
degree, USYD,
MBA from AGSM the business and see first-hand what it is all about.
hrs/wk standard, as What did you have to learn the hard way?
required
Negotiating with people. This is not something that came naturally to
life–work pretty tricky
me, and I find it is important to be able to negotiate for the client and
sometimes with team colleagues.

What is the best thing you think you can do for your career?
Become involved in more origination. By this I mean I need to find
more time to think ahead and be actively involved in bringing in the
clients and the deals. Delegate the deal work processes so that I can
allow more time to really think ahead and target clients.

50

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 In s ide r in fo

Tamal Saad* – Associate director, corporate cv in-house legal

finance counsel >> associate
director, corporate finance
Tamal has worked at Rabobank, which specialises in food and
agribusiness banking, for seven and a half years. Now an associate
director in corporate finance, he originally planned a career in law
and worked as a solicitor and in-house legal counsel before making a
move into corporate finance.

q&a
What do you like best about your career?
Solving complex problems taking into account a range of issues. MYTH
everyone is paid
What do you like least? heaps and heaps
The deadlines and hours.
of money!
Can you briefly describe a particularly interesting project you
People are paid
have been involved in? reasonably well

fact
Arranging structuring finance for an acquisition. and rewarded
for exceptional
Does this job allow you to achieve the work–life balance that performance.
suits you now?
It’s up to the individual to make sure that they achieve that balance.
Sometimes I am successful and sometimes I am not successful in
achieving the balance. It’s important to leave work at work.

What do you feel young people would like to know about

investment banking?
It’s not as glamorous as perceived – sometimes it’s just hard slog! in

What did you have to learn the hard way?

brief
Associate director,
How to navigate different personalities with different priorities. corporate finance

What is the best thing you think you can do for your career? $$$ good money
with bonuses
Know when to push and know when to back off. quals BA, LLM
Is there anything else about your job or working in this career hrs/wk standard
life–work up to the individual
that you think young people would like to know?
to achieve this
Never be afraid to admit you do not understand something. Never be balance
afraid to admit you are wrong.

51

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 Investment Banking

myweek
monday – friday
A typical week is never really typical. My job involves:
■ evaluating, researching and investigating new prospective deals and structures
■ structuring deals
■ discussing deals internally with relevant departments and support staff including tax
accounting, credit and legal
■ preparing internal notes and applications for new deals
■ liaising and negotiating deals with clients and external advisers.

52

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 In s ide r in fo

Teresa Ericchello* – Senior analyst, cv audit manager

corporate finance >> analyst >> audit
and corporate finance
Teresa is a senior analyst in the corporate finance division of BDO.
(Austria) >> senior analyst,
Unlike her counterparts who work at one of the ‘big four’ accounting
corporate finance
firms, she doesn’t really specialise. Rather, her job involves a more
generalist approach as she works on independent accountant reports
(IAR), independent expert reports, valuations, due diligence and a bit
on corporate advisory.

q&a glossary
Due diligence means:
What is a standard salary package for the job? – investigation and evaluation
$70 000 a year. of the soundness of an
organisation.
What do you like best about your career?
Client contact, valuation services, independent expert reports, our team.

What do you like least?

Working overtime regularly, time pressure.

What do you wish someone had told you about investment

banking before you started on this career path?
I already knew that the job requires frequent overtime, but I thought
that work would be more cyclical (i.e. sometimes quiet then very busy
again). Over the past year it was practically busy the whole time.

Does this job allow you to achieve the work–life balance that
suits you now?
Not really, I would prefer to go to the gym daily over lunchtime
(1.5 hours) and leave work at eight pm at the latest.

What type of person do you think best suits this industry?

Very analytical, logical thinker, well organised, stress resistant.

What do you feel young people would like to know about

investment banking?
Lots of overtime required. But sometimes no work as well. Be
prepared to adjust life to these cyclical work conditions – although, as
I said, the last year has been full on.

Has your job/career turned out the way you expected? detour
I started my career in audit in Austria. I swapped to corporate finance
relatively late and had to deal with the barriers of a different language Like the idea of working
and different laws at the beginning. overseas? Find out about
other jobs that travel in
What is the best thing you think you can do for your career? Career FAQs Global.
Go overseas and get new experience on different methodologies and www.careerfaqs.com.au
so on.

53

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 Investment Banking

in
myweek
brief
Senior analyst, monday tuesday
corporate finance
■ Client A – due diligence (6 hours) ■ Client A – due diligence (3 hours)
$$$ 70K
■ Client B – independent expert report ■ Client B – independent expert report
quals MBA and
(4 hours) (4 hours)
Economics degree,
■ Administration (1 hour) ■ Finalisation Client C – independent
Vienna University
accountant report (2 hours)
hrs/wk 45+
■ Internal planning (1 hour)
life–work not as I would like it

wednesday
■ Client A – due diligence (2 hours)
■ Client B – independent expert report
(3 hours)
■ internal meetings (2 hours)
■ Client D – valuation (1 hour)
thursday
■ Client D – valuation (5 hours)
■ Client B – independent expert report
(2 hours)
■ Internal planning (1 hour)

friday weekend
■ Client D – valuation (6 hours) ■ Try to avoid working on weekend which
■ Client B – independent expert report usually works out
(2 hours)
■ Workflow meeting (0.5 hour)
■ Social event/client function (1 hour)

54

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 In s ide r in fo

Duyen Nguyen* – Senior manager cv vacation jobs,

Macquarie Bank and
Duyen is in her late 20s and has been a senior manager at Macquarie
Bank for seven years. She got her start by receiving a university accounting firms >> maths

scholarship from an accounting firm. tutoring >> netball coach

>> housekeeper >>

q&a chartered accountant >>

affiliate, Securities Institute

What do you like best about your career? of Australia >> senior

The excitement and always working on something different and manager

new. Working on large transactions which have a high profile in the
financial world. Working with very smart people.

What do you like least?

The hours can be long.

Briefly describe a particularly interesting project you have

been involved in?
Largest IPO in 2003 of Promina. It was an IPO in a very challenging glossary
market, but was ultimately very successful.
IPO means:
What do you wish someone had told you about investment – Initial Public Offer, when a
banking before you started on this career path? company goes public, i.e.
Even when working on very large transactions, don’t forget to pay is listed on the Australian
Stock Exchange.
extreme attention to the details.

Does this job allow you to achieve the work–life balance that
suits you now?
It means that you cannot generally make commitments during the
week and that there is frequent weekend work when working on a
transaction.

What type of person do you think best suits investment

banking?
Intelligent, driven, focused, team player, individual thinker.
in
What do you feel young people would like to know about
investment banking?
brief
Senior manager,
It’s exciting, but hard work. You work on transactions that make a Macquarie Bank
difference and are highly prominent, but you need to be prepared to
$$$ rewards are big
make sacrifices. for exceptional
performance
What is the best thing you think you can do for your career? quals B Comm (Finance)
Keep learning. The industry is constantly evolving and there is an UNSW, CA
incredible amount of knowledge out there. If you can harness it hrs/wk long
effectively, you can achieve a lot. life–work can’t make
commitments
during the week

55

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 Investment Banking

cv project manager Isabella Ebbitt – Executive, real estate

>> assistant manager, advisory, corporate finance
structured finance
Isabella has been an executive in the real estate advisory area of
>> project officer >>
corporate finance at KPMG for two years. She came to this job with
development officer >>
experience on the financial aspects of large property transactions
executive, real estate
having worked for the Department of Treasury and Finance and in
advisory other investment banking roles.

‘My first job involved analysis of proposals for TAFE Institutes to

determine which should be given funding by the state government,’
she says. ‘I then moved into a role at Treasury and Finance involved
with developing the commercial frameworks for negotiating
agreements for public-private partnerships and have remained
involved in transactions since then.’

q&a
What does your current job involve?
My job is to work on projects for clients, predominantly I am involved
in creating financial models for developments and writing reports
on property issues for clients. I am also involved in researching and
preparing presentations to obtain new clients.

56

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 In s ide r in fo

What is a standard salary package for the job?

$60 000 to $80 000.

What do you like best about your career?

Being a link in the chain that leads to a building being built and which
the general public knows and uses.

What do you like least?

Day-to-day administration.

Can you briefly describe a particularly interesting project you

have been involved in?
I am currently working on three major projects which will result in a
new student accommodation facility being built in Melbourne, a mixed
use commercial development on the same site and a new teaching
facility on Swanston Street.

What do you wish someone had told you about investment

banking before you started on this career path?
That this career is demanding on your time.

Does this job allow you to achieve the work–life balance that
suits you now?
My work–life balance is heavily oriented towards work. Typical day
goes from nine in the morning to about seven at night and at pressure
times you can end up working around the clock.

What type of person do you think best suits investment

banking?
Someone who likes mathematics, is objective, focused, and has
attention to detail.

What did you have to learn the hard way?

Everything takes longer than you think it will.

What is the best thing you think you can do for your career?
Get a university degree. It is essential for a career in finance.

Is there anything else about your job or working in this career

that you think young people would like to know?
A career in finance has no dead ends. There is always the opportunity,
no matter what level you are on, to progress further. It also provides
opportunities to travel. Major financial institutions and consultancy
firms operate globally and generally provide for secondments and
transfers overseas.

What do you wish you’d learnt much earlier on?

That relationships are as important as having the knowledge and
capability to do your job.

What is the best industry secret you’ve ever heard?

It’s a secret.

57

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 Investment Banking

What qualifications would you recommend for people

considering working in the industry?
If someone was in Year 12 contemplating a career in investment
banking I would recommend that they undertake a Bachelor of
Commerce. This would enable them to obtain a graduate position,
however, further progression would require a postgraduate
qualification. Alternatively, many people, myself included, move into
finance from other professions by completing a postgraduate course
in finance. I completed the Macquarie University Master of Applied
Finance, which is a commonly held qualification. There is also a
Certified Financial Analyst course run by the CFA Institute, which is
in gaining momentum.
brief How has the industry changed in the time you’ve been in it?
Executive, real estate
advisory, corporate finance The industry has become more sophisticated in the way development
projects are financed. Previously mainly straightforward bank loans,
$$$ 60K–80K
quals Master’s in now capital market raisings, syndications, public-private partnerships
Building, University are much more common.
of Melbourne;
Master’s in Finance,
Macquarie University myweek
hrs/wk too many
life–work heavily oriented monday tuesday
towards work
■ Prepare final reports for presentation ■ Attend meeting with client 2 to discuss
to client 1 changes to financial model I am
■ Attend board sub-committee meeting preparing for them
with partner to present findings of the ■ Prepare project plan to coordinate
report tender stage of client 3’s development
■ Prepare and send out invoice to client 1 project and discuss with Partner
■ Commence making changes to the
■ Organise meeting with project team for
development project for client 2 financial model for client 2

wednesday
■ Attend project team meeting for client 3
to discuss development of request for
tender (RFT) documentation
■ Review tender documents for current
projects to assist in development of
client 3’s RFT
thursday
■ Complete changes to financial model
for client 2
■ Attend team bonding session – night
bowling followed by dinner in Chinatown

friday weekend
■ Attend meeting with client to discuss ■ No work – at least try my best to not
requirements for meeting with equity work on weekends
provider for their development
■ Attend internal meeting to discuss key
commercial terms for client 3’s tender
document
■ Meet with project manager who was
pitching to try to get work on upcoming
project
■ Finalise engagement letter for new client

58

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 In s ide r in fo

Anthony Farrace* – Manager, boutique cv summer job, fund

investment house management company
>> analyst, investment
Anthony was promoted to his current position one year ago. He has
worked in the industry for five years. bank (NZ) >> associate,
investment bank (Aus)

q&a >> manager, boutique

investment house

What does your job involve?

I am responsible for supervising and presenting a range of financial
analyses with a particular focus on valuation. I am often involved
in drafting presentations, board papers and various shareholder
documents. I also project-manage transactions and act as a key
contact for corporate clients.

What is a standard salary package for the job?

At my level, standard salaries are above 100K plus a bonus which can
be significant. Bonuses are assessed annually based on both personal
and firm-wide performance. Bonuses typically range from about 50
per cent of base salary to over 100 per cent of base salary (i.e. if base
salary was 100K, bonus might be 50K to 100K+).

59

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 Investment Banking

in What do you like best about your career?

brief The exposure to a wide variety of industries and clients.
Manager, boutique
investment house
The diversity of day-to-day tasks.

$$$ Over 100K The exposure to large companies and their senior executives at a
plus significant bonuses young age.
quals B Comm
(Accounting & The high-performance culture with commensurate remuneration.
Finance and
Economics), What do you like least?
Auckland University
The hours can be quite demanding (late nights and weekend work at
hrs/wk 55+++
times) and can be stressful at times. There can also be lack of control
life–work I have the
balance I want over one’s time.

Can you briefly describe a particularly interesting project you

have been involved in?
Advising a client on an acquisityion worth over $1 billion, involving
significant equity and debt raisings, all of which was completed in six
weeks.

What do you wish someone had told you about investment

banking before you started on this career path?
What capacity it has to encroach into personal time.

Does this job allow you to achieve the work–life balance that
suits you now?
The job generally allows me to achieve the balance I want. The
balance I seek is to work hard when things are happening, but to have
flexibility to do my own thing when it is not busy. The only downside
is the threat of having to cancel personal commitments, such as
holidays, at short notice.

What type of person do you think best suits investment

banking?
Hardworking, driven to succeed, prepared to sacrifice personal time,
attentive to detail, good time management, strong numerical skills,
strong written/oral communication skills.

Has your job/career turned out the way you expected?

I didn’t really know what to expect when I started out but my career
progression has been satisfying.

What did you have to learn the hard way?

Missing long weekend holidays churning out analysis.

What is the best thing you think you can do for your career?
Give it 100 per cent and always strive to exceed your colleagues’
expectations.

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myweek
monday
8.30–11.00 Finalise financial analysis for
client meeting
11.00–2.30 Attend off-site client meeting
to present and discuss financial
analysis and modelling for
transaction
2.30–5.00 Update analysis for client
comments
5.00–8.00 Review shareholder
documents for a transaction
wednesday
8.30–12.30 Continue work on financial
model
12.30–1.30 Meeting with client to agree
financial modelling assumptions
1.30–7.30 Continue work on financial
model
7.30–8.30 Liaise with client to finalise
model to be sent to funding
providers
friday
9.00–11.00 Meeting with client and
underwriter to discuss transaction
structure and funding
11.00–1.00 Continue work on financial
model
2.00–4.00 Continue work on financial
model
4.00–5.00 Finalise pricing analysis to
complete Bidder’s Statement
to be sent to shareholders of
takeover target
5.00–6.30 Meeting with client and
underwriter to discuss funding terms
IB - 191205.indd Sec1:61
In s ide r in fo
tuesday
8.30–10.30 Develop financial model for
transaction
10.30–1.30 Attend meeting with underwriter
1.30–3.00 Continue work on
financial model
3.00–6.30 Visit design house to
supervise finalisation of design and
edits of shareholder document
6.30–7.00 Liaise with client to enable
document lodgement with ASX
7.00–8.30 Continue work on financial
model
thursday
9.00–10.00 Attend design house to
check proofs of final document to
be sent to client shareholders
10.00–12.00 Continue work on financial
model
12.00–2.00 Meeting with client and
underwriter to discuss transaction
structure and funding
glossary
2.30–4.30 Meeting with client and
lawyers to brief lawyers on
ACCC means:
transaction structure and discuss – Australian Competition and
potential ACCC issues
Consumer Commission.
4.30–7.00 Continue work on financial
model
weekend
Saturday
1.00–4.00 Complete financial modelling
updates required
Sunday
Free time!
61
20/12/05 6:51:09 AM
 Investment Banking

cv p/t sales assistant Kevin Gabaldon* – Senior executive,

>> p/t waiter >> UK jobs boutique corporate advisory
on working holiday >>
Before joining his present company, Kevin worked as an auditor with
auditor >> senior executive,
one of the top four accounting firms for a number of years.
boutique corporate advisory

q&a
What does your job involve?
I’m involved in all aspects of raising debt and equity capital and I
also sell and buy businesses. This involves developing a detailed
understanding of our clients’ business. We then build financial
models, write information memorandums, approach and negotiate
with interested parties and oversee project management to ensure our
clients’ objectives are obtained.

What is a standard salary package for the job?

Investment banking can be a high-paying profession if you get the job
done. Salaries vary – it’s broad. Graduates start on lower pay but can
go up really high – into six digits. Income includes a combination of
salary and bonuses.

What do you like best about your career?

Working with a large number of different businesses, I get exposure
to a different range of people looking to get different things out of
business and working with them to achieve those objectives. The
rewards that come from completing a transaction are pretty good too!

What do you like least?

The time taken to complete the transaction.

Can you briefly describe a particularly interesting project you

have been involved in?
Working on acquisition of a business by the management team.

What do you wish someone had told you about investment

banking before you started on this career path?
That it can take a long time to complete transactions and that it can be
frustrating before things come together.

Does this job allow you to achieve the work–life balance that
suits you now?
It can vary. At different times, the balance is probably skewed to work
and then other times, one can maintain good balance between a busy
working environment and a comfortable private life.

What type of person do you think best suits investment

banking?
They need to be resilient, aggressive, thick-skinned, driven.

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 In s ide r in fo

What do you feel young people would like to know about

investment banking?
Probably that it’s hard work but can be very rewarding.

What did you have to learn the hard way?

Persistence pays off.

What is the best thing you think you can do for your career?
Ask questions.

Is there anything else about your job or working in this career

that you think young people would like to know?
Every transaction is different and that they all have their own rewards.

What do you wish you’d learnt much earlier on?

Negotiating skills.

How has the industry changed in the time you’ve been in it?
People are more focused on businesses with proven history versus
in
ideas. The other change is the emergence of the private equity sector.
brief
What is a myth/fact? Senior exective – boutique
The myth is investment banking is easy. The fact is it’s not! corporate advisory

$$$ high paying if

Can you describe your typical week? you perform
There’s no typical week. Usually my work includes: quals B Comm, CA,
GradDip Applied
■ preparing pitches for new jobs finance & investment
from Securities
■ preparing information memorandums and financial models Institute

■ negotiating agreements hrs/wk as long as it takes

life–work varies
■ contacting potential purchasers or investors.

