MIT Sloan Business Club

Underground Guide Finance

MIT SBC Finance Underground Guide

Introduction to Sloan Business Club

The Sloan Business Club (SBC) was founded on the belief that while MIT provides its students with an excellent academic and intellectual foundation, the successful business person requires opportunities and skills that cannot be bestowed in any classroom setting. Through our extensive selection of events, our organization works to provide our 1,600+ members with both an expansive business network and a solid mentorship base, enabling students to fully utilize their academic backgrounds in launching strong businesses. SBC is structured into four industry specific focus groups allowing the organization to effectively represent the spectrum of different opportunities available in business. The four focus groups are consulting, entrepreneurship, engineering leadership, and finance. With its industry specific focus, each group hosts unique events and programs to allow students to learn and connect to opportunities in that area. Unifying all the focus group is the underlying mission of educating MIT students about wide range of possibilities in business.

MIT SBC Finance Underground Guide

Basic Overview of Finance

Finance is the application of economic principles and concepts to business decision-making and problem solving. It is the science that describes the management of money, banking, credit, investments, and assets. The field of finance can be considered to comprise three broad categories: financial markets and instruments, financial management, and investment management. The field of financial markets and instruments deals with the role of financial markets in an economy, the structure and organizations of financial markets, the efficiency of markets, the role of the various players in financial markets (i.e., governments, regulators, financial institutions, investment banks, and securities firms, and institutional and retail investors), and the determinants of asset pricing and interest rates. Financial management, sometimes referred to as business finance, is the specialized field in finance that is concerned primarily with financial decision-making within a business entity and encompasses many different types of decisions. We can classify financial management decisions into two groups: investment decisions and financing decisions. Investment decisions are concerned with the used of fundsthe buying, holding, or selling of all types of assets. Decisions involving inventory and receivables are called working capital decisions and those involving long-term assets are called capital budgeting decisions. Financing decisions are concerned with the acquisition of funds to be used for investing and financing day-to-day operations. This involves the selection of the firms capital structurethe combination of equity and debt used to finance the firm. The financing decision also involves dividend division, the determination of how much of the companys earnings to retain and how much to distribute to shareholders in the form of dividends. The core of financing decision rests on two specific factors: expected return and risk. Expected return is the difference between potential benefits and potential costs. Risk is the degree of uncertainty associated with the expected returns. Investment management is the area of finance that focuses on the management of portfolios of assets for institutional investors and individuals. The activities involved in investment management, also referred to as asset management, include working with clients to set investment objectives and an investment policy to accomplish those objectives, the selection a portfolio strategy consistent with the investment objectives and investment policy, and the construction of the specific assets to include in a portfolio based on the policy strategy. Investment management begins with the decision as to how to allocate funds across the major asset classes (e.g., stocks, bonds, real estate, alternative investments). This decision, referred to as the asset allocation decision, requires a thorough understanding of the expected returns and risks associated with investing in a specific asset case.

MIT SBC Finance Underground Guide

The Twenty Most Useful Finance Keywords

Bonds A debt investment in which an investor loans money to an entity that borrows the funds for a defined period of time at a fixed interest rate. Bonds are used by companies, municipalities, states and U.S. and foreign governments to finance a variety of projects and activities. Bonds are commonly referred to as fixed-income securities and are one of the three main asset classes, along with stocks and cash equivalents. Buy Side The side of Wall Street comprising the investing institutions such as mutual funds, pension funds and insurance firms that tend to buy large portions of securities for money-management purposes. The buy side is the opposite of the sell-side entities. Together, the buy side and sell side make up both sides of Wall Street. A buy-side analyst typically works in a non-brokerage firm and provides research and recommendations exclusively for the benefit of the companys own money managers (as opposed to individual investors). Buy-side recommendations are not available to anyone outside the firm. Capital Financial assets or the financial value of assets, such as cash. Chinese Wall The ethical barrier between different divisions of a financial (or other) institution to avoid conflict of interest. A Chinese Wall is said to exist, for example, between the corporate-advisory area and the brokering department of a financial services firm to separate those giving corporate advice on takeovers from those advising clients about buying shares. The "wall" is thrown up to prevent leaks of corporate inside information, which could influence the advice given to clients making investments, and allow staff to take advantage of facts that are not yet known to the general public. Commodities A basic good used in commerce that is interchangeable with other commodities of the same type. Commodities are most often used as inputs in the production of other goods or services. When they are traded on an exchange, commodities must also meet specified minimum standards, also known as a basis grade. Debt An amount of money borrowed by one party from another. Many corporations/individuals use debt as a method for making large purchases that they could not afford under normal circumstances. A debt arrangement gives the borrowing party permission to borrow money under the condition that it is to be paid back at a later date, usually with interest. Derivatives A security whose price is dependent upon or derived from one or more underlying assets. The derivative itself is merely a contract between two or more parties. Its value is determined by fluctuations in the underlying asset. The most common underlying assets include stocks, bonds, commodities, currencies, interest rates, and market indexes. Most derivatives are characterized by high leverage. Common types include: forward contracts, forward contracts, options, and swaps. Derivatives are generally used as an instrument to hedge risk, but can also be used for speculative purposes. Equity (Stock) A type of security signifying an ownership in a corporation and represents a claim on part of the corporations assets and earnings. There are two main types of stock: common and preferred. Common stock usually entitles the owner to vote at shareholders meetings and to receive dividends. Preferred stock

MIT SBC Finance Underground Guide

generally does not have voting rights, but has a higher claim on assets and earnings than the common shares. For example, owners of preferred stock receive dividends before common shareholders and have priority in the event that a company goes bankrupt and is liquidated. Glass-Steagall Act of 1933 An act enacted by Congress during the Great Depression that prohibited commercial banks from collaborating with full-service brokerage firms or participating in investment banking activities. It protected bank depositors from the additional risks associated with security transactions. The act was dismantled in 1999. Gramm-Leach-Bliley Act of 1999 A regulation that attempts to update and modernize the financial industry. The main function of the Act was to repeal the Glass-Steagall Act that said banks and other financial institutions were not allowed to offer financial services, like investments and insurance-related services, as part of normal operations. Since many regulations have been instituted since the 1930 to protect bank depositors, the GLBA was created to allow the financial industry to offer more services. Institutional Investor A non-bank person or organization that trades securities in large enough share quantities or dollar amounts that they qualify for preferential treatment and lower commissions. Institutional investors face fewer protective regulations because it is assumed that they are more knowledgeable and better able to protect themselves. Examples include pension funds and life insurance companies. Interest Rate The amount changed, expressed as a percentage of principal, by a lender to a borrower for the use of assets. Interest rates are typically noted on an annual basis, known as the annual percentage rate (APR). The assets borrowed could include, cash, consumer goods, large assets, such as a vehicle or building. Interest is essential a rental, or leasing charge to the borrower, for the assets use. When the borrower is a low risk party, they will usually be charged a low interest rate; if the borrower is considered high risk, the interest rate that they are charged will be higher. Leverage The use of various financial instruments or borrowed capital, such as margin, to increase the potential return of an investment. Also represents the amount of debt used to finance a firms assets. A firm with significantly more debt than equity is considered to be highly leveraged. Liquidity The degree to which an asset or security can be bought or sold in the market without affecting the assets price. Liquidity is characterized by a high level of trading activity. Assets that can be easily bought or sold are know as liquid assets. Also known as marketability. Retail Investor Individual investors who buy and sell securities for their personal account, and not for another company or organization. Securization The process through which an issuer creates a financial instrument by combining other financial assets and then marketing different tiers of the repackaged instruments to investors. The process can encompass any type of financial asset and promotes liquidity in the marketplace. A perfect example of securitization is mortgage-backed securities. By combining mortgages into one large pool, the issuer can

MIT SBC Finance Underground Guide

divide the large pool into smaller pieces based on each individual mortgages inherent risk of default and then sell those smaller pieces to investors. This process creates liquidity by enabling smaller investors to purchase shares in a larger asset pool. Security An instrument representing ownership (stocks), a debt agreement (bonds) or the rights to ownership (derivatives). Sell Side The retail brokers and research departments that sell securities and make recommendations for brokerage firms customers. This is the opposite of the buy-side entities. Underwriting The process by which investment bankers raise investment capital from investors on behalf of corporations and governments that are issuing securities (both equity and debt) by issuing insurance policies. Valuation The process of determining the current worth of an asset or company. There are many techniques that can be used to determine value; an analyst valuing a company may look at the companys management, the composition of its capital structure, prospect of future earnings, and market value of assets.