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 Investment Banking
cv p/t research
assistant >> lawyer >>
manager multinational
company >> senior
position >> major financial
services group >> chief
investment officer
64
IB - 191205.indd Sec1:64
Kara MacCauley* – Chief investment officer
Kara is in her 30s and has been Chief investment officer at a listed
property trust for the past year.
q&a
What have you done that led you to get this job?
It’s all about contacts in this industry. Before I took this job, I spent
10 years in corporate transactions at a large financial services group.
Before that, I was a property trust lawyer at a large corporate law firm.
This firm sent me on secondment to its major client and the client
asked me to stay at the end of this period, which I did. In the job
that I am in now, I was hired by my former boss at the large financial
services group, who had left to start his own company.
What is a standard salary package for the job?
Very hard to know – in my role it ranges from $300 000 to $600 000
depending on bonuses. It’s never below $300 000, but one can earn a
million in a great year. In a standard year, one could earn about
$600 000.
What do you like best about your career?
It’s a very challenging work environment. I like the people I work with.
I have worked with them a long time and I trust them.
What do you like least?
International travel.
Can you briefly describe a particularly interesting project you
have been involved in?
I acquired a large portfolio of offshore property worth around $350
million. I enjoyed that!
What do you wish someone had told you about investment
banking before you started on this career path?
Beware of specialising too early. It’s hard to change later on.
Does this job allow you to achieve the work–life balance that
suits you now?
It’s a hard job to do when you have a family but in an investment bank,
I would see my family even less. You have to travel a lot. When I have
a big deal, I work long hours. I also work on Saturdays because it’s
still business hours in the US. Because I work for a small boutique
company, it gives me more flexibility. I work a lot from home.
What type of person do you think best suits this industry?
Confident, organised, quite outgoing, a quick thinker because things
change quickly in negotiations.
20/12/05 6:51:13 AM
 In s ide r in fo

What do you feel young people would like to know about

investment banking?
There are lots of misconceptions. Many people think it’s glamorous,
but it’s actually very hard work. A lot of people don’t have much of
a life. They have no work–life balance and burn out at a young age.
After about the age of 40, there are not a lot of people still around at
investment banks.

What did you have to learn the hard way? in

That no-one is going to promote you. You have to promote yourself.
brief
Chief investment officer
You can be overlooked even if you are a very hard worker.
$$$ 300K–600K+
What is the best thing you think you can do for your career? including bonuses
Get really good qualifications at the start. People treat you differently if quals BA, LLB degree
they know you have a tertiary degree and have excelled academically. hrs/wk whatever it takes
life–work difficult, especially
How has the industry changed in the time you’ve been in it? with overseas travel
It’s become a lot more competitive. It’s always been male-dominated. flexibility I get to work from
Work–life balance just got worse. 24/7 really lives! home on Mondays!

myweek
monday tuesday – friday weekend
■ Work from home AM Saturday
■ Get into office early because work On conference calls
with US early to US until midday
■ Calls with US until lunchtime (still Friday there)

PM Sunday
■ Respond to offers and emails Day off!
■ Respond to transactions
■ Leave office about 7.00 pm
■ Back again on my home PC at
9.00pm for a few hours

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 Investment Banking
cv summer internships,
financial services firm
>> economic analyst,
economics/political risk
consultancy >> analyst,
private equity firm >>
finance analyst
66
IB - 191205.indd Sec1:66
Phuong Tan* – Finance analyst
Phuong is a specialised finance analyst in his late 20s. He works in the
specialised finance division (structured/project finance) at Investec,
a smaller sized investment bank. He believes that previous jobs and
summer internships in the financial sector, related university courses,
and interest in the niches in which the company is active (energy,
infrastructure and resources), helped him get his present job.
q&a
What does your job involve?
Work with team members to:
■ develop robust deal structure
■ analyse key risks in deal
■ develop financial model
■ review legal documents.
What do you like best about your career?
The opportunity to think entrepreneurially and creatively and the
willingness of the team to implement an entrepreneurial solution for
our clients.
The continual challenge and stimulation of having to identify and
analyse the key features of new projects – no two projects are the same.
My involvement is:
■ in a variety of sectors (from mining to renewable energy to rail)
■ in a variety of activities (such as financial structuring, project
economic and technical analysis
■ with a variety of clients (blue chip corporates to smaller developers).
This breadth of exposure is easier to achieve in a medium-sized
investment bank like Investec than in some larger competitors.
It’s also great working with other team members.
What do you like least?
Frustration at working long and hard on a deal only for it to collapse
due to factors out of your control.
Can you briefly describe a particularly interesting project you
have been involved in?
We are the financial adviser on a rail project in the Philippines. Our
contribution is essential to the success of the project, and each stage
of our work has been quite different.
20/12/05 6:51:14 AM
 In s ide r in fo

The first stage is developing the project’s financial structure. We

consider a wide range of factors – the political environment in the
Philippines, the cost of the equipment, consumers’ demand for the rail
service – and integrate them into one coherent structure, which takes
account of the risks the project may face.
The second stage involves working with our consortium partners to
fine-tune this structure, and the third stage involves persuading other
banks and investors to come into the consortium.
The skills required for each stage are different: stage one is analysis,
structuring and financial modelling; stage two and three also involve
negotiation and really understanding what each party’s concerns are.
We have been quite creative throughout in finding solutions to these
concerns.
The project has been truly global. I’m working with colleagues from
our London and Sydney offices. Our client is based in the Philippines, glossary
and the consortium partners are based in North America and Europe.
Face time means:
Does this job allow you to achieve the work–life balance that – waiting behind at the
suits you now? office without any real work
Work can be demanding, with some long hours, but I certainly have a to do.
life out of work. I feel that my time at work is well spent – there is little
‘face time’, waiting behind at the office without any real work to do
because you feel pressure to stay late – so I don’t mind putting in the
extra hours.

What type of person do you think best suits investment

banking?
In no particular order:
■ creative thinker, willing to evaluate new ideas and see which in
are worth pursuing and to think broadly about project risks and brief
opportunities Specialised finance
analyst, Investec
■ determination to follow through on a deal
$$$ high
■ good communicator – verbal communication and the ability to write quals BA in History,
cogently and concisely Cambridge
University, UK;
■ entrepreneurial MA, International
Economics, School
■ integrity – able to earn the confidence of clients of Advanced
International
■ logical and focused approach to work Studies (SAIS),
Johns Hopkins
■ able to keep calm when work stacks up or when changes need to University, USA
be made. hrs/wk 60+
life–work hard work but still
What do you feel young people would like to know about the time to get out
industry? flexibility some ability to move
Project finance is less well-known than some other areas of within the bank into
different divisions or
investment banking like mergers and acquisitions or trading. I like different locations
it because it can cover a broad range of industries and skills. It is

67

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 Investment Banking

genuinely intellectually stimulating, and allows scope for creative

thinking. Most deals require extensive analysis – being a good
salesman is not enough. The deals can take longer to close than some
M&A deals, however, and can be pretty expensive for everyone involved.

What did you have to learn the hard way?

How many twists and turns a deal can go through – you need the
determination to keep pushing.

What is the best thing you think you can do for your career?
It’s hard to say. If you’re looking for a job, one obvious thing to do in
the run-up to an interview, for example, is to focus on a sector which
interests you and find out about a couple of recent deals or trends in
that sector. It will give you something substantive to talk about, and is
one way of showing your knowledge of, and enthusiasm for the industry.

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 In s ide r in fo

Nadia Gosper* – Manager, structured cv credit analyst,

investments commercial banking dept
(overseas) >> account
Nadia is a manager in the structured investments division at St George
executive, property finance
Bank. She has worked in this position for four years.
>> manager, structured

q&a investments

What qualifications do you have and were they necessary for

investment banking?
I completed a Bachelor of Economics with Honours at Sydney
University. A university degree is probably the minimum requirement
and a graduate with an Economics or Commerce degree would
probably be preferable. I was a full-time university student and
entered the profession as a fresh graduate.
I also completed a Graduate Diploma with the Securities Institute of
Australia (SIA) once I started my job to obtain relevant qualifications
and knowledge in finance.

What is a standard salary package for the job?

Approximately 150K (ball park figure).

What do you like best about your career?

The work is very interesting, and I feel continually challenged and
stimulated in my job.

What do you like least?

The disappointment of working on a transaction that is well advanced
and having to stop work due to external unforeseen changes that
result in the current transaction being no longer viable.

Can you briefly describe a particularly interesting project you

have been involved in?
The bank considered a cross-border transaction involving its own
assets. The transaction was great as it allowed me to meet a lot of
people across the organisation, most of whom I would not otherwise
get the opportunity to work with. The interaction with foreign advisers
and counterparties and gaining an understanding of their financial,
tax and legal systems were also highlights of the deal.

What do you wish someone had told you about investment

banking before you started on this career path?
Legislative changes are frequent and sometimes unexpected. As a
consequence most businesses need to be nimble and adaptable to
stay profitable. In such an environment, you need to be flexible and
mentally tough to handle these sudden changes and setbacks.

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 Investment Banking

Does this job allow you to achieve the work–life balance that
suits you now? Can you describe that balance?
I am lucky that my current job allows a good work–life balance and
is not too demanding in requiring me to work long hours or needing
me to be available after non-office hours and on weekends. I think
working in a company like St George that has a family-friendly culture
and values the importance of work–life balance helps to achieve a
good balance.

What type of person do you think best suits investment

banking?
Intelligent, innovative, ability to think outside the square, outspoken,
sociable, resilient, able to withstand pressure and stress.

Has your job/career turned out the way you expected?

Yes, I have always wanted to work in structured finance but took an
indirect route through commercial and property finance. The stepping
stone turned out to be invaluable in opening the door to my current job.

What did you have to learn the hard way?

Everything. The best way to learn is the hard way so that you will
remember never to make the same mistakes again.

What is the best thing you think you can do for your career?
Network effectively.
in
brief What do you wish you’d learnt much earlier on?
Manager, structured Better Excel and modelling skills.
investments
What is the best industry secret you’ve ever heard?
$$$ approx 150K
Get a mentor.
quals Bachelor of
Economics with How has the industry changed in the time you’ve been in it?
Honours
There are now more women in the industry.
life–work good – my
workplace has a What is an industry myth? What is the fact?
family-friendly culture
Excessive hours is a myth. Hard work is a fact.

myweek
monday – friday weekend
8.30–9.30 Admin tasks ■ Do not work
9.30–2.00 Conduct analysis on current transaction; this weekends!
involves background reading, going through research ■ Movies, meet with
material, going through legal documentation and tax friends, dinner, golf!
opinions
2.00–3.00 Meet with potential clients
3.00–4.00 Team meeting
4.00–5.00 Meet with internal departments to keep various
parties up to date on transaction
6.00 Progress report on current transaction

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 In s ide r in fo

David Stanton – Healthcare analyst, cv intern >> trainee

equities surgical doctor >>
orthopaedic surgeon
David is in his 30s and has been a healthcare analyst in equities at
>> worked in a start up
ABN AMRO for six months. A former surgeon, he uses his knowledge
business in 2003 >> joined
of medicine and the medical industry to research healthcare
ABN AMRO in 2004 >>
companies listed on the Australian Stock Exchange.
healthcare analyst, equities

q&a
What do you like best about your career?
I like spending time with clever people all day long. I like the
challenge of my work. I like the fact that my job is a mix of being at my
desk and out there meeting with the clients – a mixture of introvert
and extrovert activities.

What do you like least?

If I had to say anything it would be the uncertainty of the market
against what I think or predict something will be.

What do you wish someone had told you about investment

banking before you started on this career path?
You can never have too much finance knowledge. To be able to speak
the language of finance is vital – concentrating on accounting studies
will help you succeed in that. Industry skills are also valuable, as is a
CFA qualification.

Does this job allow you to achieve the work–life balance that
suits you now? Can you describe that balance?
Yes – it is a great improvement to my last job. I used to work a lot
harder as a surgeon – up to 110 hours per week. I like the fact that
when I come home I can stay home and I can spend more time with my
family. I only have to work the odd weekend so I find that I have much
more spare time – I am definitely more fit than I used to be.

What type of person do you think best suits this industry?

Someone who is focused and committed to excellence. Someone who
enjoys introverted activities like financial modelling, but who also has
sales skills and the confidence to present to clients. You really need a
‘whole brain’ type of person in equity research.

What do you feel young people would like to know about this
industry?
What is an investment bank? What are all the different divisions of
the bank and what do they do? I think young people would also like
to know about how they are rewarded (compensated) and how to get
ahead in this industry – more specifically, what recruiters want!

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IB - 191205.indd Sec1:71 20/12/05 6:51:20 AM

 Investment Banking

What did you have to learn the hard way?

Picking up the phone and speaking to clients and not knowing
everything. Having to say: ‘I’ll find out and call you back.’ Also, getting
used to the fact that you can rely on other people to get things done
for you. Before, as a surgeon, if I wanted something done, I did it
myself. Now I can rely on all parts of the bank to achieve something,
which was hard for me to get used to.

What is the best thing you think you can do for your career?
in Build up my technical skills and knowledge, and to continue to
brief out-perform.
Healthcare analyste, equities
Are there any other ways of getting into the profession that
$$$ enough
quals BSC Med, MBBS
you know of, apart from getting the above qualifications?
(Medicine and Yes – industry knowledge and background. The client will want to hear
Surgery), UNSW; what you have to say if you know the industry inside out – you need to
FRACS (part one)
– completed be credible.
at the College
of Surgeons,; Can you describe three core jobs you might do in a
Completed an MBA standard day?
– AGSM; currently
studying for a CFA
Scan the news overnight.
hrs/wk too many Speak to the equities sales desk staff about research I’ve written and
life–work a lot better than speak to clients (fund managers) about my views.
being a surgeon!
Develop further research for clients.

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 In s ide r in fo

Madeleine Newland* – Manager, equity cv worked at futures

capital markets brokers through uni >>

graduate, Macquarie Bank
Madeleine has been a Manager in Equity Capital Markets at Macquarie
>> manager, equity capital
Bank for five years. She is in her late 20s.
markets

q&a
What do you like best about your career?
The constant challenges and exposure to different clients.

What do you like least?

No life–work balance.

Can you briefly describe a particularly interesting project you

have been involved in?
I was involved in Promina’s initial public offering. It was the biggest
IPO in Australia since Telstra 2, involving cross-border dealings, tax
structuring, extensive marketing, detailed offer structuring and many
interested parties.

What do you wish someone had told you about investment

banking before you started on this career path?
I’m not sure there’s anything anyone can tell you to prepare you for
this job!

Does this job allow you to achieve the work–life balance that
suits you now?
No – the work–life balance is the least favourable aspect of this
job. Most days spent in the office are a minimum of 12 hours and
sometimes weekend work is typical when you are working on a deal.

What type of person do you think best suits investment

banking?
A person who is dynamic, has a certain level of drive/aggression and
has thick skin. It also needs to be someone who enjoys working in
a competitive environment and being surrounded by intelligent and
motivated peers.

What do you feel young people would like to know about

investment banking?
The level of experience gained very early in one’s career is
exceptional, and the people you meet and clients you associate with
are pretty much unprecedented.

Has your job/career turned out the way you expected?

Not for a moment. I didn’t know what I wanted to do when I left uni.

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IB - 191205.indd Sec1:73 20/12/05 6:51:21 AM

 Investment Banking

in What did you have to learn the hard way?

brief That most criticism is intended to be constructive, not personal.
Manager, Equity capital markets
What is the best thing you think you can do for your career?
$$$ it is not called
Put in the hard work and dedication early on.
the millionaires’
factory for nothing
Are there any other ways of getting into the profession, that
quals BComm, UNSW;
Master’s of you know of, apart from getting the above qualifications?
Applied Finance, Unless you have a qualification, only industry experience will assist
Macuarie Uni
you in getting a job.
hrs/wk lots
life–work the least favourite
part of this job
flexibility ditto

74

IB - 191205.indd Sec1:74 20/12/05 6:51:22 AM

 In s ide r in fo

Angela Capone – Credit trader, global cv Queensland

markets Treasury >> financial

markets trainee, ABN
Angela, who is in her mid 20s, began her job as a credit trader in Global
AMRO >> credit trader,
Markets at ABN AMRO two years ago. She started off as a graduate
global markets
working for 12 months with the Queensland Treasury, on a rotation
program. One of her rotations was in the Financial Markets division of
Queensland Treasury Corporation (QTC) which she particularly enjoyed.
She then worked for Queensland Investment Corporation (QIC) in the
fixed income team before moving to the Bank of Queensland where she
spent the next three years building her knowledge of financial markets
with a small, close team.

q&a
What do you like best about your career?
Great career progression, working in a challenging and the fast paced
environment. Also, the great friends you make along the way..

What do you like least?

The finance industry can be quite fickle and not as stable as some
others.

What do you wish someone had told you about investment

banking before you started on this career path?
How tough it would be to initially get a job. Getting a ‘foot in the
door’ is a very difficult task. I spent my entire final year at university
concentrating on securing a graduate position. I had concerns that
I would miss out because I knew how competitive it is and I really
wanted a graduate position – I didn’t want to be left in ‘limbo’ after
completing university studies.

Does this job allow you to achieve the work–life balance that
suits you now?
Very much so and this is specific to ABN AMRO. Management are
considerate about any extracurricular activities their staff undertake
and are very flexible with leave arrangements, encouraging staff to
take holidays when they can. I feel I have a good work–life balance
and that managers understand the need to have a life outside of work.

What type of person do you think best suits investment

banking?
You have to be the type of person who can ‘let things roll off your
back’. You also need to know how to work with different personalities
– some people can be more aggressive or competitive than you, and
you need to know how to interact with all of them. You also need to
be able to create and maintain positive working relationships with

75

IB - 191205.indd Sec1:75 20/12/05 6:51:24 AM

 Investment Banking

different types of people. I feel I have worked hard to have good

detour
Interested in jobs that
involve travel? See Career
FAQs Global.
www.careerfaqs.com.au
relationships with the people in my team and with clients of the bank.
What do you feel young people would like to know about
investment banking?
The possibility to travel through work. Being a global bank, it is likely
that I will travel in the future and this is attractive to me. It is also
important I think to plan how your career can advance.

What did you have to learn the hard way?

I have been fortunate to have worked with very good managers,
and have not had a lot of difficulty gaining fantastic experience and
deciding what I really want to do.

What is the best thing you think you can do for your career?
Enjoy what you do and through this enjoyment you will find success.

Can you describe three core jobs you might do in a

standard day?
I buy and sell corporate bonds so three key activities for me
would include:
in
brief ■ provide corporate bond prices to the sales team and their clients

Credit trader, global markets

■ prepare comments and reports for offices in the UK and Asia as well
as clients about the day’s activities
$$$ great
quals BComm, Bond ■ attend team meetings, where we discuss what has been happening
Uni; AFMA
Dealer’s Licence and what the day ahead holds. A representative from each area will
life–work good – thanks to speak for a couple of minutes so that everyone is well informed.
my workplace
flexibility great too

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IB - 191205.indd Sec1:76 20/12/05 6:51:26 AM

 In s ide r in fo

Itay Tuchman – Director, short-term interest cv telephonist, school

rate trading office >> building and
installing lights (and getting
Itay is a director and head of short-term interest rate trading for the
electrocuted frequently!)
Asia-Pacific region at Citigroup. He is in his mid-20s and has held his
>> tutor/adviser, finance
current position for 18 months. Before he took this job, he worked
uni students >> research
in Tokyo for three years as a senior trader and desk head. He also
assistant >> summer intern
worked in New York for two years and has a lot of global contacts as
well as a mathematics background. He has an undergraduate degree at Citigroup in sales and

from the Massachusetts Institute of Technology and has worked as a trading >> senior trader
summer intern, also in trading, and in a lighting shop while studying (overseas) >> director
at university.

q&a
What do you like best about your career?
It’s new every day, challenging and dynamic.