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Nuts and Bolts of Investment Banking

Investment banks are financial institutions that can provide a wide array of different services to clients ranging from private corporations to the government. Much of their role is advisory, and can be split into buy-side and sell-side components. Firms can range in size, the variety of services provided, and the line of business they comprise. General organization of a large investment bank would be division into coverage groups, product groups, and at times a financing group.

Roles of an Investment Banker

Based on the structure of most investment banks, an individual investment banker may take on one of a variety of different responsibilities relevant to serving the firms corporate clients. These are explored in further detail in the following section: Advisory o Provide ideas to develop structured products for clients o Advise on areas such as ratings to business/management strategies o Help enhance value by influencing financing and strategic decisions Mergers & Acquisitions o Another form of advisory services provided by bank o Deals specifically with M&A o Compile pitch book to market to potential M&A clients o Negotiate transactions and provide strategic advice from perspective of buyer or seller Raising Capital o Provide advice on sources to raise funds o Underwrite issuance of debt and equity instruments o Perform role of underwriter for companies undergoing IPO o Approach investors to sell common stock of company

MIT SBC Finance Underground Guide

Major Players in the Industry

Bulge Bracket Banks these are largest and most profitable investment banks in the industry. Each provides a vast variety of services, including investment banking, financial advisory, sales, trading and research on financial products. These firms all have a global presence, with offices spread throughout the Americas, EMEA, and Asia.

Barclays Capital is a UK-based global investment bank. With over 25,000 employees, it provides services such as financing and risk management to various private and government institutions. The investment bank is divided into the Corporate Finance, Global Finance and Risk Solutions, Mergers and Acquisitions, and Restructuring groups. Bank of America Merrill Lynch is the investment banking division of Bank of America, formed after the acquisition of Merrill Lynch in January 2009. It assists its clients through a number of different services, including: mergers and acquisitions, equity and debt capital markets, risk management, trading, liquidity management, etc. Citigroup is one of the worlds largest financial services companies, employing around 260,000 people globally. Citi provides solutions and advisory services in mergers and acquisitions and raising capital through activities such as divestitures, financial restructurings, or derivative securities. Credit Suisses Investment Banking division, headquartered in Switzerland, provides Advisory Services in M&A, Equity and Debt Capital Markets, Foreign Exchange Capital Markets, Private Placement, and Leveraged Finance among others. Deutsche Banks UK-based Corporate and Investment Bank (CIB) encompass their Global Markets and Global Banking divisions. In the past five years, the M&A practice under Global Banking has expanded rapidly. Its global capital markets business holds strong presence in Europe in the IPO, equity, debt, and high-yield markets. Goldman Sachs investment banking division is divided into the Financial Advisory and Underwriting divisions. Under Financial Advisory, the bank provides services regarding M&A, investitures, corporate defense, restructuring, and spin-offs. The Underwriting division deals with public offerings and private placements of equity as well as equity and debt instruments.

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Investment Banking makes up one of six business segments of JPMorgan Chase with a client base of almost 20,000. The five main components of J.P. Morgan are M&A, Industry Coverage (divided into groups including but not limited to Financial Institutions & Governments, Healthcare, and Natural Resources), Social Finance, Origination, and Corporate Finance Advisory. Morgan Stanley is one of the last remaining major investment banks in the U.S. It touts its main advantage as extensive industry and regional coverage. It also offers products from its M&A, Global Capital Markets, and Securitized Products Groups, and has a significant presence in global real estate. UBS Investment Bank, part of Switzerland-based UBS AG, employs 15,000 people worldwide who provide advisory and underwriting services to a variety of clients. The Investment Banking Department deals with M&A, restructuring, equity and high yield debt offerings, leveraged finance, and private placement among others.