What do you like least?

Bureaucracy.

What is a standard salary package for your job?

I would say between 150K and 250K with bonuses highly variable from
zero to multiples of base salary depending on performance.

Can you briefly describe a particularly interesting project you

have been involved in?
I run grad recruitment for fixed interest, and very much enjoy training
new people to the business, starting from zero and teaching them to
become successful traders/salespeople.

What do you wish someone had told you about investment

banking before you started on this career path?
Learn to take everything in your stride. This is a very dynamic business
with lots of ups and downs and you can’t get too emotionally caught
up in it. Sometimes being smart isn’t enough. You have to have a
wider skill set than just academics.

Does this job allow you to achieve the work–life balance that
suits you now?
Yes and no. On the positive, hours are not as bad as investment
banking and you generally can do a fair bit of the personally enriching
things you want with your spare time. On the negative, you are always
beholden to the market, and when it is moving or there are important
events, you are not free to use those days as you wish.

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IB - 191205.indd Sec1:77 20/12/05 1:28:47 PM

 Investment Banking
MYTH
this is a very
quantitative/math-
focused business,
and you need to be a
whiz to succeed
Most of ‘Wall Street’ isn’t
that complicated, it’s still
based a lot on personal/
business relationships
and using a lot of the
work/ideas/strategies
fact
of others that are used
over and over again.
Learn the shortcuts.
in
brief
Director, short term
interest rate trading
$$$ 150K–250K plus
bonuses which
vary from zero to
mulitples of base
salary, depending
on performance
quals Economics and
Managment/Finance
at MIT, USA
hrs/wk 50+
life–work not as bad as
investment
banking, but you’re
always subject
to the market
detour
Enjoy working with
computers? Check out
Career FAQs IT
www.careerfaqs.com.au
78
IB - 191205.indd Sec1:78
What type of person do you think best suits investment
banking?
Intelligent, driven, ambitious, humble, takes initiative.
What do you feel young people would like to know about
investment banking?
How to get a job – be a leader, be interested, motivated, and really
try to know what part of ‘finance’ you are interested in. Focusing on
getting a job in one area you are really passionate about is so much
easier than trying just to get a foot in the door somewhere.
Has your job/career turned out the way you expected?
Nope, definitely wouldn’t have expected to work overseas (outside
USA) for five years and would not have expected to be doing the same
thing for so long.
What did you have to learn the hard way?
That losing is part of winning. There are as many down days as up,
and you have to eliminate emotions as much as possible.
What is the best thing you think you can do for your career?
Always behave with integrity. Stand up for what’s right and people will
respect you and push you forward. Be a leader.
Is there anything else about your job or working in this career
that you think young people would like to know?
Avoid trying to do things you don’t like. Pursue careers in what you
are passionate about, and you will excel.
What do you wish you’d learnt much earlier on?
That nothing is easy – ‘genius is one per cent inspiration and 99 per
cent perspiration’.
What is the best industry secret you’ve ever heard?
Most people got their jobs via recommendations of friends/
colleagues. Ask around and network.
How has the industry changed in the time you’ve been in it?
Much more ‘electronic’, you must be 100 per cent computer savvy
these days.
myweek
monday – friday
■ Morning briefings, update salespeople on any developments over the weekend/night
■ Trade variety of domestic and overseas markets and products
■ Quote deals to salespeople and to other banks ‘direct’
■ Read economic research reports
■ Build and work on pricing models and new technology
■ Watch and trade markets during the night also. Stay up for most of the significant
data releases/events
20/12/05 6:51:30 AM
 In s ide r in fo

Tim Waggett – Vice president, sales

Tim is in his 40s and has been vice president in sales at Citigroup for
18 months. He previously worked at Citigroup in London for nine and
a half years in business project management, delivery and solutions
consulting roles, before emigrating to Australia. After an 18-month
stint with a leading domestic bank, where he was involved in strategic
relationship management, he rejoined Citigroup in Australia.

q&a
What does your job involve?
Customer calling, solutioning, pre-sales consultancy, preparation and
presentation of proposals for banking services, driving sales revenue
targets, leading specific sales initiatives, representing business
externally and conference speaking.

What is a standard salary package for the job?

Approx 100K to 200K depending on experience, plus discretionary
bonus which could vary between 30 and 60 per cent of base.

What do you like best about your career?

Challenge, variety, organisation fit, people, results-based meritocracy.

What do you like least?

cv management

Indecision, time-wasters. trainee (UK) >> product

manager (UK) >> VP
Briefly describe a particularly interesting project you have
been involved in? payment infrastructure
Providing a global payments solution to a well-known domestic (UK) >> director, stragetic
corporate which involved the first commercial implementation of a relationships (Aus) >> vice
next generation technology platform. Amongst the features were a
president, sales
single encrypted file of payments, delivered by corporate’s shared
service centre to Citigroup, validated, split and delivered to 12
countries globally for settlement using 13 dedicated accounts set up
specifically for the process. The project enjoyed senior management
visibility and demonstrated excellent teamwork across the global
implementation team.

What do you wish someone had told you about investment

banking before you started on this career path?
Just do it! The sheer variety and possibility of many roles provides a
rich career path for someone considering a career in banking.

Does this job allow you to achieve the work–life balance that
suits you now? Can you describe that balance?
Yes, most of the time. Inevitably, though, the demands of working for
a global organisation requires working to tight deadlines – regardless

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IB - 191205.indd Sec1:79 20/12/05 6:51:30 AM

 Investment Banking

of whether customer or internally driven – often at unsocial hours. I

try to balance these demands by getting away ‘early’ when possible
knowing there will be other times when the hard yards must be done.

What type of person do you think best suits investment

banking?
Competitive, self-starters with energy and drive are key attributes I
look for when considering potential hires. You need to present well,
network and have the self-confidence to back yourself and your ideas.

What do you feel young people would like to know about

investment banking?
More about typical career progression, opportunities to carve out a
glossary career, ways to get ahead, and remuneration.

Has your job/career turned out the way you expected?

Leverage means:
– ratio of debt to assets.
Yes, in terms of the opportunities, career progression and more
recently being able to leverage reputation across my the network and
rejoin this global organisation in another country after a period with a
domestic bank.

What did you have to learn the hard way?

Study hard and get your qualifications. There’s no substitute, as
increasingly institutions are very selective and the best jobs are
always in demand.

What is the best thing you think you can do for your career?
Whilst executing your current role, don’t lose sight of your next role
and position yourself accordingly, whether that’s through networking,
training or pitching in.

Is there anything else about your job or working in this career

that you think young people would like to know?
Be proactive. Work on the basics – building up relevant experience,
in
brief listening and learning from the voices of experience around you.
Seek out opportunities to grow and develop. Seize the initiative
Vice president, sales
– persistence usually pays.
$$$ approx 100K–200K
depending on What do you wish you’d learnt much earlier on?
experience plus
The benefit of doing my Master’s much sooner in my career. Also being
discretionary bonus
which can add 30– even more proactive in managing my career development.
60% of base salary
quals MSc (Dist) Intelligent What is the best industry secret you’ve ever heard?
Managment Not so much a secret as a truism – namely, ‘it’s not what you know, but
Systems and
who you know’.
Banking Diploma
from South Bank
How has the industry changed in the time you’ve been in it?
Uni, London
Absolutely. Use of technology as an enabler in delivering innovative,
life–work good most of
the time value-added solutions is of paramount importance as global and
regionally-aligned organisations look to drive cost from their
supply chains and generate efficiency improvements and driving up
customer expectations.

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 In s ide r in fo

myweek
monday tuesday
8.00–9.00 Planning, priorities for week 8.00–12.00 Customer calling, preparation,
9.00–10.00 Staff meeting priorities for proposals and follow-ups
week 12.00 Gym workout
10.00–10.30 Weekly meeting with 2.00–6.00 Customer proposals,
line manager presentations
11.00–12.00 Regional sales conference call
1.00–5.30 Customer calling, preparation,
proposals and follow-ups
5.30 Squash

wednesday
9.00–10.00 Weekly sales meeting
10.00–12.00 Customer calling,
preparation, proposals & follow-ups
1.00–2.00 Regional FI sales
conference call
4.00–5.00 Regional CRM training
– conference call
6.00 Squash
thursday
8.00–9.00 Weekly sales call with US
11.00–12.00 Weekly client implementation
planning
1.00–2.00 Gym workout
3.00–5.00 General administration (update
CRM pipeline, call reports)

friday
9.00–12.00 Customer calling preparation,
proposals and follow-ups
12.00–2.00 Client lunch
3.00–5.00 General administration incl.
planning for next week
weekend
Saturday
Periodically 1hr conference call for global
deal team with US colleagues – usually
starts 8.00 or 9.00 when required: two in
past month
Also weekend working when complex
global deals demand

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Langer Sieben* – Manager, development of

financial products
Langer is in his late 20s and has been a manager at Macquarie Bank for
the past four years. The primary focus of his work is the development of
new financial products for distribution to retail investors.

‘These transactions require you to gain a comprehensive

understanding of the asset class and its competitors in order for
you to evaluate the attractiveness and suitability of the asset class
for an investment product,’ he says. ‘The asset classes can be
from aeroplanes to forestry plantations to loans to corporations.
Understanding and analysing such a broad universe of investments is
a challenging and very interesting job.’

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q&a cv auditor, p/t study >>

work experience (APRA) >>
What do you like best about your career? manager
Working with exceptionally smart and driven people.
What do you like least?
One can work excessively long hours when busy on deals.
What do you wish someone had told you about investment
banking before you started on this career path?
You can find out pretty much everything you need to by doing a bit of
your own research and asking questions in interviews.
Does this job allow you to achieve the work–life balance that
suits you now?
No. Typically, young people will not have a particularly good work–life
balance in investment banking. There is a definite focus on work with
12 to 15 hour days reasonably normal. This sacrifice is why you get
paid a lot of money. MYTH
investment banking
What type of person do you think best suits investment banking?
Competitive people with a strong work ethic. A-type personalities.
is glamorous

What do you feel young people would like to know about

fact
investment banking? It’s long, hard work.
They should understand the commitment that they need to make to
the job in order to succeed in the industry.
Has your job/career turned out the way you expected?
No. I had thought I would be involved in modelling cash flows from
infrastructure projects. I have done this only once in my career with
most of my time being spent assisting in the development of new
financial products, cross-border bond transactions and evaluating
acquisitions for the bank or funds.
What did you have to learn the hard way?
Shortcuts and the best ways to set out spreadsheets. Once you get
a simple format, it is much easier to amend and tailor models as
transactions change.
What is the best thing you think you can do for your career?
Ask questions of those around you. Working with such smart people, in
it’s worth taking advantage of their insights. brief
Manager, development
Is there anything else about your job or working in investment of financial products
banking that you think young people would like to know?
$$$ woo hoo!
Because of the competitive nature of the industry you will always be quals B Comm,
on a steep learning curve. Newscastle Uni
(graduated with first
What do you wish you’d learnt much earlier on? class Hons and
If you don’t ask the question, the answer is always no. the uni medal)
hrs/wk 60–70+
Has the industry changed in the time you’ve been in it?
life–work not favourable
Not in essence – the changes are more an evolution of old products.

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cv dept of treasury Mark Murray – Senior analyst, financial risk

(US) >> debt managment
Mark is in his 30s and is a senior analyst in financial risk at the
adviser, Papua New Guinea
Australian Office of Financial Management (AOFM), part of the
government for 8 months Department of Treasury. He is responsible for looking at the risk policy
>> senior analyst that governs the management of a portfolio consisting of Treasury
bonds, a small amount of Treasury index bonds and term deposits.
The equivalent position in an investment bank would be senior
analyst, risk portfolio.

q&a
What is a standard salary package for the job?
Salary ranges between $90 000 and $100 000 but there is also
superannuation and study assistance.

What do you like best about your career?

I like the varied work. The AOFM allows you to work around a wide
range of issues. It encourages you to specialise. My impression is
that the scope is wider than at a bank, so you get wider and more
diversified skills. We also have a fairly team-based approach here and
people are not trying to get their own credit.

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What do you like least?

It can be bureaucratic at times because this is the public service. We
have a heightened sense of how things could be perceived [outside] and
a heightened level of accountability, so we are particularly risk-averse.

Can you briefly describe a particularly interesting project you

have been involved in?
I worked in Papua New Guinea for eight months on leave pay as a debt
management adviser to the Government there between 2000 and 2001.
I also worked on an AOFM review of the benchmark for managing
debt portfolio in 2002–2003 with senior and very experienced people.
I learnt a lot from that. I’ve also worked in the area responsible for
issuing bonds where we had to assess market conditions.

What do you wish someone had told you about investment

banking before you started on this career path?
I had an economics degree but in the area where I am, it took me time
to figure out that I needed to do a postgraduate financial course.

Does this job allow you to achieve the work–life balance that
suits you now?
I am happy with things. I work 9.00 am to 6.00 pm. The hours suit
me. Leave and everything else is negotiable. I was allowed to take
extended leave of one and a half months to travel. A clear advantage
of working in the public service is that it is generally flexible.

What type of person do you think best suits investment

banking? fyi
Someone who is very motivated and is a team player. Someone who
The Chartered Financial
has a strong set of technical skills and who has very good written
Analyst (CFA) Institute has
ability and has spreadsheet skills. Someone who is inquisitive and has 70 000 members in 131
a strong desire to develop skills on the job. countries. So to find out more
about the CFA program visit
People who have not worked out here in the long-term are those who www.cfainstitute.org
perceive the public service to be what it was years ago. We are very
professional.

Has your job/career turned out the way you expected?

Not really. I am not sure what I expected. Working at AOFM wasn’t
expected, but fortunately that turned out well. I also never expected
to do further studies. I have become more interested in finance,
but I started more with an interest in economics. I’ve gone off on a
different path.

What did you have to learn the hard way?

Treasury is full of bright sparks, and there’s a lot more competition.
I have not been successful in all job applications. One has to be
prepared to keep trying and things will work out. Don’t be put off and
don’t rule out possibilities.

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in What is the best thing you think you can do for your career?
brief To be prepared to continue to develop your skills further and to try
Senior analyst, financial risk different things. I am currently completing the chartered financial
$$$ 90K – 100K analyst program through the Chartered Financial Analyst Institute in
quals B Econ (first-class the United States.
hons), Latrobe Uni;
currently completing Is there anything else about your job or working in this career
the Chartered
Financial Analyst
that you think young people would like to know?
program, Chartered There are potentially so many things that one can do in finance. I would
Financial Analyst recommend finance because the set of skills you develop are very
Institute in the US
adaptable to all sets of things and can lead you to an interesting career.
hrs/wk 40+
life–work good
flexibility public service is myweek
quite flexible
monday tuesday
AM Review, plan work for the week AM Continue drafting liquidity policy
PM Meet with supervisor to agree PM Prepare and distribute notes to
timeline for work production attendees to facilitate discussion at
Schedule meeting for Thursday with Thursday’s meeting
relevant areas of office to discuss issues
arising from liquidity policy drafting process
Continue drafting liquidity policy

wednesday thursday
AM Prepare presentation on risk AM Prepare regular contribution to liability
management for foreign delegation management committee meeting
visiting next week papers for tomorrow
PM Continue drafting liquidity policy As scheduled, meet with relevant
glossary Informally discuss an issue arising areas of office to discuss issues
with supervisor arising from liquidity policy drafting
EEO means: process
PM Discuss with supervisor how to
– Equal Employment progress on liquidity policy following
Opportunity meeting discussion
Attend an EEO training session for
whole office

friday weekend
AM Informally follow up with a colleague ■ Time off
about how to handle an issue raised
in Thursday’s meeting
Review a point raised by our internal
auditors and begin developing a plan
to propose to supervisor to address it
PM Attend liability management
committee meeting
Attend regular office Friday afternoon
tea
Make some to-do notes for next week

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Larya Meyrick* – Senior analyst cv p/t local

newsagency >> p/t retail
Larya is a senior analyst in her late 20s who works at the Australian
Prudential Regulation Authority (APRA), a government body that shop assistant in clothing

regulates the Australian financial services industry. She has been in stores >> language

her role for 12 months. tutor >> credit analyst/

senior credit ris analyst,
Her job involves the approval of bank capital which she finds rather
investment bank >> policy
challenging ‘as it not only involves a high level of technical analysis
analyst, regulatory agency
but also intense liaison and dialogue with senior members of the
organisation, as well as with the bank executives concerned’. >> senior analyst

q&a
What is a standard salary package for the job?
Salary can range between $60 000 and $80 000.

What do you like best about your career?

It is intellectually challenging and I am always learning.

What do you like least?

It is not a ‘creative’ type of career, and can sometimes be monotonous
in the type of work that you do.

What do you wish someone had told you about investment

banking before you started on this career path?
It is not terribly ‘creative’ and hence the type of work can be very
methodical and structured. The content of the work is also very
specifically focused, and does not allow more ‘broad-mindedness’ to
be applied.

Does this job allow you to achieve the work–life balance that
suits you now?
Yes. The job is very accommodating when it comes to work–life
balance. My employer is very cooperative when I need to take
personal leave, and in terms of hours, I am usually at work around
8.30 am and can leave from 5.00 pm onwards.

What type of person do you think best suits investment

banking?
For the government/finance industry, someone who likes structure,
who likes to analyse things methodically, and who wants to contribute
to the ‘greater good’ rather than their own self-gain. Interest in
numerical issues also helps.

What do you feel young people would like to know about

the industry?
The finance industry generally is highly competitive, very
individualistic and often there is no work–life balance. The work

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 Investment Banking

itself is also highly numerical, rather than analytical. Young people

should be aware that deciding on a career in the finance sector
may mean that they reap financial rewards but their social lives
and other aspects of their lives (such as family etc) may suffer as a
consequence. It is not unusual for young people to ‘burn out’, so to
speak, by the time they reach their late 20s/early 30s as work hours in
the finance industry are (on average) around 12 a day (and sometimes
more if working on transactions/deals).
However, pursuing a career in the government sector which involves
finance allows a much healthier work–life balance and the content of
the work is much more analytical rather than numerical. Young people
who are interested in working in a broader policy-based environment
should consider government sector opportunities.

Has your job/career turned out the way you expected?

Yes – in a broad sense. I wanted to work in the private sector before
heading into a government agency and this is what has happened.

in What did you have to learn the hard way?

brief Working in a corporate environment and how to manage and learn
Senior analyst, APRA office politics. Learning to deal with difficult people – especially
$$$ 60K – 80K people at managerial levels.
quals BA (Honours Class
1) in Government,
What is the single best thing you think you can do for
USYD your career?
hrs/wk 40+ Be an expert in your role. Your technical knowledge/specialisation
life–work good – my job is is pivotal for career enhancement. Be willing also to gain as much
very accommodating
experience in different roles/positions within the organisation or in other
flexibility very good in the
public service organisations and then become an expert in those roles. Experience and
specialist knowledge are considered pivotal to career enhancement.

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Suzannah Faulkes* – Senior analyst cv tutor, USYD >>

senior analyst
Suzannah is in her 30s and has been in her role at the Australian
Prudential Regulation Authority for two years.

q&a
What is a standard salary package for the job?
The range is quite wide – $62 000 to $100 000 depending on
capabilities and experience.

What do you like best about your career?

I work in the Diversified Institutions Division of APRA which regulates
conglomerates. It is very satisfying to work for a regulator of financial
institutions as you play a role in safeguarding the interests of
depositors, policy holders and superannuation fund members. Within
APRA, there are diverse opportunities to work in a variety of roles. You
can gain expertise in a particular industry such as banks or insurance.
Also APRA provides flexible work arrangements enabling you to
maintain a life–work balance.

What do you like least?

Lack of recognition of the work done by APRA as the public is not
aware of the amount of work that goes into preventing crisis and
preventing the failure of financial institutions.

Most interesting project you have been involved in?

I worked on the review of a global insurance company. This involved
a review of regulatory requirements, the history of the company and
its current operations and assessing whether a change in regulation
was warranted.

What do you wish someone had told you about investment

banking before you started on this career path?
The intensity of work involved in being an analyst for a major
public institution.

Does this job allow you to achieve the work–life balance that
suits you now?
APRA provides opportunities to maintain work–life balance such as
flexible working hours, remote access (facility to work from home) and
excellent personal leave options.

What type of person do you think best suits this industry?

Analytical, flexible, good communicator and team player.

What do you feel young people would like to know about

the industry?
Australia has a mature, sophisticated and competitive financial
services industry offering innovative products and services. APRA

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is the prudential regulator of the industry, which includes banks,

credit unions, building societies, general insurance and re-insurance
companies, life insurance, friendly societies and most members of the
superannuation industry.

Has your job/career turned out the way you expected?

Yes. Performance and capabilities are recognised and rewarded.
There are diverse opportunities available to broaden your knowledge
and skills.
in
brief What did you have to learn the hard way?
Senior analyst, APRA If you are not sure of something, ask for help and there is no such
$$$ 62K–100K thing as a silly question. There is lot of technical expertise and support
quals BComm: M Comm available within APRA and people are only too happy to help you.
with Merit (Finance
& Banking), USYD What is the best thing you think you can do for your career?
hrs/wk 40+ Be dedicated, take ownership and pride in your work.
life–work good at APRA
Is there anything else about your job or working in this career
flexibility excellent – flexible
working hours, that you think young people would like to know?
facility to work There are lot of challenges and learning opportunities available. Be
from home
flexible and open to these opportunities.

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myweek
monday tuesday
8.30–9.00 Check emails and read 9.00–5.00 On-site prudential review:
media summaries board papers review; meeting with
9.00–11.00 Undertake analysis of management of systems
quarterly returns and operations
11.00–11.15 Make any necessary phone
calls to allocated institutions
– queries, responses etc.
11.15–12.30 Run standard reports for
analysis of returns
12.30–1.00 Lunch
1.00–1.30 Organise meetings and
prudential reviews
1.30–2.30 Discussion with team
manager on work priorities and
outstandings
2.30–2.45 Complete administrative work
2.45–4.00 Analyse returns
4.00–5.00 Attend frontline liaison group
meeting to discuss supervision
framework

wednesday
8.30–9.00 Check emails and read
media summaries
9.00–10.00 Post review meeting
10.00–12.00 Work on review notes
12.00–12.45 Lunch
12.45–2.00 Review notes
2.00–3.00 Meeting with specialist risk
team to discuss scope for a
forthcoming risk review
3.00–5.00 Complete review notes
thursday
8.30–9.00 Check emails and read media
summaries
9.00–11.00 Prepare draft review report
(findings) to be sent to the institution
11.00–11.30 Make any necessary phone
calls to allocated institutions
– queries, responses
11.30–12.30 Work on draft review report
12.30–1.00 Lunch
1.00–3.00 Assess approved actuary
application
3.00–5.00 Work on draft review report

friday weekend
8.30–8.45 Check emails and read 4.00–5.00 Read briefing material for next
media summaries week’s prudential review
9.00–11.00 Complete draft review
report and send to management
for review
11.00–12.30 Finalise report writing
12.30–1.00 Lunch
1.00–1.30 Filing and administration work
1.30–1.45 Organise a meeting with the
actuary for the assessment of
approved actuary application
1.45–4.30 Draft response to a query from
one of the allocated institutions
4.30–5.00 Check activities and issues
outstanding in the system and
prioritise for the next week

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cv
p/t waiting tables/
kitchen work >> summer
clerkship, law office >>
graduate recruit, Bankers
Trust >> credit analyst,
Sydney >> credit analyst,
London >> financial analyst,
Brazil >> associate director
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IB - 191205.indd Sec1:92
In any profession, there are people who use their
qualifications and experience to do something different,
exceptional or unconventional. Others may combine
their passion for a cause, a sport or a special interest
with their chosen career.
Mark Williams – Associate director,
São Paulo, Brazil
Mark has been working for Macquarie Bank in São Paulo, Brazil for
18 months. First working with the bank in Sydney as a credit analyst,
when an opportunity arose to continue working with credit in the
London office, Mark jumped at it. As the majority of his work was
with Macqaurie’s agricultural commodity operations - including those
in South America - after just over three years working in London, he
accepted a position in the São Paulo office of the bank working in an
associated area.
20/12/05 6:51:47 AM
 In s ide r in fo

q&a fyi
São Paulo is one of the
Can you briefly describe what you do in your current job? largest cities in the world
Current job working in structured finance in South America, with 18 million people
predominantly in the Brazilian market. In brief this entails organising living in a city that never
rests – it’s a 24/7 non-stop
offshore financing for companies that export commodities outside of town. Situated south of
their countries. Rio de Janeiro, São Paulo
is considered to be the
What’s a standard salary package for a job like yours?
commercial, financial and
In London a credit analyst working with five to seven years experience, industrial engine of Brazil.
depending upon the bank, can look at £60 000 – £90 000 sterling.
Working in commodity financing out of London, packages vary between
£70 000 – £110 000 sterling. Bonuses are not included in salary.
If you work offshore and are paid in A$ figure, cost of living
adjustments and currency conversions are affected.
fyi
Can you tell us something about your working environment?
I work in a small off-shore office. Currently there are 10 staff in the £100 000 = A$237 900
area I work, all of whom are Brazilian or Argentinean - creating a (November 2005 conversion
unique working environment for an Australian analyst! We tend to rate)

work in small teams depending upon the transaction, usually two to

three people, with one person leading the group. We generally work
with both industry experts and financial analysts in the same team
and it is incumbent upon each person to understand sufficiently the
work of each other person. The work wouldn’t be ‘industry standard’
because Macquarie adopts a slightly different approach, but certainly
overlaid with living and working in Brazil, it is very different to jobs
available in Australia.

Do you get to travel in your job? Why and where do you go?
Travel is part of the job, though it is not extensive. Travel may include
other Macquarie offices (predominantly London, New York or Sydney)
though generally it is within Brazil visiting clients in the interior.

What’s it like living and working in another culture?

The experience of working overseas in any capacity is an excellent
one, and comes highly recommended.
Working in a non-English speaking country is particularly challenging
and involves a long adjustment process, principally to overcome
frustrations associated with language differences. You certainly learn
how to be patient.

What about São Paulo itself?

São Paulo is an amazing city – the sheer size of it is difficult to
comprehend. As the commercial centre of Brazil, the majority of
business is carried out here (traffic permitting you can usually get to
meetings within 30 minutes of the arranged time). During the week
São Paulo is a fantastic city to work in especially because of the after

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work distractions offered by numerous bars and restaurants. The

weekend is best spent outside of São Paulo at the beaches within two
hours drive from the city.

Have you learnt to speak the language or is English

predominantly used for business?
I am competent at Portuguese and meetings are usually conducted in
the local language unless there is a particular reason to speak English.

What’s something that you have found interesting about

São Paulo?
I understand São Paulo has the second largest volume of city-based
helicopter traffic in the world (may not be factual, but they are
obvious). This is driven by the size of the city and the traffic, which is
notoriously bad. Although I am a little removed from building hopping
in my chopper, I do like the idea of that as a way to go to work in the
morning ...

Can you tell us a bit about that and what you like most about
living in São Paulo and the South American experience?
São Paulo combines at the same time the commercial centre of
Brazil, and therefore wealth, with enormous poverty. I live in what
is regarded as a nice part of the city and still pass homeless people
living in the streets daily. This can be confronting especially if you
are nervous about assaults and violence. Although I (touch wood)
have remained out of harm’s way, São Paulo is famous for its violence
and it is rare to live in São Paulo without experiencing some kind of
assault. The statistic often quoted is that there are 20 murders a day
in the city ranking up with Johannesburg as the murder capital of the
detour world! Strangely though, this doesn’t affect daily life and despite the
problems of poverty and violence, your lifestyle in São Paulo can be
Interested in working excellent; second to none as I am sure a large number of expats who
overseas? Check out have made this city their home would claim.
Career FAQs Global.
It is a very multicultural city. There are very large European influences,
www.careerfaqs.com.au
especially Portuguese and Italian as well as a large Japanese and
African population. Combining these countries’ culinary flair and
traditions for music with Brazil’s natural wealth of fresh ingredients
and love of a party and you have a very rich culture on your hands.

Is it expensive to live there?

São Paulo is not a particularly cheap city, though relative to Sydney
restaurants and accommodation appear reasonable.

What do you like most about your job?

Mixture of interaction with commodity markets, an excellent group of
talented people and being in an emerging market.

What do you like least?

The work is endless.

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What interesting project have you been involved in?

We work with a number of participants in the sugar and alcohol
sector in Brazil. The sugar mills are currently looking for off-shore
investment to fund expansion in the sector. Macquarie looks to glossary
provide this type of investment overlaid with a number of commodity
Mezzanine debt means:
price risk management products, which, depending upon the deal may
be structured as an equity, mezzanine debt or senior debt package. – a particular form of debt
where certain rights of
Having this scope of work available, and working in conjunction with
the debt provider are
other banks and private equity firms provides a unique work scope. subordinated to senior
What aspects of the industry interest you in particular, and debt providers

where do you see the growth opportunities? Senior debt package

Investment banking is generally always a stimulating environment to means:
work in. There are growth opportunities everywhere. – a form of debt affording
debt providers the
You only need to look at the scope of investment banking to get a
maximum security and
sense of this. For example, I know people who work in banking related rights the company is
to agriculture, metals and mining, energy, infrastructure, foreign willing to offer
exchange trading, debt market trading, interbank lending, corporate
finance, advisory – the list is endless. Within this scope there are
always opportunities to either invent new products or offer old
products in a new way. Also, because often there is a heavy impact on
market forces, it is never a static environment.

How does your job allow you to achieve the work-life balance
that suits you?
This is a genuine challenge in this industry. As a rule of thumb, hours
are long and people often struggle to get the work/life balance right.

What qualifications do you have? What university? Do you

feel they are necessary for your job, are they beneficial or not
necessary? What about on-going education?
I completed a BComm/LLB (Hons) at ANU. This is a fairly standard
entry-level degree into investment banking. Since starting work I have
worked with people who have completed degrees in virtually every
field, and as such do not feel a commercial bent on a degree need
be a prerequisite. I especially do not believe that a dual degree is
necessary, though it is more common and probably does help entry-
level applications.
Ongoing education is driven more by the individual. There are a
number of standard postgrad courses, though completion is not
mandatory. For example, there is the CFA (Chartered Financial Analyst)
course aimed at improving the technical skills of a financial analyst/
portfolio manager. In the end though on-the-job performance will
judge success after starting.

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 Investment Banking

in Are there any particular recruitment processes for this

brief industry/profession that candidates should know about?
Associate director Graduate programs are the largest recruiting process, though they are
$$$ variable but around very competitive.
A$125 000 plus
bonus
quals BComm/LLB myweek
Hons (ANU)
hrs/wk around 60 monday – friday weekend
life–work heavily weighted
9.00-9:30am Start Evenings
towards work
■ Check emails/catch up on what’s happened overnight ■ Generally meet
especially in
early years ■ Mixture of meetings, conference calls and internal friends and eat out
administration three nights a week.
flexibility work is priority ... Dinner is late here,
■ Financial analysis and report presentation about 10ish
■ Lunch at desk
■ Afternoon similar to morning, no particular change Weekends
■ Try to travel at
7.00-10.00pm Finish depending on the day
least every second
weekend to get to
beaches or national
parks close by

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84310_SEK0092E_250x176 16/12/05 12:40 PM Page 1
Got an interesting story to tell?

Want to see your name in print?

Know someone who does

something unusual for a living?

This book was only made possible because of the many

people who volunteered their time and shared their
career experiences.

With over 50 titles (national and state-specific) on our list,

there is a Career FAQs book waiting for your story.

Contact us: info@careerfaqs.com.au or 02 9282 9383

www.careerfaqs.com.au

realjobs realpeople realexperiences

 Private Investment Banking

A very different
outfit
Investec is a private investment bank with offices
in Sydney, Melbourne, Brisbane and Perth. We are
part of the Investec Group, an international specialist
banking group operating in more than 10 countries and
dual-listed in London and Johannesburg. In Australia our
core areas of specialisation are:

• Corporate advisory
• Private equity
• Property investment banking
• Growth and acquisition finance for small and medium
sized enterprises
• Project and resource finance
• Investment advisory services for high net worth
individuals

Call Nicole Fegent on +61 2 9236 0000 or email Nicole

at cv@investec.com.au in the strictest confidence about a
career at Investec.

www.investec.com.au
 Don’t end up in someone else’s life.

1300 MY FAQS
realjobs realpeople realexperiences

CareerFAQs Ad.indd 1 20/12/05 10:12:09 AM

 Ready, set,
go for it!
What qualifications do I need?
There are no set qualification requirements for a career in investment
banking. However, you will need an undergraduate degree as the
absolute minimum.

University courses
Investment bankers come from a wide range of academic fyi
backgrounds. These often include finance, commerce, business,
Some employers consider a
accounting, economics, engineering, law, mathematics or physics. Any high degree of proficiency in
degree program that specialises in these subjects will stand you in Microsoft Excel as crucial.
good stead as a starting point.

Graduates with studies in mathematics and statistics are also popular

because numerical skills are essential in many investment banking
jobs. Those with arts degrees are less in demand.

You might also find doctors or geologists who have postgraduate

financial studies working in this field. find out
The following tble shows the broad range of qualifications held by
more
investment bankers interviewed for this book. www.mbaguide.com.au

Want more quality career resources

from Career FAQs for FREE? Click here 101

IB - 191205.indd Sec1:101 20/12/05 6:51:52 AM

 Investment Banking

Job
Business analyst
Private equity analyst, mergers
and acquisitions
Associate, investment banking
Associate director, corporate
finance
Associate director, corporate
finance
Senior analyst, corporate finance Economics degree
Master of Business Administration
Senior manager
Executive, real estate advisory,
corporate finance
Manager, boutique investment
house
Senior executive, boutique
corporate advisory
Head of transactions
Finance analyst
Manager, structured investments Bachelor of Economics (honours)
Healthcare analyst, equities
Manager, equity capital markets
Credit trader, global markets
Director, short-term interest rate
trading
Vice president, sales
Manager, development of
financial products
Senior analyst, financial risk
Senior analyst
Senior analyst
Associate director
Qualifications
Double degree: Bachelor of Commerce and Law
Double degree: Bachelor of Accounting and finance
Chartered Accountant
Studying Chartered Financial Analyst
Bachelor of Business (Accounting and Finance)
Chemical engineering degree
Master of Business Administration
Bachelor of Arts
Master of Law
Bachelor of Commerce (Finance)
Chartered Accountant
Master of Building
Master of Finance
Bachelor of Commerce (Accounting, finance and
economics)
Bachelor of Commerce
Chartered Accountant
Graduate Diploma (Applied finance and investment)
Bachelor of Arts
Bachelor of Law
Bachelor of Arts in History
Masters in International Economics
Bachelor of Science (Medicine)
Bachelor of Medicine/ Bachelor of Surgery
FRACS (neurosurgery)
Master of Business Administration
Studying for a Certified Financial Analyst
Bachelor of Commerce
Masters of Applied Finance
Bachelor of Commerce
AFMA Dealers Licence
Bachelor of Economics/ Bachelor of Management/
Finance
Masters in Science (Intelligent Management
Systems)
Banking Diploma
Bachelor of Commerce (first class honours)
Bachelor of Economics (first class honours)
Bachelor of Arts (government) (first class honours)
Bachelor of Commerce
Master of Commerce (finance and banking)
Bachelor of Commerce
Bachelor of Law (Honours)

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 Re ady, s e t,
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Graduates will generally have a minimum Bachelor Degree in

Accounting/Finance, often with Honours or a Double Degree
in Law and Engineering. There is an expectation that further
postgraduate studies will be commenced, most commonly a
chartered accountant, CFA or Securities Institute course.
University averages will be high, and candidates will be expected
to have a swag of outside interests and achievements.
David van der Horst, Analyst, corporate finance, KPMG

The trainee market is so competitive. One trainee has just come

into the program with a Master’s Degree – it is perhaps a bit
unrealistic to get a trainee position with two to three years’
experience and no qualifications at all.
Angela Capone, Credit trader, global markets, ABN AMRO

One of the most significant recruitment trends in the finance

industry at the moment is the trend toward recruiting people
with tertiary qualifications. According to ABS statistics, the
proportion of the finance industry workforce with qualifications
has increased from 44 per cent in 2001 to 60 per cent in 2004.
In 2004, 32.8 per cent of finance industry employees had a
qualification at Bachelor degree level or higher. In 2001, only
26.3 per cent had qualifications at these levels.
Angela Jolic, Finance Sector Union

But while there’s flexibility in what degree you do, there’s no flexibility
when it comes to results. You really do need to have good grades.

Unfortunately, good university academic results are important.