Independent Banks These investment banks are notable for M&A advisory roles and securities underwriting, but not affiliated with large commercial banks.

Boutique Banks These are smaller and more specialized investment banks that may focus on certain types of investment banking, a specific industry, or specialized transactions. Banks classified as such typically work on deals of under $1 billion and assist the sell-side.

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Interview Preparation
To land an internship in investment banking, there are a few different types of interviews you may go through. In some cases, you will have a short, preliminary phone interview with the purpose of screening candidates before moving on to in-person interviews. Typically, a first-round on-campus interview will last between 30 to 45 minutes. While you may be asked the occasional technical questions, the bulk of your interview will consist of behavioral and fit questions. You will have a chance to walk through your experiences and highlight anything that may not be obvious from your resume or cover letter to make your case. The last 5-10 minutes will be open to any questions that you may have. Once you move on to the next round, you will be interviewing as part of a super-day, where you will have several rounds of interviews with different employees of the firm. Here, you will receive both fit and technical questions of varying difficulty. Tips for Interviews First impressions are key, so dress appropriately in professional, formal business attire. It is better to overdress than underdress, but please, no cufflinks or crazy color combinations. If there are multiple interviewers, be sure to distribute equal attention and eye contact in the conversation to both. Speak clearly and confidently dont rush your answers. When the interviewer asks you to walk him through your resume, be brief. Touch on the most important and key points. Breaking into Wall Street states that you should: 1. Be chronological. 2. Show how each experience led you in the direction of finance. 3. State why youre interviewing today. 4. Aim for 2-3 minutes. Do research beforehand about the firm what makes the firm stand out to you? You should also know the position you are interviewing for so you can speak to your motivations for applying. Know the name of the CEO, the stock price, and any recent transactions involving the firm. Keep up to date on current news to help demonstrate knowledge and interest in finance/banking. Be able to speak in detail about your past experiences and use specific anecdotes to support your answers. Structure your answers. J.P. Morgans website mentions the Problem-Actions-Results approach to highlight your problem-solving skills. Reiterate the problem, speak about your actions, then clearly show what resulted directly from your actions. Prepare some questions to ask your interviewers to show your interest. These can be about your specific position or the interviewers own experience and background. Ask for a business card and follow up after the interview to thank your interviewers for their time and request feedback.

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What are these banks looking for in your answers? Morgan Stanley: We are interested in testing your interpersonal skills, motivation, career aspirations, company fit and leadership. Goldman Sachs: A passion for excellenceBelief in the power of the groupIntegrityLeadershipA desire to be challengedThe drive to make your mark on the world. J.P. Morgan: Be ready to articulate why you want to work in that program and more specifically, why this particular position at J.P. Morgan. What do you bring to the mix? ...Most of our interviews are competencybased, so be prepared to think on your feet.

Sample Questions Fit Why investment banking? How do your past experiences lead to interest in this industry? What about this firm and its culture appeals to you? What was the most interesting thing you took away from your past work experience? How would your last supervisor describe you? Describe a time where you demonstrated leadership and/or work in a team. What would you consider to be your greatest accomplishment/failure? What did you learn from the experience? How would you do things differently? Give an example of a time you had a conflict with a superior. How did you approach this problem? How did you resolve this conflict? What do you consider your greatest strengths/weaknesses? How have you tried to overcome your weakness? Tell me about something interesting about yourself that is not on your resume. Where do you see yourself in 5 years? 10 years? What are your long-term goals? What do you do in your spare time? Describe an incident where you had to deal with an ethical dilemma.

Technical What are the primary methods you use to value a company? How do you calculate a discounted cash flow?

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What discount rate should you use for a DCF analysis? How does this event (i.e. depreciation expense) impact the three financial statements?