Employers normally like to see credit averages, but if you have a
stronger record than this – for example, distinction and average
– you will be a more attractive candidate. I graduated with a
first class honours (score 90) and had a distinction average.
Other attributes such as languages may also be useful.
International banks are increasingly finding it more attractive
to recruit people who are fluent in other languages and cultures.
I have a Korean background and the bank that recruited me as a
graduate thought this to be quite useful.
Senior analyst, APRA

Sometimes graduates with experience in another field such as law or

accounting firms, or who have worked as consultants, might also find
investment banking open to them.

For example, David Stanton, a Healthcare analyst, Equities, at ABN

AMRO, started out as a surgeon. After completing an MBA, he now

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 Investment Banking

uses his knowledge of medicine and the medical industry to research

the prospects of healthcare companies listed on the Australian
Stock Exchange.

Likewise, David Smith did a Chemical Engineering degree first.

However, a stint as a business analyst at Dow Chemicals encouraged
him to do an MBA and to later move into investment banking.

If you don’t know what degree to do, but know that you want a
career in investment banking, consider going for a professional
accounting qualification such as a chartered accountant or
certified practising accountant (CPA). These will always stand
you in good stead.
If don’t know what you want to do, you can go into an accounting
firm where you will get a fantastic training, until you do know
what you want to do.
Edmund Gill, Director, Hays recruitment

Do I need postgraduate qualifications?

An undergraduate degree is the absolute minimum you’d need to get
into investment banking. A postgraduate qualification will certainly
boost your chances, especially if it’s in one of the fields considered
advantageous by investment banks. These fields include finance,
commerce, business, accounting, economics, engineering and
mathematics or physics.

Postgraduate qualifications favoured by investment banks are a

Master’s of Business Administration (available at many universities)
and the courses offered by the Securities Institute of Australia, such as a
Master of Applied Finance and Investment.

Master’s of Business Administration

A Master’s of Business Administration (MBA) is often used by people
working in other fields to break into investment banking. Indeed,
about half of the Australian Graduate School of Managements’ 2005
MBA class are using their MBA as a means to change careers and
some may be hoping to break into investment banking.

MBAs are course-based and include subjects such as accounting,

corporate administration, public relations, business systems, financial
management, human resources management, Information systems,
and business law.

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In Australia today, there are more than 40 universities offering over

80 types of MBA degrees. An MBA is considered excellent broad
degree that helps you to understand all aspects of business from
organisational behaviour to financial management. The best programs
also teach you to think strategically and to make decisions with
imperfect information.

Some MBAs are more general in content, others are tailored to people
with limited work experience and yet others to senior executives
with lots of experience. Some universities, like UTS, offer an MBA in
Mandarin. Some also offer specialised Master’s programs that include
traditional MBA subjects along with specific professional content.

Some also offer unique courses. Macquarie University, for example, offers
a course in Foundations of Management Thought, which examines the
history of philosophy underpinning Western styles of thinking. Meanwhile,
Curtin University offers courses in environmental management
strategies, introduction to future studies, and scenarios and strategies.

However, while the course content of traditional MBAs is often quite

similar, the number of units you are required to do to get your degree
may vary.

The prerequisites for admission into an MBA change according to the

university. A prior degree is generally required, as well as a minimum
of two to three years of relevant work experience. For universities that
have a management focus in their course, management experience is
essential. At some universities there are alternative entry paths – at
Murdoch University in Western Australia, MBA candidates don’t need
any work experience if they have a Bachelor Degree and a graduate/
postgraduate diploma. Alternatively they only need one year of
relevant work experience if they graduated with second-class Honours,
or two years of work experience if they have a bachelor degree.

Some universities require candidates to have taken the Graduate

Management Admission Test (GMAT) which measures basic verbal,
mathematical and analytical writing skills. The test can be done in
Sydney and Melbourne, and cost $US250. To apply for entry into
an MBA you may also have to provide academic records, written
statements, referees, your résumé, and attend interviews.

International students should note that all courses require English

proficiency, a minimum TOEFL score from 550 to 577 and a minimum
IELTS score from 6 to 6.5.

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 Investment Banking

Price (Aust.
University/institution that offers MBA Duration
student)
Adelaide University 1 year $27 000
APESMA distance education* 1.5 years $13 560
Australian Catholic University – NSW, QLD 3 years $14 400
Australian College of Applied Psychology (online)* 1 year $8500
Australian Graduate School of Management – NSW 1.3 years $49 140
Australian National University – ACT 1 year $36 000
Bond University – QLD 1 year $32 100
Central Queensland University* – QLD, NSW, VIC, 2 years $14 208
Charles Darwin University – NT 2 years $20 576
Charles Sturt University – NSW 1.5 years $16 000
Curtain University of Technology – WA 1 year $25 000
Deakin University* – VIC 1.5 years $21 600
Edith Cowan University* –WA 1.5 years $18 840
Gibaran Management Institute Australia – SA 1.5 years $24 000
Griffith University – QLD 1 year $25 200
James Cook University – QLD, VIC, NSW 1 year $20 840
find out La Trobe University – VIC 1.25 years $24 000
more Macquarie University – NSW 1 year $42 400
Monash University – VIC 2 years $38 400
Websites of some of the unis
offering MBAs Murdoch University – WA 1 year $18 500

www.agsm.edu.au
Queensland University of Technology 1 year $27 360
RMIT University – VIC 1.5 years $25 290
www.cbs.curtin.edu.au
Southern Cross University* – QLD 1 year $15 000
www.deakin.edu.au/
buslaw/dbs Swinburne University of Technology – VIC 1 year $30 450
Universitas 21 Global (online) 1.5 years $13 850
www.gsm.mq.edu.au
University of Ballarat 1.5 years $14 400
www.mbs.edu/home.cfm
University of Canberra 1.5 years $18 000
www.bgsb.qut.edu.au
University of Melbourne 2 years $48 000
www.agsb.adelaide.edu.au
University of New England* 1year $15 600
www.uq.edu.au University of Newcastle* 1 year $15 600
www.business.uts. University of Notre Dame, WA 2 years $16 800
edu.au/gsb
University of Queensland 1.5 years $34 400
www.utas.edu.au
University of South Australia* 1.5 year $22 200
www.gsm.uwa.edu.au University of Southern Queensland* – NSW 1 year $14 400
General information on MBAs University of Tasmania 3 years $15 600
www.mbaprograms.org University of Technology, Sydney 2 years $35 200
University of the Sunshine Coast 1 year $18 000
University of Western Australia 1 year $23 160
University of Western Sydney 1 year $25 140
University of Wollongong 1 year $22 500
Victoria University 1.5 years $18 996
*Course available by distance education

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Securities Institute find out

The Securities Institute of Australia (SIA) is a well-known organisation
more
Securities Institute
that provides training/educational opportunities for industry
www.securities.edu.au
professionals. It offers a range of highly regarded courses at the
postgraduate and undergraduate levels:

■ Diploma of Financial Services

■ Diploma of Financial Markets
■ Graduate Certificate in Applied Finance and Investment
■ Graduate Diploma of Applied Finance and Investment
■ Master of Applied Finance and Investment.

The Master of Applied Finance and Investment is recognized as the

premier qualification in the finance and investment industry. The
topics it covers includes: corporate finance, investment analysis,
investment management, treasury, marketing and research.

The course helps students:

■ develop advanced finance skills in core sectors of the finance and

investment industry
■ enhance their ability to collect and analyse data and to apply
practical, analytical problem-solving techniques

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 Investment Banking

■ operate effectively in changing global markets

■ understand and embrace the highest ethical standards in finance
and investment markets in Australia and internationally.
Source: Securities Institute website

What are the entry requirements?

You must have completed a degree or postgraduate level course
at an Australian University, college of higher education or institute.
Admission into this course is based on academic achievement in the
prior course, currency of knowledge and a demonstrated motivation to
undertake the Master’s course.

Can I study by distance?

Seminars are held in Sydney, Melbourne, Adelaide, Perth, and Brisbane.
If you live outside of these cities there is a distance education option
– all Master’s subjects are available by online delivery. The seminars
are webcasted so students can see and hear the seminar leader,
guest presenter and fellow students. They can view presentations and
communicate with other students and presenters via a chat facility.

How much does it cost?

find out
more After an initial registration fee of $250, a Master of Applied Finance
and Investment is charged by subject units, totalling around $27 000
www.finsia.edu.au
for members and $30 000 for non-members (2006 Fees). Check the
Securities Institute website for exact pricing of each subject.

Will employers pay course expenses?

Gaining and maintaining qualifications can be expensive. You can see
the costs of completing an MBA above. Most larger employers will
pay for some or all relevant study expenses while you are working for
them. Some smaller ones may also provide some assistance. When
applying for jobs, it is worth asking the employer or recruitment
agency what level of assistance is available. ‘Assistance’ may include
both payment of direct costs and other benefits such as paid or
unpaid study leave. The assistance may be provided up-front or after
you provide evidence that you successfully completed the course.

Some employers may place a condition on the assistance that you

must remain employed by them for at least a certain period after you
complete the study, otherwise you will be required to refund part or all
of the costs paid by the employer.

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If such a condition applies, the employer must advise you of it up-

front, eg specified in your employment contract or notified when
you first apply for assistance. It’s a question worth asking at your
interview if you are intending to study

Industry-based courses
The Australian Financial Markets Association (AFMA) is an industry
association that provides accreditation and training for industry
professionals. The AFMA runs the Financial Services Accreditation Program
as well as market-oriented seminars, workshops and conferences.

Most investment banks run fairly comprehensive in-house training

for graduates for staff. Most employees in the industry must undergo
mandatory training for a minimum amount of hours per year – typically
ranging from 5 to 30 hours. Some training programs are compulsory
for all employees, such as discrimination and anti-money laundering.
Other programs are offered on the basis of choice, including:

■ technical training programs – for example, internal products,

modelling, accounting, pricing

■ personal effectiveness programs – for example, leadership skills, find out

presentation skills, teamwork skills more
■ graduate training programs – most large investment banks have a www.afma.com.au

graduate training program ranging from 1 to 3 years. Many graduate

programs are global in scope, where students are sent to train with
graduates from other countries within the bank in a range of locations.

Investment bankers can be bit wary of taking on candidates

with PhDs. Some employers comment that they are too
analytical and perhaps not action-orientated. Some can be more
focused on presenting papers at symposiums around the world
than making money for the bank. detour
Allan Ritchie, Investment banking recruitment consultant, Hudson Recruitment
Find out more about these
Broad commerce or accounting skills are highly valued in the Investment qualifications in Career FAQs
Accounting.
Banking industry. Hence the qualifications Certified Practising
www.careerfaqs.com.au
Accountant (CPA) and Chartered Accountant (CA) are highly regarded.

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 Investment Banking

fyi How do I get that job?

Generally, the first interview
for a job at a major bank The first thing that you should know about a career in investment
is with a member of its banking is that it’s very difficult to get into, with many people applying
professional recruitment
for each position advertised. The second is that you will need
team. Subsequent interviews
take place with appropriate extremely good academic results to get your foot into the door.
executives. Psychological
tests, including aptitude tests As Ben Reeves, the national recruiting manager at KPMG, notes: ‘We
and personality profiles are could receive 50 to 100 applications per place quite easily. You’d really
also standard, to assess
whether your abilities and
have to stand out to get an interview.’
personality match the specific
Given this type of competition, you would not only have to be very
role in question.
strong academically to get onto the short lists for interviews, but
you would also have to have other interests that show you as a more
rounded person.

How are people recruited?

There are various ways that people are recruited into investment
banking. These include:

■ graduate programs

■ vacation programs
fyi
■ advertised positions
Typically, smaller investment
banking boutiques and ■ recruitment agencies
private equity or venture
capital firms are not big hirers ■ government recruitment
of new graduates.
■ headhunting

■ networking.

Graduate programs
Most investment banks run high-calibre graduate employment
programs to recruit the top-performing graduates from universities
around Australia. At the end of these programs, graduates will be
placed in specific areas of the banks’ business. There are, however,
other graduate programs which are more vocational in focus and where
graduates can choose to be trained in a specific area of interest from the
start. According to the International Banks and Securities Association of
Australia, areas where there is generally the highest intake of graduates
include equity research and equity or funds management.

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While graduate recruitment programs differ from company to

company, the process usually starts with you submitting an
application, including a résumé, online. This is followed by an initial
short interview, usually with a recruitment manager, and later by half-
or full-day interviews with senior investment banking professionals.
Interviews can be formal or informal and even panel style. Group
interviews and role plays are also common for some positions. Usually
there is also a series of tests to be taken. These are a mix of written,
mathematical, psychometric and personality tests.

Some banks who run graduate programs include ABN AMRO,

Citigroup, Deutsche Bank, Goldman Sachs JBWere, JPMorgan Chase,
Macquarie Bank and UBS. In addition, large accounting groups,
such as KPMG, Ernst & Young, Deloitte Touche Tohmatsu and
PricewaterhouseCoopers, also run programs.

Many of these employers will participate in student events and

campus career fairs to recruit graduates. Along with some of the big
commercial banks, they run graduate hiring programs where they
advertise for graduates, visit campuses and participate at career
expos and job fairs. These fairs can provide you with an opportunity
to apply for positions, so be prepared for an impromptu interview and
always have copies of your résumé ready.

If you haven’t encountered the banks and accounting firms on campus,

you can find out more about their graduate programs by visiting the
‘careers’ section on their websites. Here, you will generally find details
on what kind of graduates they are looking for and, importantly, the
closing date for applications. Take note! The closing dates are usually
in March or April for programs that will start early the following year,
although closing dates can differ from state to state.

The competition for graduate placements is tough.

Only four out of an expected 1000 applicants will reportedly get

a place on Citibank Australia’s program.
Australian Financial Review (21 July 2005)

The interviewing process for graduate placements can be rigorous.

Citigroup, for example, invites candidates who meet its initial
selection criteria to participate in an online assessment, which takes
about 60 minutes to complete. Citigroup’s ‘first-round interview’
stage involves document confirmation, a verification of your online
application and a meeting with Citigroup representatives in either

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 Investment Banking

Sydney or Melbourne – or a phone interview with candidates from

other states. Second-round interviews are conducted over a half-day
and are held in Sydney.

According to its website, PricewaterhouseCoopers’ selection process

starts with an online application, followed by an information evening
in some states. First-round interviews could include either a one-
on-one interview or a group interview together with 20 to 30 other
applicants. During group interviews, you will be given a range of
tasks to complete which allow the recruiters to assess you in areas
like presentation, problem solving, decision making, analytical skills
and leadership abilities. The next stage of the interview process
involves attendance at what PwC calls ‘conquest’. This can take up a
full day and involves participation in group activities and discussions,
business case studies, role plays, simulations and one-on-one
interviews. After this, successful candidates will have an interview
with a partner or director in their chosen area in the firm.

Each year, the Treasury department also sends representatives to

various university career fairs to recruit graduates. It also makes
presentations around the country. Applications have to be submitted
online. After the closing date, applications are assessed and a
shortlist drawn up. Those who make the short list have to go through
a panel interview.

Once accepted, you might find the graduate training program

intensive. The program is likely to involve formal training programs as
well as the opportunity to be mentored by colleagues who are experts
in their fields.

For example, Deutsche Bank’s trainee global market analysts will

participate in an intensive eight-week, London-based classroom training
program. The program includes an introduction to the bank and its
culture and a product bootcamp. As part of the training, analysts are
required to present their solutions to current business scenarios to a
senior business panel. Training then continues in the local Deutsche
Bank office and may include workshops and trading simulations.

In addition to on-the-job experience with skilled and knowledgeable

colleagues, Ernst & Young’s undergraduate and graduate programs
include up to one week corporate and technical induction training
with your peers, one week residential graduate training seminar
(affectionately known as ‘grad camp’), career guidance via its buddy
and mentor programs and leadership and business skills training.

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Vacation programs
One way to break into investment banking is to do a vacation program
– a summer or winter internship – while studying for your degree.

Edmund Gill, a director at Hays, says this strategy will help you get
work experience and build up contacts in the industry. ‘Contacts can
be extremely helpful,’ he says. As the saying goes, it’s not what you
know, but who you know that can really help you land the right job.

If you are looking to get into this industry, don’t try when you
graduate. Try before. We run summer vocational programs and
so do some of the banks. There are sometimes fewer applications
for summer programs so there’s more chance of getting in. It’s
a good way to get your foot in the door. If you impress your
employers, you are likely to get a permanent job offer.
Summer internships are a win-win scenario for both you and the
investment banks or accounting firms. You get to know if the
job is for you on a day-to-day basis. The employer gets to see
how you operate on a day-to-day basis. At the end, both parties
got to know each other better and are better placed to make
a decision. If you do a placement and don’t like it, you still have
time to change your degree and it still looks good on your résumé
that you spent a summer in this job at an investment bank.
Ben Reeves, National Recruiting Manager, KPMG

But be warned! Closing dates for vacation job applications are usually
well in advance, often as early as March or April for a program that
could start in late November or early December. The programs are
typically open to students in their penultimate year at university.

If, for example, you did a summer internship at Citigroup, you’d

be assigned to a group within the firm for the full 10 weeks of the
program, giving you exposure to a range of interesting projects and
the chance to learn from others. High achievers in this program are
then considered for graduate positions at a later stage.

JPMorgan Investment Banking division’s summer program also runs for

10 weeks in either Sydney or Melbourne. On its website, the bank says
ideal candidates would be pursuing an honours or a double degree in
commerce, law, economics or a finance-related discipline, and would
be achieving excellent academic results. During your internship, you
would get involved in transactions and projects and get to know your
team and the company’s culture better. There will also be many social
events, both internally and with other firms in the industry.

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 Investment Banking

Macquarie’s summer program runs from December to February. During

this time, you will work on real projects and transactions in addition
to attending various networking and social events, such as welcome
drinks, sport competitions, presentations and end-of-summer parties.
Macquarie’s recruitment procedure is similar to that for full-time
employment, and includes interviews with the recruitment team as
well as skills testing.

PwC also offers various vacation opportunities across Australia for

students completing appropriate degrees. These typically involve
working full-time for up to two months, usually between December
and February, and are designed to give you exposure to real
client work, training programs, social and sporting activities and,
importantly, PwC’s people.

St George Bank offers cadetships to university students in their final

year. Cadets work a few days a week while completing their studies,
giving them the chance to ease their way into full-time work and gain
an insight into the industry. Cadetships also allow rotation, which is an
excellent way for new recruits to discover where their interest lies.

Advertised positions
The second way of recruiting in the investment banking field is
through traditional hiring processes, usually for set positions that
need to be filled. This route opens the employment door to people
already working in the industry or to those who have gained work
experience in related industries like accounting or at retail banks and
want to break into investment banking.

fyi When trying to attract experienced candidates to vacant positions,

most banks and accounting firms do advertise online as well as
Macquarie Bank uses a
number of channels to
in print. You can also visit their websites to search for available
recruit people. These include positions. Some allow you to register your details online so that you
encouraging staff to refer their can receive email alerts notifying you of new positions that match
friends, advertising vacancies
in selected publications your criteria.
and online, making use
of accredited recruitment
agencies, and building
Recruitment agencies
relationships with universities Many banks also use recruitment agencies in much the same way as
and specialist business
colleagues. other employers do, and there are numerous recruitment agencies
that specialise in investment banking.

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 Re ady, s e t,
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Most potential investment banking employers are likely to make you find out
go through several interviews before you get an offer. more
Some of the firms that
It’s good to talk to recruitment consultants to get career advice recruit in the investment
and find out what’s happening in the industry. You should also banking arena
visit their websites for tips on how to do well in interviews. www.boomerangexecutive.
Edmund Gill, Director, Hays Recruitment com.au
www.chandlermacleod.com
I had three or four interviews and these were mostly with two www.carmichaelfisher.com.au
ABN AMRO people. I already had a connection here as I knew www.derwentexec.com.au
the person who was recruiting for this role.
www.hays.com
David Smith, Associate director, corporate finance, ABN AMRO
www.hudsonresourcing.
com.au
Headhunting www.jmes.com.au

Most investment banks will use various sources to ‘headhunt’ good www.linkrecruitment.com.au
candidates. Employees who refer successful candidates for positions www.michaelpage.com.au
are sometimes paid a ‘spotters fee’ depending on certain criteria. In
addition, investment banks will examine the résumés that are sent
directly to them by potential applicants or the recruitment agencies
that they deal with regularly.

Investment banks will also hire recruitment agents or headhunters to

search for more senior candidates or for candidates for roles that are
difficult to fill or which are in niche markets. Often the best candidates
or very senior executives will not be actively looking for a new position
and thus, will not normally respond to any job adverts. Headhunters
will do extensive research to identify possible candidates. They may
do this by speaking to their network of sources and industry contacts
or by searching the press and Internet. They may also see whether
there’s someone suitable working at a competitor. The headhunter will
then call or ‘tap the person on the shoulder’ and have a discreet chat
with them to ascertain whether they might consider a move.

Government recruitment
When it comes to jobs in the Australian Government, the
Commonwealth and state/territory governments regularly advertise
for staff in newspapers and on special sites. They also occasionally
recruit for entry-level (graduate) positions.

Every Thursday permanent Commonwealth Government vacancies

are advertised in the Public Service Gazette, which is available on the
Internet and in a print format. Most public libraries keep a copy of the

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 Investment Banking

Gazette. If a job is not in the Gazette, it is not available. Government

departments and agencies tend not to use HR firms. They have their
find out own recruitment processes which vary slightly from department to
more department. It’s important to contact the HR department to find
ABN AMRO out exactly what’s required and to ensure that what you put in your
www.abnamro.com.au
application is what they want.
Citigroup
www.citigroup.com.au
Networking
Deutsche Bank
www.deutschebank.com.au Many investment bankers say that networking helped land them
Goldman Sachs JBWere their first job in the industry. Maintaining contact with people in the
www.gsjbwere.com industry can be very beneficial – indeed, about two-thirds of jobs in
JPMorgan Chase general are found through networking.
www.jpmorgan.com.au
Networking involves making connections with people who can either
Macquarie Bank
www.macquarie.com.au give you information about potential job openings or introduce you
UBS
to others who have this information. And, it isn’t just limited to casual
www.ubs.com conversations with people you meet. You can actively network by
KPMG identifying useful people to contact for ideas and information. You
www.kpmg.com.au could ask friends and family if they know someone in the industry you
Ernst & Young could contact or you could ‘cold call’ people in the relevant positions.
www.ey.com.au You could also attend industry conferences and events.
Deloitte Touche Tohmatsu
www.deloitte.com.au People are often happy to help others, if they can. You have nothing
to lose by phoning or trying to meet contacts. As they say, nothing
PricewaterhouseCoopers
www.pwc.com/au ventured, nothing gained. Often, the easiest way to approach the
contact is to ask for some advice, rather than a job, to get the ball
Public Service Gazette
www.psgazetteonline.gov.au rolling. Keep in mind that your network might not really ‘pay off’ for
some time.

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 Re ady, s e t,
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Stand out from the crowd

glossary
To get a ‘look in’ at a job in investment banking, you will have to
have top grades. But that’s just the start. To stand out, you will need Extramural activities
means:
to demonstrate an interest in finance, leadership qualities or an
– activities carried on outside
involvement in extramural activities.
the bounds of an institution
or community.

What could set you apart is a show of strong commitment and

confidence and your ability to demonstrate that you have the skills
and personality to hit the ground running if you do get the job. You will
also need to have a good knowledge of the financial world and of
the company.

There are three key factors that most employers look for:
academic record, work experience and extracurricular activities.
Ben Reeves, National recruiting manager, KPMG

You’ll also need to create an outstanding application and to present

yourself well during the highly competitive interview process.

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 Investment Banking

Create an outstanding application

The first step in preparing an outstanding application is to do as much
research as possible on both the industry and the company you are
looking to join. This may include talking to friends or family who work
in the industry, attending company presentations, researching on the
Internet or reading the financial press. Most investment banks will
also answer your questions, so phone their Human Resources and
careers departments if you need to.

Check the application requirements for each job carefully. Very often
this will be on the investment bank’s website. And, try and get some
tips from someone who may have already gone through the process.
glossary
Always manage your career as if you are MD of your own
MD means: business (which of course you are). That means networking
– Managing director furiously and ensuring you control who receives your résumé.
Do not leave it to others to forward to people they know. Ask
for their details and send directly with a short courteous note
stating why you should get the job.
Tim Waggett, Vice president, sales, Citigroup

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 Re ady, s e t,
go for it!

The résumé MYTH

the hard work begins
A résumé summarises your work history, skills and experience in
only once you’ve
a way that highlights your strengths. It’s the first step in telling a
started the job
potential employer about yourself and its purpose is to get you past
the initial screening process and into an interview. Most investment banks
have an intensive
selection process which
involve several rounds of
interviews and perhaps,
psychometric testing.

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If you are applying for an investment banking job, it needs to be

of a very high standard. You can bet that your résumé will be one
of many received by your potential employer, so you need to make
sure that yours stands out from the crowd and shows you in the best
possible light.

You have only ‘one crack at the whip’, so make sure it’s a good crack.

Written communication is very important, and if done well, can

really make a résumé stand out from the pile.
HR manager, ABN AMRO

A résumé, however, is not about what you’d like to say. It’s about what
potential employers need to hear. It’s about telling them what you can
do for them.

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sample resumes and cover letters from Career FAQs 119

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 Investment Banking

Remember that recruiters are very busy people and don’t get to read
every résumé they receive in detail. They may scan through what you say
quickly to see if your application is worth taking further, so you need to
make a good first impression and to attract their attention quickly. You
need to get the relevant information across to the reader rapidly.

In addition, you can’t just send the same résumé to all potential
employers. Your résumé also needs to be adapted and relevant to
the particular company and job you are applying for, stressing the
specific skills and experience that could be of use to that employer.
Demonstrating a strong understanding of the investment banking
industry will also help.

You should highlight any relevant experience you have in finance and
any courses you’ve completed with an investment banking bias. Any
relevant personal interests, such as following the stock market, and all
awards and achievements should be emphasised.

A demonstration of dedication, enthusiasm, flexibility and an

attitude to learn and develop capabilities. These are the things
I put in my résumé which, I think, made a difference between
me and the other candidates.
Senior analyst, APRA

I quantified what I delivered whether in revenues, cost saves

or process improvements. Too often résumés are verbose and
give the reader no sense of the difference the individual made.
Make your résumé stand out!
Tim Waggett, Vice president, sales, Citigroup

Make sure what you say is clear and concise. Use descriptions about
yourself that reinforce those the company has used in its advert to
describe what it is looking for.

You should also attach a copy of your academic transcript so that

the recruiter is aware of your academic ability. This could be a crucial
separating factor between you and someone else.

Doing something very different or off-beat to stand out is a high risk

strategy and is more likely to appeal to recruiters in marketing and
advertising than in investment banking.

The industry is relatively conservative and your résumé needs to

reflect the target audience. The edge should come in the content.
Jon Michel, Founder of Jon Michel Executive Search

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 Re ady, s e t,
go for it!

Most recruiters welcome emailed résumés these days. But just

because it’s an email correspondence doesn’t mean it should be
informal with little regard to spelling, grammar and formatting. Do not
make this mistake! Be aware of your return email address, particularly
if it is through a web-based carrier like Yahoo! or Hotmail. What may
be considered a funny address using nicknames, jokes or swear words
would be very inappropriate and unprofessional if you use it to send a
résumé and job application.

It is not necessary to include a photo of yourself. Your résumé

should also be 2–3 pages long – not much more and not much less
for a graduate.
Allan Ritchie, Investment banking consultant, Hudson Recruitment

Tips: Résumé writing

■ Most companies prefer résumés submitted electronically,
so create your résumé in a common program such as MS
Word so it can be open and read by recipients easily.

■ Organise your résumé carefully and use good page

design to create a résumé that can be skimmed and
read critically.

■ Use headers so that skim readers can find what they

are looking for. Ensure it follows a logical sequence.

■ Give enough details to convince careful readers that

you really have the skills you say you have.

■ Try to make information easy to find at a glance. Keep

it concise.

■ Don’t include copies of every certificate and diploma

you have ever obtained – you can always present these
on request.

■ Don’t lie!

■ Your résumé should answer the employer’s question,

‘What can you do for me?’.

■ An effective résumé is targeted to a specific position.

You will need a different résumé for each type of job
you are seeking.

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 Investment Banking

find out
more Tips: Résumé writing continued
There are many handbooks ■ Try to highlight specific finance-related interests/jobs.
and websites which will give
you useful tips on how to ■ Tie the activities and work you’ve done to the specific
compile a winning résumé.
Here are some websites that skills gained. For example, working as a sales
provide useful resources assistant at David Jones has helped me improve my
and advice.
communication and people skills.
www.myfuture.edu.au
mycareer.com.au
■ Don’t forget to spellcheck your résumé! Remember,
it is the first impression your potential employer will
www.careerone.com.au
have of you, so take the time to get it right. If possible,
www.hays.com.au
even get someone to proofread your résumé to check
www.barberbunton.com.au
for any spelling, layout or typing errors.
www.jobs.au.hudson.com
www.fmaa.com.au

After you’ve sent your résumé off, you can follow up with a call to
inquire whether you’ve addressed all the issues you needed to in your
application and whether the recruiter needs anything else from you.
Be polite!

The followup call does make a difference. It’s your chance to

shine through. Most successful people build relationships in
whatever they do. If you don’t call, it might be seen as a sign of
non-interest. Tip: give it 3–5 days after your application!
Allan Ritchie, Investment banking consultant, Hudson Recruitment

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 Re ady, s e t,
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The cover letter

The cover letter is usually your first shot at getting the recruiter’s
attention. It needs to list your best selling points – but only those
relevant to the job – quickly and concisely to the recruiter. It should be
easy to read and to the point.

me
Your na s
Addres
stcode
ate Po
City St XX
XXXX XX X
ne: XX XX
Telepho : XXXX XXX xx
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xxxx
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of pers
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at firm
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Addres stcode
ate Po
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Date
9
me) . xx/999
Dear (na Ref. No the
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in ap
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I am int bsite. (Alway ma of Ap g to further
we ad ua te Diplo loo kin
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am
SEEK ted a Gr stralia and r proper I would
comple Au ssion fo t and believe and your
recently ies Institute of With my pa en lf
I have rit or. velopm about yourse
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The cover letter should not be a rehash of your résumé. Instead, this
letter and the résumé should complement and reinforce each other.

These days, most cover letters in response to an advert on the

Internet or newspaper tend to be via an email. An email cover letter is
briefer than one that goes by snail mail. You should list the title of the
position you are applying for in the ‘subject’ line and unlike a postal
letter, it should not include the full mailing address of the person you
are sending it to.

If you are writing a cover letter in response to a job ad, you should
read the ad carefully to asses what qualifications, skills and
experience the employer is looking for before you write the letter. Your
letter should then tell that employer, in a quick and easy-to-grasp way,
how and why you have these requirements.

Click here for more FREE industry-specific

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 Investment Banking

The employer will not be expecting your letter if it’s a ‘cold call’ letter,
so it is important to make it as clear and appealing as possible. It
should attract the reader’s attention very quickly, explaining what you
can do for the company. It’s important that the letter is addressed to
the right person and tailored to the company concerned. It shouldn’t
appear as if you are sending the same letter to many companies.

Include a few sentences that show that you’ve bothered to research

the company. You could, for example, mention some of the key deals
the investment bank has been involved in. Or, you could detail why
the bank’s core values appeal to you.

Tips: The cover letter

■ Make sure to find out the name of the person you are
addressing the letter to with correct spelling.

■ Limit the cover letter to one page.

■ If you are posting your cover letter, make sure it’s

neatly typed in a basic font on clean white paper
– don’t send cover letters that are photocopied.

■ Each cover letter needs to be tailored for the particular

situation – a cover letter for a specific job application
will be different to a ‘cold call’ cover letter.

■ Keep a copy of the cover letter for yourself – something

that’s mentioned may come up in the interview.

Your cover letter is your one opportunity to have a minute with

recruiters. It must grab their attention quickly and be relevant.
Don’t send the same cover letter to everyone. The letter
should address the specific requirements outlined in the job
advertisement for which you are applying.
Allan Ritchie, Investment banking consultant, Hudson Recruitment

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 Re ady, s e t,
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Selection criteria
When applying for government jobs in Australia, providing just your
résumé and a cover letter will usually not be enough to get the job.
You will also have to examine and respond to the job’s selection
criteria. These typically describe the skills, knowledge and experience
needed to do the job. Examples could include:

■ ability to work under pressure, prioritise tasks, meet deadlines and

remain tolerant

■ demonstrated written and oral communication skills

■ well-developed administrative/clerical skills

■ demonstrated ability to use a range of computer-based programs

■ knowledge of equal employment opportunity, occupational health

and safety (OHS) and industrial democracy (ID) principles.

The selection criteria set out the standards by which each candidate
will be assessed. This makes sure there’s an even playing ground
for all applicants. Be aware that if you don’t specifically address the
criteria, you may not get an interview.

If applying for a New South Wales government job, for example, you’ll
be expected to include a separate ‘claim for the position’ with your
application. Other government departments also generally require you
to address each criterion as an attached, but separate document. They
usually also want you to address each criterion under a separate heading.

Responding to selection criteria may take some time to get

accustomed to, but to demonstrate how you meet the criteria you can
use examples from work experience, university and extracurricular
activities and any other life experiences. A good idea is to brainstorm
as many examples as you can. Your answers should focus on the
specific examples that show you have the abilities or experience
required and should not be vague and generalised.

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 Investment Banking

Here is an good example of how the selection criteria ‘demonstrated

ability to problem solve’ can be addressed.

Demonstrated ability to problem solve

Problem solving has been a critical part of my roles over the past
five years. While working as customer complaints officer at Acme
Department Stores, I dealt with a variety of problems. While many
could be resolved easily, two to three per week were more complex
and required a detailed process to resolve.

I had to investigate a customer complaint that related to our

delivery processes. I investigated the processes, discussed the
situation with staff responsible for delivery and the customer to
work out what had gone wrong and why. I then proposed suitable
changes to the delivery process and negotiated a mutually-
satisfactory outcome. The new processes have been effective as
there have been no additional complaints about delivery.

I have been commended by my manager for my sensitive handling

and speedy resolution of these problems. Less than one per cent of
complaints had to be escalated.

Notice that the person has identified the situation and followed the
SAO approach.

Situation – Where and when did you do it?

Action – What did you do and how did you do it?
Outcome – What was the result of your actions?

Using the SAO approach can help you prepare a very good response to
selection criteria.

This next example shows of how not to write a response to the same
selection criteria as it does not provide an example of problem
solving, nor does it clearly identify the selection criterion.

Problem solving – seeks all relevant facts, liaises with stakeholders,

analyses issues from different perspectives and draws sound
inferences from available data and identifies and proposes
workable solutions..

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 Re ady, s e t,
go for it!

Of course, the most important thing is to be honest in your responses.

Make sure you are direct and succinct with your explanations – cull
unnecessary information and duplication of information. You should
never send your response without a spell check and a proofread. Why?
Because spell checks do not pick up the correct usage of words such
as ‘their, there and they’re’.

Tips: Selection criteria

Here is a list of key words and what is expected in
your response.

■ Ability to – you do not need to have done this kind of

work before, but you need to describe how your skills,
knowledge and experience show that you are capable
of doing this part of the job.

■ Demonstrated knowledge – you need to give examples

that prove you have experience.

■ Experience in – you have to show you have done this

work before, so give relevant examples.

■ Effective, proven, highly developed, superior – you

need to show your level of skill, so use examples
of your achievements to show your level of skills,
knowledge and experience.

■ Good communication skills – you need to show you

have the communication skills needed to do the
job, and this could include experience in dealing
with people, details of things you have written and
examples of problems you have solved using your
communication skills.

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 Investment Banking

How can I stand out at the interview?

When applying for an investment banking position, you can bet that
you will face stiff competition and that you’ll be one of a number of
candidates being interviewed. That’s why you need to make sure that
you put your best foot forward and stand out. To do this, you need to
be properly prepared for the interview, make a good first impression
and make an impact at the interview. You only have one shot at
getting through the first round of interviews, so make the best of the
opportunity. Some things you should consider include:

■ preparing for the interview

■ making a good first impression

■ making an impact at the interview.

I think your résumé is important to get you in the door, but if

you get to the interview stage then making a connection with
the interviewers is really the key.
David Smith, Associate director, corporate finance, ABN AMRO

Preparing for the interview

The best way to succeed in an interview is to be properly prepared.
There are two different ways to prepare for an interview for a job in
investment banking and both will require time and effort.

The first is to brush up on your interview skills, and there are many
ways to do this. A good starting point is to read up on how to do
well in interviews. There are many books and websites dedicated
to the subject. It may also be helpful to talk to others who been on
interviews to get some tips.

There are questions that are typically asked by many interviewers

and you may be able to anticipate these and work out your answers
carefully. Ensure your responses sound natural and unrehearsed.

Likely questions can be found on many recruitment websites. They

might include:

■ Why do you want a job in investment banking?

■ Why do you think you are suitable for this position?

■ What are your strengths and weaknesses – turn negatives into

positives. Remember, not being able to identify a weakness may be
viewed as arrogance or a lack of self-awareness.