Recommended Classes 15.401: Course Description: Core theory of modern financial economics and financial management, concentrating on capital markets and investments. Topics include functions of capital markets and financial intermediaries, asset valuation, fixed income securities, common stocks, capital budgeting, diversification and portfolio selection, equilibrium pricing of risky assets, the theory of efficient markets, and an introduction to derivatives. 15.402: Course Description: Continuation of 15.401, concentrating on corporate financial management. Topics include capital budgeting, investment decisions and valuation; working capital management, security issues; dividend policy; optimal capital structure; and real options analysis. 15.501: Course Description: Preparation and analysis of financial statements. Focuses on why financial statements take the form they do, and how they can be used in evaluating corporate performance and solvency and in valuation of corporate securities. Introduces concepts from finance and economics (e.g., cash flow discounting and valuation) and explains their relation to, and use in, accounting. Students taking the graduate version complete additional assignments. Permission of Sloan Educational Services required for all crossregistrants.

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Interviews
J.P. Morgan Summer Intern What are the upsides to working at J.P. Morgan? Its a prestigious bank with a great company culture that emphasizes teamwork and respect. Furthermore, because of the size of the company, theres a lot of lateral mobility. I know analyst level individuals who have moved within the investment bank (capital markets to coverage) and who have moved out of the investment bank (coverage to private wealth management) and have received support during these transitions. What are the potential downsides of working at J.P. Morgan? No matter where you work, investment banking will be difficult. 80 to 100 hours at J.P. Morgan will be just as long as eighty to a hundred hours anywhere else. Why did you choose to go into investment banking and work for J.P. Morgan? I chose to go into banking because when I was a freshman, I looked up the seniors who went into banking. I could see myself in their shoes. When I interned at J.P. Morgan, the work was interesting and engaging. It was a challenging, exciting, and fast-paced environment. People were really interested in what they were doing. I liked learning about individual companies while developing an understanding of the sector and industry the company operates in. I chose to return to J.P. Morgan as a full-time employee because of the people there. The MIT network is really strong. The atmosphere is collegiate and welcoming. Ill be working 80 to 100 hours, so I need to not only respect my coworkers, but also be able to be their friend. What do you think sets your company apart from other investment banks? I personally chose J.P. Morgan because of its culture. I had always heard that the atmosphere at J.P. Morgan was suppose to be more collegiate and friendly than other banks, but I had always wondered why this was the case. The way that one MIT graduate explained it was that J.P. Morgan is a huge firm with an investment banking branch. Its not just an investment bank. As a result the cultures from the other divisions within in company influence the culture in the investment bank making it a little less intense and a little more laid back. However, despite this, it still manages to be a top player in the industry. What was your approximate pay for a summer internship, including all stipends and bonuses? The pre-tax pay, including a living stipend, was approximately or a little less than $13,000. I was not paid for overtime. Please discuss the working environment. I worked in the Technology, Media & Telecom (TMT) group this summer. TMT covered the entire floor of a building. All analysts and associates work in the bull pen, which is essentially filled with

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cubicles. As interns, we all got desks and some of them were in the bull pen. We spent the entire time in office unless we worked on a live deal. In that case, the intern worked with a client or went on a road-show. One of the interns I knew went on a two week road-show for an initial public offering. The intern sponsor initially assigned us to one to three different projects, depending on how much work each project required. On a typical project, there was an analyst, probably an associate, and either a vice president, executive director, or managing director. The size of the team varied. I worked on a total of five projects during the summer. On some projects, I worked closely with an analyst. On another project, I worked directly with the managing director. As a team, most of the interns and analysts ordered dinner around the same time and ate together in a conference room. We also had a couple intern outings over the summer (karaoke, Dave and Busters, Slate, etc) and a couple team outings (bowling, various activities at a country club, etc). What kinds of hours did you work? In an average week, I worked 80 to 100 hours. I worked five to seven days a week depending on what the project demanded. Half of the time, I had the entire weekend off. A couple weekends, I only worked a few hours on Sunday. During my worst week, I worked 126 hours. My schedule depended on how many projects I worked on and how intense the projects were. What kind of mentorship was provided? I was assigned a senior mentor, who was a managing director. They usually try to pair you with an MIT alum who is either a vice president, executive director, or managing director. My senior mentor was a female managing director in Syndicated and Leveraged Finance. She called me before work started to make sure I didnt have any questions. We grabbed coffee and lunch a few times over the course of the summer. Furthermore, there were some specific events for the senior mentors and interns. The head of the MIT recruiting team reached out to me as well. One of the three summer analyst program sponsors reached out. I had a junior mentor who was an analyst in my group who answered my more day-to-day questions and helped me resolve more team related problems. I also had an MIT junior mentor who was a recent graduate from MIT. She checked in multiple times throughout the summer and provided a lot of practical advice that I dont think I would have gotten otherwise. We also an intern sponsor in TMT who assigned me to project teams and organized performance reviews. Finally, there is also a lot of informal mentorship at the office. I ended up getting coffee with a lot of different people. There is definitely help available if you seek it. What were some of the projects that you worked on? I worked on five merger and acquisition pitches over the course of the summer. One was in telecom, one was in media, and three were in technology. The typical intern works on a mix of deals and pitches.