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■ What job would you like if you had a completely free choice?

■ Why are you seeking a position with our company?

■ Which subjects have you enjoyed/disliked the most in your degree

and why?

■ How do you cope with pressure situations?

■ Have you come across a situation like this? How did you handle
it? What was the outcome – this is the style of questioning used in
competency-based interviewing, asking for examples of previous
situations is fairly commonplace so have some relevant examples
at the ready.

■ What are your greatest achievements so far?

■ What objectives did you set yourself at the beginning of your career
or study?

■ Have you achieved those objectives?

■ Why do you think you’re the best candidate for the job?

■ What interests you most/least about this job?

■ Do you work well with others as part of a team?

■ Describe your own personality.

■ What do you see yourself doing in five years’ time?

■ What salary are you looking for – do your homework beforehand!

Think of examples and reasons to back up your answers to these

questions and have a copy of the advert in front of you. Your answers
should suit the requirements of the job you are applying for. Keep
your answers simple and honest. You could be asked anything – try to
anticipate possible questions and think of answers to those questions.

You can also prepare a list of questions you want to ask the
interviewer. Asking a couple of well-thought-out questions can really
add to the interviewer’s overall impression of you. For example, you
could ask:

■ What are the company’s plans for the future?

■ Why is this company better to work for than other companies?

■ Why is the position available?

■ What training and induction will be given?

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 Investment Banking
find out
more
There are many handbooks
and websites which will give
you useful tips to help you
improve your interview skills.
Here are some websites that
provide useful resources
and advice.
www.myfuture.edu.au
mycareer.com.au
www.careerone.com.au
www.hays.com.au
www.barberbunton.com.au
www.jobs.au.hudson.com
www.fmaa.com.au
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■ What prospects are there for personal and professional development?
■ What attributes would you hope that I would bring to the job?
■ What would be a successful outcome for this project/role?
■ What development and growth does the company have planned?
■ What opportunities exist for achievers within the company?
■ Is there anything unique about the culture of the firm that
distinguishes it from the rest?
■ Can you tell me a little more about your job? Which aspects of it do
you enjoy the most?
The best way to improve your interview skills is through experience
and by going to many interviews.
The second way to prepare for an interview is to learn as much as
possible about the industry and particular job position you’re applying
for. You need to demonstrate an interest in the industry and that you
know what’s happening in it. Research is vital.
To build up your knowledge of the industry you will need to read
the financial press. You could add to this by reading the trade press,
annual reports, and company brochures as well as researching
finance-related websites. Information on the investment bank can
be found on its website, media releases and annual reports. Other
sources of information could include industry associations and
recruitment consultants.
Each bank has a website – do the research. I can’t stress that
enough! When you go for the interview, you must know about
what’s happening to the company. That always works wonders.
Edmund Gill, Director, Hays Recruitment
A person will stand out in an interview if they have researched
what’s happening in the industry. They should know what deals
and transactions have been taking place. They may even have
worked in the industry, so know what the industry is like.
My clients get put off by those who see the industry as just
glamorous. It’s a lot of hard work and successful candidates
usually have a balanced view about this. They show that they are
pragmatic and realistic, have their eyes open, and have a mature
worldly approach.
Jon Michel, Founder of Jon Michel Executive Search
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 Re ady, s e t,
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You also need to carefully assess the set of skills or attributes that the
prospective employer is looking for, and then brainstorm and list how
your achievements and experience match these.

Finally, before you set out for your interview, make sure you know the
time and place of the interview, as well as the name of the person/s
interviewing you. Get a good night’s sleep before your interview so
that you can think clearly. Always arrive early so that you can catch
your breath and focus your thoughts. And turn your mobile phone off
before you go into the interview!

Making a good first impression

First impressions do count.

A lot of people make a decision in the first 30 seconds, often

before the interviewee even has a chance to say something. So
presentation is very important.
Edmund Gill, Director, Hays Recruitment

Indeed, research has shown that an interviewer has made an

impression within the first few seconds of meeting the person. The
remainder of the interview is spent confirming this opinion, or turning
this opinion around.

Look professional, act professionally and dress professionally. Polish

your shoes, trim your hair and clean those nails. Appearances count.
Dress as though you are representing a firm to one of its clients. You
will never have a second chance at making a good first impression.
Remember that it’s not always what you say, but how you present
yourself that makes an impression. The advice from Hays is to dress
conservatively rather than casually or radically. Wear, for example, a
dark suit and tie, or a skirt and jacket. Pierced eyebrows and lots of
hair gel aren’t suitable. A more conservative look may be required
because the bank’s customers might expect it.

Remember you will be assessed from the time you arrive at the
reception desk and until you get into the lift to leave.

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 Investment Banking
find out
more
For information on different
types of interviews, such as
behavioural, panel, group
and psychometric testing,
see Appendix 5.
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Making an impact at the interview
There are different types of interviews for different purposes or
situations. These include behavioural and panel interviews.
Your interview may be one-on-one, or with more than one executive
or even with a panel, but the purpose of the interview is to establish
a rapport and to exchange information. The recruiter/s will be looking
to assess whether you can do the job, whether you will do the job
well and whether you will fit into the organisation. Your mission is to
demonstrate that you can do the job and will fit in, and become an
asset to the company. But you also need to assess whether this job
fits your needs and personality as well.
There are many books and newspaper articles that will give you
advice on how to prepare a résumé and how to handle an interview,
but I think it is important to remember that when you get a
job you will be spending more time at work and with your work
colleagues than on anything else you do, so at the interview when
you meet your prospective boss you should think about whether
you get along with this person and would enjoy working with them.
Isabella Ebbitt, Executive, real estate advisory area of corporate finance, KPMG
There are several ways to establish a rapport with the interviewer or
interviewers. You can do this by smiling, shaking hands firmly and
maintaining eye contact. You should follow their lead. If they start a
casual conversation join in, but keep your answers short and positive.
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During the interview, sit up and stay focused.

If you have a panel interview, be sure to address the different levels of

panel. Try to be aware of the panel’s composition beforehand so can
that you can anticipate what questions you might get.

In general, interview panels here tend to ask open-ended

questions about issues. They are not looking for a right answer
but are looking for the person to show a framework of how
they work through a problem. They are looking to see if you
are able to think through something logically and come to what
they consider is logical reasoning. There’s probably no right or
wrong answer to the question.
Mark Murray, Senior analyst, financial risk, Australian Office of Financial Management

Tips: The interview

■ Be prepared. Research the industry and company
thoroughly.
■ First impressions count, so be well groomed.
■ Be yourself. Be truthful and direct, but try to put a
positive spin to your answers.
■ Be confident. Composure in the business world is crucial.
■ Focus on the person interviewing you.
■ Present yourself as being confident.
■ Make sure you can substantiate your information.
■ Ask questions. This shows you’re interested and that
you’ve done your homework.
■ If you don’t know something, say so. Nobody expects
you to be perfect.
■ If you don’t understand a question, ask the interviewer
to repeat it.
■ Be a good listener.
■ Never make negative or derogatory comments about
your previous employers.
■ Follow up. Send a letter to the interviewer/s as soon as
possible after the interview to let them know you liked
what you heard and want to be kept in mind

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 Investment Banking

If you don’t get the job, ask for feedback so that you can improve
your interview skills. Don’t take rejections too personally and keep
applying. A lot of companies cull applicants based on standard criteria
that may not bear on the personality of the candidate.

Some recruiters reveal what they believe makes a person stand out
at interview.

Confidence, intelligence, knowledge of the business world.

Ben Reeves, National recruiting manager, KPMG

If they can demonstrate passion and knowledge about what

they do, this helps the recruiter identify the suitability of the
candidate to the role, to the team, and the organisation as a whole.
HR manager, ABN AMRO

You must be prepared to put in extra hours. And you must really
want this career. It’s a two-way investment. The bank will have
to invest in training you. For the first six months, you will cost
the bank money. If you think about this, you will understand why
you should be well prepared for the interview.
Edmond Gill, Director, Hays Recruitment

Be yourself, professionally! Don’t just give the answers that you

think the recruiter wants as this could make you seem a little
shallow and contrived.
Allan Ritchie, Investment banking consultant, Hudson Recruitment

Here’s what some investment bankers believe they said or did in their
interviews to stand out from other candidates.

Being open-minded and honest, and showing that I am used to

working overtime.
28-year-old senior analyst, mid-sized accounting group, corporate finance division, BDO

Having subsequently been involved in interviewing many potential

candidates, looking back I think it was the strong commercial
interest and knowledge that helped me secure the job. If you
can display a keen interest and understanding of the position
and industry you are applying for, then you place yourself in a
much stronger position to get the position.
Brett Ryman, Associate, investment banking, Citigroup

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I think it was my attitude; I presented myself as enthusiastic

and outgoing and I think it sometimes helps to choose moments
in interviews for a bit of humour – the most important thing to
do is create a connection with your interviewers.
David Smith, Associate director, corporate finance, ABN AMRO

I knew a lot about the business before I joined. I had done

my homework, not only historical but current. I knew the
background of some of the key principals and had formed a view
about how I could add value to the organisation.
Senior executive, boutique corporate advisory

I have always been extremely honest about my impressions. I

asked them why they are better than the next firm. That makes
the interviewer know that you are confident.
Female head of transactions, listed property trust

I think I conveyed a level of passion about what I do that stood

out. I think also demonstrating an industry understanding and a
willingness to learn is important... If you want to get into Equity
Research consider writing a research piece yourself to show
your interviewers because you are marketing yourself to them
and highlighting your skills. This could be the differentiating
factor between you and someone else! On what not to do – never
turn up late for an interview!
David Stanton, Healthcare analyst, equities, ABN AMRO

I think I made a good impression. Treasury’s focus was on

academic results. They looked at people interested in economic
debate and asked questions about this – for example, ‘what do
think you about interest rates?’ I also had good references and
used one of my uni lecturers as a reference. And, I was willing
to move from Melbourne to Canberra.
Mark Murray, Senior analyst, financial risk, Australian Office of Financial Management
(AOFM)

What I said at the interview that I believe made me stand out

from other candidates was that I followed financial markets
closely and current events. It’s amazing how often people can’t
back up what’s on their résumé.
Head of short-term interest rate trading, ASIA-PAC, global investment bank

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 Investment Banking

Being able to express yourself both verbally and on paper is

vital – you really have to be excellent in both these areas.
Knowing what you want and being decisive about how you are
going to achieve what you want is also going to help you. You
need to be able to communicate how much you want the job and
highlight your achievements as the reason why you deserve it.
Angela Capone, ABN AMRO

Top ten DOs

1 Show a confident, happy and positive attitude.
2 Be well presented in your dress, have a firm handshake
and speak clearly.
3 Provide real-life examples to demonstrate your answers.
4 Show how you stand out as a candidate.
5 Have a clear career plan or aspiration.
6 Be enthusiastic and passionate about the role.
7 Communicate the benefits you can bring the business.
8 Prepare your questions in advance to ask the
interviewer.
9 Display a good understanding of the role.
10 Be an active listener and maintain eye contact.

Top ten DON’Ts

1 Avoid having poor verbal communication skills.
2 Not answering the question asked.
3 Not researching the company or role before the interview.
4 Leaving a mobile phone on.
5 Being unable to provide solid examples of previous
experience.
6 Exaggerating experience or skills.
7 Focusing on the negative rather than the positive in
situations or experiences.
8 Being unable to answer technical questions.
9 Arriving late.
10 Displaying little interest in the role.

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Dealing with disappointment

If you can’t get the job you want, don’t be discouraged.

Job searching can be an emotional experience, as virtually everyone

faces rejections. If you’ve been short-listed, interviewed and believe
you have a good chance of getting the job, having your application
rejected can be overwhelming. This disappointment can make you
feel quite depressed and start to doubt your abilities.

A valuable skill is the ability to allow the natural reaction of anxiety

to happen without being too overwhelmed by it or identifying with
it too much. It will pass. There will always be other opportunities.
Keep your head up and your goal in mind, and keep looking.

Don’t be afraid to take up a job that isn’t exactly what you want
– once you have one foot in the door, the range of possibilities will
open up. Banks and government departments are big places. You
may find that a job that wasn’t open to you before is now open
because people get to know you.

If you have figured out the job that you do want, perhaps
you should figure out a plan to get you there – for example,
looking at other jobs where you can the leverage skills
needed to get you into the job you want. People move around
in the financial industry and openings do come up.
Developing good contacts is very important and may give you
the boost you need over the competition.
Mark Murray, Senior analyst, financial risk, Australian Office of Financial
Management

“If you are looking at a career change and don’t possess the
required skills, it is important to get a foot in the door. This
means that at times, you might have to accept a lower level
position and work your way up from there.
Jennifer Bennett* , Senior analyst, APRA

A couple of years in a corporate advisory area can set you

off in a good range of career options if you want to change
– for example, private equity, research, or in a business
development or strategy role. It’s also not a bad grounding if
you later want to set up your own business.
Jon Michel, Founder of Jon Michel Executive Search

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 Investment Banking
fyi
Even if you don’t like your
current job, the best way
to get a better one is to
work hard and impress your
present manager, so that they
will give you a good reference.
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What can I do right now?
To start preparing for a role in investment banking here are some
things you can start doing now:
■ read the financial papers to develop a knowledge of what’s
happening in the financial world
■ study hard to ensure your grades are good
■ develop some extracurricular activities that firstly, you enjoy and
secondly, will help you stand out in the selection process – this
could involve sports, clubs and societies or volunteer work
■ develop good contacts in the industry
■ join professional associations (become a student member) and
attend professional gatherings such as seminars, conferences,
conventions, discussions and talks
■ develop some experience in the industry through part-time work
– if you can spare the cash
■ develop good referees – these can include uni professors and even
your managers at vacation jobs; remember that uni staff members
are important as referees, however they must know you to be able
to be a referee
■ start your own share portfolio – this will not only signal your
knowledge of the market to the interviewer, it can also highlight
your genuine passion for the position.
The Finance Sector Union’s tips for those looking for a career in the
finance industry:
■ get educated – gaining a qualification and keeping your skills and
knowledge up to date will give your career a strong foundation
■ plan for your future, but be prepared to be flexible – the industry
is extremely dynamic and major changes happen very quickly,
therefore knowing what you want, but also being flexible, will help
you cope with change and get what you want from your working life
■ don’t just consider working for a large finance company – a lot of
employment growth is occurring in the smaller industry players and
careers tend to advance faster in smaller companies, but beware of
working for companies that don’t have good employment practices
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■ develop networks – most finance vacancies aren’t advertised in

fyi
newspapers
The Finance Sector
■ be aware of what’s going on in your profession and industry Union exists to promote,
– knowing industry and professional trends and thinking about improve and protect the
working conditions and
what these mean for your career are fundamental to maintaining entitlements of its members.
your employability. Joining unions, professional and industry It’s members work in banks
associations will give you an advantage and other financial services
organisations. For more
■ develop your communication skills and think about what you can information see:
www.fsunion.org.au
do now that will later help convince a potential employer that you
have good communication skills

■ know how to play the job search game by developing and

maintaining your career management skills – you might be the best
person for the job, but if you don’t interview well, you probably
won’t get the job.

Where to find more information:

■ speak to the career counselor at your school or university

■ speak to the graduate recruitment officers at the major employers

■ attend career expos and fairs

■ check university and recruitment websites for information on

careers and job hunting

■ search the careers section on the websites of major employers

■ search the Internet sites of industry associations

■ monitor the job adverts in the press and on recruiters’ websites to

get a feel for what’s happening

■ speak to people in the industry to find out what’s happening

■ speak to employment agencies and recruitment consultants.

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IB - 191205.indd Sec1:140 20/12/05 6:52:27 AM
 B uz z words

Buzz words
ABN AMRO international bank with offices in Australia that
provides investment banking products and services
ACCC Australian Competition and Consumer Commission
AFMA Australian Financial Markets Association
AGSM Australian Graduate School of Management
angel wealthy individual who invests in entrepreneurial
firms – although angels perform many of the same
functions as venture capitalists, they invest their
own capital rather than that of institutional or other
individual investors
AO Officer in the Order of Australia – awarded for
distinguished service of a high degree to Australia
or to humanity and at large
APRA Australian Prudential Regulation Authority
arbitrage simultaneous buying and selling of one security at
two different prices in two different markets, which
results in profits without risk
ASX Australian Stock Exchange
A-type someone who is hard-working, ambitious, and is
preoccupied with schedules and the speed of their
performance
BASEL II round of deliberations by central bankers from around
the world, under the auspices of the Basel Committee
on Banking Supervision in Basel, Switzerland
bear market market that is not looking positive
beauty parade process run by a company seeking to appoint an
investment bank to undertake a transaction
BIMBO combination of a management buy-out and a
buy-in – this is when outside managers join forces
with existing managers to take over a company,
subsidiary or unit
bookbuild auction used to determine demand for a particular
share and different price levels
bull market market that is positive
burn rate rate at which a company requires additional cash to
keep going
CA Chartered Accountant
capitalisation rate the same as yield of a rental property but from the
perspective of if you know the annual rental and the
capitalisation rate you can determine the value of
a property
CBO Collateralised Bond Obligations
CFA Chartered Financial Analyst
COB Continuity Of Business

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 Investment Banking

common stock equity typically held by management and founders

– typically, at the time of an initial public offering, all
equity is converted into common stock
COMPAC Comparable Acquisitions Analysis
COMPCO Comparable Companies Analysis
consolidation private equity investment strategy that involves
merging several small firms together and exploiting
economies of scale or scope
CPA Certified Practising Accountant
DCF Discounted Cash Flow analysis
derivatives generic term for futures, options and swaps –
which are financial instruments used normally to
manage risks
discounting technique of producing the NPV
distressed debt involves purchasing discounted bonds of a financially
distressed firm – distressed debt investors frequently
convert their holdings into equity and become actively
involved with the management of the distressed firm
divestment when a company chooses to sell one of its assets or
business units
DMF Discretionary Mutual Funds
DOFI Direct Owned Foreign Insurer
DR Disaster Recovery
due diligence investigation and evaluation of the soundness of
an organisation
EBIT Earnings Before Interest and Tax (earn out) – part of
the price of a transaction which is conditional on the
performance of the company following the deal
EEO Equal Employment Opportunity
EV Economic Value
extramural activities activities carried on outside the bounds of an
institution or community
face time waiting behind at the office without any real work
to do
FSU Finance Sector Union
funds management when an organisation manages investors’ money
for a fee
fund of funds fund that invests primarily in other funds rather than
in direct investments
FX Foreign Exchange
gearing total borrowings of a company expressed as a
percentage of shareholders’ funds – also known as
debt/equity ratio
HIH HIH Insurance Group – in 2001 the company went
into liquidation and it is currently the subject of a
Royal Commission

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 B uz z words

IAR Independent Accountant Reports – informs

shareholders in the course of an IPO
IBNR Incurred But Not Reported
IBSA International Banks and Securities Association
of Australia
ID Industrial Democracy
IFRS International Financial Reporting Standards
independent expert informs shareholders whether the share price paid
report for any transaction is fair and reasonable
IPO Initial Public Offering – the first sale or issue of
privately owned equity (securities or shares) in
a company via issue to the public and investing
institutions. An IPO can also be known as ‘going
public’ or ‘taking a company public’
IRR Internal Rate of Return – the return which can be
earned on the capital invested in the project, i.e.
the discount rate which gives a NPV of zero. This is
equivalent to the yield on the investment (a project
is a good investment proposition if its IRR is greater
than the rate of interest, including an appropriate
risk premium)
IRS Interest Rate Swaps – type of transaction done to
manage a portfolio
KPIs Key Performance Indicators
LBO Leveraged Buy-Out – acquisition of a company,
subsidiary or unit by another, financed mainly
by borrowings
league tables measure by which investment banks compare their
performance in the key areas of M&A, equity and
debt underwriting
leverage ratio of debt to assets
M&A Mergers & Acquisitions
MBA Master’s of Business Administration
MBI Management Buy-In – when a new team of
managers makes an offer to a company to buy
the whole company, a subsidiary or a section
of the company, with the intention of taking over
the running of it themselves (venture capital often
provides the major part of the finance)
MBO Management Buy-Out – any public or private
company buyout in which long-term, experienced,
inside management is involved – investments are
compared on NPV and risk. A ‘risk’ is anything that
will cause the NPV to change
MD Managing Director
meritocracy system in which advancement is based on
individual ability or achievement

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 Investment Banking

mezzanine debt a particular form of debt where certain rights of the

debt provider are subordinated to senior
debt providers
NPV Net Present Value – measure of profitability of an
investment
OHS Occupational Health and Safety
P/E Price/Earnings ratio – calculated as the market
capitalisation divided by the net profit after tax and
is an important indicator as to how the investing
market views the health, performance, prospects
and investment risk of a public listed company. They
are best viewed over time so that they can be seen
as a trend and used as a guide alongside other
indicators, not an absolute measure to rely on itself
performance bonuses awarded for achieving objectives
pitch book presentation made to a client on a transaction idea
psychometric measurement of the psychological aspects of a
person, such as knowledge, skills, abilities,
or personality
PwC PricewaterhouseCoopers
QIC Queensland Investment Corporation
QTC Queensland Treasury Corporation
RBA Reserve Bank of Australia
RFP Request For Proposal
risk management being able to manage different risks and anticipate
a wide range of circumstances that have to be
managed and having procedures and systems in
place to manage circumstances as they arise
road show marketing of an investment or offering to potential
investors
ROE Return On Equity
roll-ups when a company acquires a number of business or
assets and consolidates these within a single entity
SARS Severe Acute Respiratory Syndrome
securitisation pooling and re-packaging of non-tradable securities
into marketable securities
senior debt package a form of debt affording debt providers the
maximum security and rights the company is willing
to offer
SIA Securities Institute of Australia
skills shortage shrinking labour market due to an ageing population,
slowing birth rates and skilled immigration rates
spin-offs when a company chooses to separate a business
unit from their core business
structured notes includes foreign exchange loan, forward or futures
contract with built-in options structured to a
client’s need

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 B uz z words

syndicate group of brokers formed to sell a stock

synergies cost savings and revenue benefits that flow from a
transaction
takeover defences strategies implemented by the target company in
order to prevent its takeover
topey when a stock looks expensive
VaR Value at Risk – a portfolio’s maximum likely loss over
a predefined holding period and confidence interval
variable comp discretionary bonus
WIF Women in Finance
yield cash return from an asset – calculated by dividing
the gross dividend by the share price and
expressed as percentage. It shows the annual
return on an investment from interest and dividends,
excluding any capital gain element

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 Appe n dixe s

Appendix 1
Comparative starting salaries of various
professions
Seeking full-time
Seeking full-time
In full-time employment, Further Median starting
Bachelor degree employment, not
employment working part-time full-time study salary ($000)
working
or casual
Agriculture 75.3 9.2 15.5 21.2 35.0
Architecture** 90.9 4.1 5.0 26.9 31.3
Building 89.3 3.9 6.8 22.6 35.0
Urb & reg planning 92.3 4.5 3.2 14.6 40.0
Humanities 67.0 12.3 20.8 34.1 33.0
Languages 71.7 9.8 18.5 42.7 36.0
Vis/perf arts 56.0 15.1 28.9 34.9 32.0
Social sciences 68.5 13.2 18.3 34.7 35.3
Psychology 70.3 9.3 20.4 45.1 37.0
Social work 77.9 7.0 15.0 9.4 37.7
Business studies 80.1 7.3 12.6 16.4 35.0
Accounting 87.1 7.5 5.4 9.4 35.0
Economics 85.1 6.1 8.8 25.0 38.7
Education 79.6 3.1 17.3 7.4 40.0
Education post/other 91.1 1.3 7.6 15.6 40.0
Aeronautical eng 76.3 13.6 10.2 16.0 42.0
Chemical eng 84.2 10.8 5.0 28.0 44.5
Civil engineering 96.5 2.5 1.0 10.0 40.0
Electrical eng 80.7 11.3 8.0 19.8 42.0
Elect/Comp eng 77.7 13.4 8.9 25.9 41.0
Mechanical eng 85.4 8.1 6.5 11.7 42.5
Mining engineering 96.6 3.4 0.0 10.1 57.0
Other engineering 85.8 8.2 6.1 18.0 40.1
Surveying 93.0 3.5 3.5 9.8 37.5
Dentistry 97.0 1.5 1.5 2.7 60.0
Health, other 79.3 6.3 14.4 29.1 38.7
Nursing, initial 95.9 0.6 3.5 6.2 37.0
Nursing, post-initial 95.9 0.7 3.3 7.4 37.2
Pharmacy** 99.1 0.0 0.9 15.3 29.0
Medicine 98.3 0.3 1.5 11.4 45.3
Rehabilitation 91.0 2.1 6.8 15.5 40.0
Law 87.4 5.8 6.8 21.6 40.0
Law, other 85.6 6.2 8.1 20.3 33.5
Computer science 70.5 14.9 14.6 22.6 38.0
Life sciences 69.0 10.8 20.2 47.3 36.0
Mathematics 64.4 18.2 17.3 45.3 40.0
Chemistry 78.7 10.1 11.1 50.6 37.0
Physics 69.0 10.1 20.9 54.7 38.0
Geology 79.3 12.9 7.9 43.7 40.0
Veterinary science 98.0 0.0 2.0 8.1 36.0

Bachelor degree graduates: employment, further study and starting

salaries (%), 2004
Source: Graduate Careers Council of Australia, www.graduatecareers.edu.au
* Base figure is group in full-time employment. ** Pre-registration

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Appendix 2
Sample job advertisements

Product Control Manager, Singapore

• Global Investment Bank • Exceptional Offshore Opportunities
About Our Client
As a leading global investment bank, our client has the vision, product range and
international network to stand amongst the elite operators within global banking.
Job Description
If you are someone who likes to keep up with the latest in financial markets and relishes
the challenge of understanding financial products, then this is an exciting opportunity for
you to join a dynamic and expanding team.
You will provide daily P&L reporting and support to domestic and overseas Financial
trading desks, and understand and control the business from Front to Back, ensuring
the accuracy and integrity of corporate data. Involvement in month end procedures
will be key and as part of a dedicated team you will contribute to the continuous
improvement of business processes.
The Successful Candidate
You will have an accounting or finance qualification and proven Investment Banking
experience preferably within a comparable control environment or from a top tier
Chartered firm.

Senior Analyst – Funds

Management
• Work with an exceptionally talented team
• Be part of a growing organisation
This financial services firm specialises in providing value-added information
and financial investment tools in a timely and easily-accessible manner
to the Australian investment community. Services include equities and
managed funds research, general market and economic summaries,
specialised reports, model portfolios and portfolio management.
They seek a senior analyst to perform qualitative and quantitative research
on fund managers and managed investment products. The role also
requires statistical analysis of fund and portfolio returns and participation in
the continuing development of investment tools.
To be successful in this role you will possess strong analytical skills,
including the ability to critically analyse an investment team and process
across a range of asset classes.
Excellent remuneration will be negotiated with the right candidate.

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Director
Investment Banking
Equity Capital Markets, M&A, Advisory & Transactional focus
Investment Banking
A global investment banking group, specialising in Equity Capital Markets, M&A,
advisory and transactional related activities wishes to recruit a first-class investment
banking professional at Associate Director level to their team in Hong Kong.
We seek an Investment Banker with 3 to 4 years experience who is immediately
capable of transacting business and project leading transactions. The sucessful
candidate will be an energetic, positive and enthusiastic person who has a strong
mix of deal origination, client relationship management, deal execution, and valuation
and financial modeling skills. This position offers a broad spectrum of transactions
across a number of industry sectors as well as exposure to high-profile transactions.
This is a unique opportunity for a highly motivated and committed investment
banker ideally with exposure in the Asian, UK or USA markets who can
demonstrate transactional, originating and analytical skills who wishes to progress
to director level. For further details please email investment.bank@yourjob.com.

Corporate Finance
Leading Boutique Advisory
Excellent work/life balance • Sydney & Melbourne
This leading corporate advisory group provides a range of specialised
accounting, corporate finance, real estate and management advisory services.
Corporate Finance mandates include Strategy, Equity Raisings, M&A, Divestments,
Succession Planning, Financial Restructuring and Valuations & Expert Opinions.
This is a newly-created position due to the recent appointment of a new director
and an increase in the mandates this boutique advisory firm is working on.
Working closely with directors and key stakeholders, you will be exposed to
transactional activities ranging from $10M up to and over $500M.
Ideally, the successful candidate will have worked with either a top- or second-
tier consulting firm within investment banking or at a law firm. You will be highly
numerate and have had significant financial modelling experience. You will have
financial acumen and an understanding of a P&L and balance sheet will be
paramount to your success.
This boutique advisory is employee aware and recognises the value of work/life
balance while working with some of Australia’s leading players in corporate finance.
Attractive salary package + excellent bonuses are offered to the successful
candidate.

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Appendix 3
Sample résumé

PERSONAL DETAILS:

Name: Amanda Shannon Bolger

Date of Birth: 22nd January 1972

Address: 16 Redtree Street
Stanhelm VIC 3000

EDUCATION:

Post Grad: University of Melbourne

Master of Business Administration
Completed 1997

Tertiary: Royal Melbourne Institute of Technology (RMIT)

Bachelor of Business (Economics and Finance)
Completed June 1994

Secondary: Greenville Girls High

Completed VCE Nov 1990

EMPLOYMENT HISTORY:

Program Sales Trader, Arnold and Sons, Melbourne

July 2000 – January 2005

Responsibilities:
• Management of two funds, tracking and adjusting the benchmark and re-optimising
when necessary.
• Sales & Trading for large ticket Portfolio Trades and Transition Management Trades.
• Salesperson of Principal & Agent Programs for customers, and trading these on the
worldwide exchanges.
• Presentations to market the business, develop client relationships and expand the
client base.
• Market making in Derivative instruments such as Program Trades, Transition
Management Trades, ETF’s, EFP’s, Warrants and OTC’s.
• Optimisation of Portfolios benchmarks and reducing tracking using Barra.
• Calculation of baskets to identify arbitrage openings.
• Manipulation of spreadsheets to detect index change opportunities.
• Adaptation technology to meet internal and external clients’ needs.
• Identification and utilization of cross-selling opportunities.
• Intensive co-ordination of risk management and open positions across regions.
• Development and utilisation of Pre-Trade, Post-Trade and Transaction Cost Analysis.

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Senior Trader, Goldsteins Global, Sydney

March 1994 – March 1999

Responsibilities:
• Advising Salespeople, Traders and clients on current market activity and arbitrage
opportunities.
• Placing and executing orders to trade shares on behalf of Institutional Clients on the
Australian Stock Exchange.
• Executing Program Trades as Principal.
• Placing orders for execution on the Sydney Futures exchange.
• Placement of orders for international exchanges on behalf of clients.
• Advising Private Banking services on transactions.
• Trade reporting of completed transactions to the relevant exchanges and clients.
• Management of positions in markets for clients and also for firm accounts

PROFESSIONAL QUALIFICATIONS:

• NASD registration (US licence) for Series 7 and Series 3 – ability to give advice and
trade on behalf of Arnold and Sons in Equity and Derivative instruments on
exchanges worldwide.
• SFA licence (UK licence) to deal in Equity and Derivative instruments.

COMPUTER SKILLS:

• Windows applications – Microsoft Word, Excel

• General market applications ie Reuters, Bloomberg
• Solaris Program Trading Applications

INTERESTS:

• Travel – have spent extended periods of time travelling throughout the United Kingdom
and Ireland, Western Europe, Eastern Europe and North America.
• Live music and theatre.
• Actively pursuing sport interest, particularly skiing, Tennis, Squash.

REFEREES:

Available on request.

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Appendix 4
Sample cover letter

Your name
Address
City State Postcode
Telephone: XX XXXX XXXX
Mobile: XXXX XXX XXX
Email: xxxxx@xxxxxxxxxxxxxx

Name of person
Position at firm
Name of firm
Address
City State Postcode

Date

Dear (name)

Re: Investment analyst position, Ref. No. xx/9999

I am interested in applying for the investment analyst position advertised on the

SEEK website. (Always refer to the specific position)
I have recently completed a Graduate Diploma of Applied Finance and Investment
from the Securities Institute of Australia and am looking to further my career as an
analyst in the investment sector. With my passion for property, I see this position
as a great opportunity for my professional development and believe I would be
a valuable asset to the company. (A little information about yourself and your
objective – not lengthy)
I have highly developed spreadsheeting and analytical skills. I have produced a
number of budgeting and forecasting programs, and repayment spreadsheets
for my current employer. I have also collated and analysed market data with
information received from the Australian Bureau of Statistics to provide market-
based growth information, and recently received an award for my analytical
strengths. In addition, I have provided Access-based programs for tracking new
product development. (Answer all the requirements as per the advertisement and
give tangible evidence, where possible that you have fulfilled these requirements)
I would welcome the opportunity for an interview to further discuss my suitability for
this position. (A polite close)

Yours sincerely,

Your Name

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Appendix 5
Different types of interviews

Behavioural interviews
Behavioural interviewing is becoming an increasingly popular
interview technique. It’s based on the assumption that past behaviour
is the best predictor of future behaviour. The employer has identified
what skills and qualities it is looking for in an employee, and by asking
you very detailed questions about how you reacted in past situations,
can assess whether you possess these qualities. The process also
allows the recruiter to assess how you act under pressure and your
oral communication skills.

Because of the level of detail required, it is very hard to lie

convincingly when answering behaviour-based questions. So
preparing for this is a good idea. However, even if this technique isn’t
used in your interview, preparing for it will help you perform well in
any interview situation.

Find out as much as you can about the skills and qualities the
employer seems to be seeking – look at the job advertisement, the
position description and on the website. Tap your memory for stories
that illustrate your skills and successes. Think back over your time
at uni, work experiences, extracurricular activities and personal life
experiences to identify times that you have demonstrated the skill and
qualities the employer is looking for.

The types of questions you could face could focus on how you met
a certain goal or how you handled a difficult situation. They usually
begin with: “Tell me about a time when...” or “Can you a describe a
situation where...” In your answer you must discuss a situation in
which you demonstrated the skills the interviewers are referring to.
Some examples include:

■ describe a situation in which you were able to use persuasion to

successfully convince someone to see things your way

■ give me an example of a time when you set a goal and were able to
meet or achieve it

■ tell me about a time when you had too many things to do and you
were required to prioritise your tasks

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■ give me an example of when you showed initiative and took

the lead

■ tell me about a time where you have exceeded someone’s

expectations

■ think of a time when you have needed to motivate someone in a

team – what did you do?

■ think of a time when you were placed in a difficult situation

– what steps did you take to overcome your problem?

■ give me an example of a stressful situation you dealt with that

demonstrates your coping skills

■ describe a time when you had to deal with a difficult co-worker or

customer

■ tell me a time when you failed and the lesson you learnt from
the experience.

Always listen to the question carefully. Then describe:

■ what the situation entailed

■ what you did

■ the outcome.

Panel interviews
Some investment banks and government departments conduct panel
interviews to speed up the selection process. Panel interviews enable
various people to meet the candidate at once. They also promote
balanced and objective assessments because they don’t rely on the
judgment of an individual interviewer.

A panel interview may consist of anything from two to six interviewers,

and can be an intimidating experience because it can appear to be
rather formal. Interviewers may take turns to ask you questions, or
one may do most of the talking. The questions asked are usually
prepared questions, and the same questions are asked of the other
candidates, ensuring all applicants have an equal opportunity to
present themselves. At the end of the interview you will be given a
chance to ask your own questions.

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Some tips for panel interviews:

■ be confident

■ greet each interviewer with a firm handshake

■ start and finish your eye contact with the person who asked
the question

■ try to look at everybody present at some point during your

interview

■ take time to answer the questions – if unsure of the question

always ask for clarification

■ prepare for a panel interview in the same way you would for
any interview.

Group Interviews
Group interviews enable an organisation to see a large number of
candidates in a relatively short period of time. They also help to
assess qualities that may not be so apparent in traditional interviews.

Candidates are brought together to discuss a particular topic, and

work together on a task to provide a solution in a business-like
environment. From this, recruiters hope to assess certain qualities
of the applicants such as communication skills, problem solving,
leadership, management skills and ability to work as part of a team.

Some tips for group interviews:

■ be active and always contribute to the task at hand

■ be seen to be participating

■ contribute to the discussion

■ concentrate on finding the best ways to achieve the set tasks

■ consider your position before contributing

■ listen to and support others

■ show courtesy and tact

■ remain composed

■ keep a focus on the goal and on time limits.

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Psychometric tests
Most investment banks will put potential candidates through
psychometric testing. These tests are used in conjunction with other
hiring tools, including interview performance and feedback and
reference checks. This means that these tests will not be the sole tool
used to make a decision about whether or not to hire you.

Put simply, psychometric tests are one objective measure used by

potential employers to assess the job role potential of individuals. The
two main ways which employers generally choose to use psychometrics
are for ability/aptitude testing and personality questionnaires.

Some investment banks will test you in-house. Others will send you to a
specialist firm to take the test. On-line testing is also an emerging trend.

There is no way to study for these tests. However, to succeed, you

need to read the questions very carefully and to answer them as
quickly and accurately as you can. Make sure that you are relaxed and
before you begin the test, ensure that you have all the resources you
need and will not be disturbed.

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