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What skills did you develop while working at your company? J.P. Morgan provides training during the first week of the internship. After that, analysts and associates from my team provided group-specific training. I became very good at Microsoft Excel and PowerPoint by the end of the summer. I also learned a little about the various industries my projects were in.

How much interaction did you have with clients? I personally had no interaction with clients. Interns like me, who were on pitches, had limited interaction with clients. Interns who were staffed on deals often had the opportunity to participate in road-shows or sit in on client meetings.

What are the keys to getting hired at J.P. Morgan? There is not set path to getting hired at J.P. Morgan. I think its important to show interest in both the financial industry and J.P. Morgan. I recommend going to networking sessions and actually talking to the employees. You should know what investment banking is and know what youre getting yourself into. You need to be able to learn quickly they dont expect you to know everything, but if they teach you something, they should only have to teach you once. Its important to be detail-oriented, since you should not be making mistakes. This gets difficult at two in the morning. Finally, everyone wants to work with people that they like or can get along with, so fit matters.

What is the procedure and timeline for full-time offers at your company? How many interns were offered full-time positions? J.P. Morgan has not traditionally done full time recruiting at MIT. This past summer, every summer analyst from MIT received a full-time offer. In the Technology, Media & Telecom group, only one intern did not receive a full time offer and he was given a warning that he wasnt performing well. As long as you work hard, you should be able to receive a full-time offer.

Morgan Stanley Summer Intern What are the upsides to working at Morgan Stanley? One of the biggest upsides of working at Morgan Stanley is being able to work with the best and brightest people in finance. I was lucky enough to work with some of the biggest names in the industry and interact with them on a daily basis. You cant put a price tag what I learned just sitting with my managing director and listening to him. The other upside is being able to get pretty much any job you want in finance after a two year analyst shift. What are the potential downsides of working at Morgan Stanley? I think the only downside to working at any investment bank is the hours. As an analyst, you can sometimes work up to 110 hours a week. The norm is more like 75 to 80 hours, and youd never have to do multiple 110 hour weeks in a month unless you got tasked on a bunch of different projects at once.

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Why did you choose to work for Morgan Stanley? I chose to work at Morgan Stanley because, one, they were nice enough to give me an offer, and two, they have some of the best groups on the Street.

What was your approximate pay for a summer internship, including all stipends and bonuses? As a sophomore, I received a $2000 bonus to start the summer and then paid around $1000 a week. Juniors got the bonus plus $1500 a week. Additionally, I got $30 for dinner every day and $500 for transportation to and from New York City.

Please discuss the working environment. All the interns had cubicles together. The walls were low so we could see pretty much everyone at once. There was a lot of camaraderie between the interns and between the analysts. The groups I worked in also had a big family dynamic, with the older, senior people taking care of and going to bat for the younger guys.

What kinds of hours did you work? I worked anywhere from 60 to 110 hours a week.

What kind of mentorship was provided? I was provided with two advisors: one in my group and one outside of it. We got together every week for lunch. They provided a lot of advice about the offer process and working in investment banking in general.

What were some of the projects that you worked on? I got to work on a bunch of different, cool projects. My group worked on the Tesla initial public offering, the General Motors initial public offering, and many others.

What skills did you develop while working at Morgan Stanley? I learned an incredible amount about valuing companies. There were many intricacies, but I loved learning every bit of it. I also got partially on my way to being an Excel wizard.

How much interaction did you have with clients? I only had a little interaction with clients, both over the phone and in person. As you progress through the ranks, you get more and more client focused.

What are the keys to getting hired at Morgan Stanley? I would say the number one thing recruiters at Morgan Stanley look for is fit. I loved going to work because I got along with everyone I worked with and we had a lot of fun outside of the office. Going into interviews and being able to show that youre a real person who is fun to hang out with will go a long way. Anybody can do Excel, but not everyone can do it 110 hours a week and not be terrible to talk to.

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What is the procedure and timeline for full-time offers at Morgan Stanley? How many interns were offered full-time positions? For the summer analysts, we found out about offers the day after our last day of work. For nonsummer analysts, full time recruiting goes on in the fall. In my group, all but two interns received offers to return. Morgan Stanley does not have quotasthey will give offers to every person who works hard enough to deserve one.

Morgan Stanley Full-Time Analyst What are the upsides to working at Morgan Stanley? At Morgan Stanley, you get first hand exposure to deals, such as massive mergers, that change an industry. The projects are very execution driven and you see the product of the work that you do. You interact with C-level executives, so you have good access for someone who has just graduated college. You also build a strong core skill set in modeling, understanding financial statements, accounting, and valuation techniques. What are the potential downsides of working at Morgan Stanley? Everyone knows that the hours are tough. The hours come with any junior position in which you are working on important deals. You have a timeline to meet and you are working for the client. When you work on live transactions, the work is interesting and the time goes by much faster than it would if you were doing a boring 9 to 5 day job. Why did you choose to work for Morgan Stanley? It came down to the people I met during the interview process. I really like the personality and culture of the company. The people are very collegial. They help you improve without unnecessary competitiveness within the firm. Morgan Stanley is a top investment bank, and is ranked number one in Mergers and Acquisitions and Equity. Its a great place to work and gives you access to better deal flow. What do you think sets Morgan Stanley apart from other investment banks? I touched upon this in earlier questions. Its a top-quality firm in terms of the reputation and the people, without being cutthroat. What was the approximate pay for a summer internship, including all stipends and bonuses? For interns last year, the base salary was $70,000, which is about $13,500 for the entire internship. They also got paid overtime and received a housing stipend. Please discuss the working environment. The working environment is very team-focused. On any given project, I work with an associate, potentially a vice president or executive director, and a managing director. The atmosphere is very

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deal-driven and fast-paced. If theres a deal launching in 24 hours, everyone is there working on it. Every day I go into work having a sense of what to expect, but anything could come up. In that sense, the work is exciting. What kinds of hours did you work? It varies considerably. If I dont have work to do, then I dont have to wait around for face time (waiting in the office until late at night so senior bankers can see you working hard). If I do have work to do, then Im expected to work very hard. My first year as an analyst, I worked 60 to 100 hours a week. There were definitely worse weeks than others. A good portion of the weeks were very manageable. As a summer intern, youll be treated like a new analyst. You have the same responsibilities as an analyst, so youll work the same hours. What kind of mentorship was provided? During the summer internship, I had a mentor who was an older analyst in a different group. There were social events throughout the summer with the interns and the mentors. There was also a womens dinner, where I met senior women in the firm and heard about their experiences. In my group, I had a mentor, who was an analyst. We met throughout the summer to discuss my progress and what I hoped to get out of the internship. For full-time positions, there are mentorship programs in the beginning, during training. Since Ive started working, Ive found my own mentors. I have worked with many people, including analysts, associates, and managing directors from different coverage groups and capital markets. I have had the opportunity to make connections and build my network. What were some of the projects that you worked on? I work in the technology group of investment banking. Ive worked on a variety of deals: the buy side and sell side of merger and acquisitions, initial public offerings, and debt financing. Within 3 months of working full-time, I worked Dells acquisition of Perot Systems. That was really exciting because Dell is very recognizable in the technology space. The deal was fast-paced and worth about $4 billion. Within 9 months of working full-time, I went on an initial public offering road show. A road show is when you take the management team of a company that is going public around to investors. I flew with the CEO and CFO of the company in a private jet around the U.S. and Europe. What skills did you develop while working at Morgan Stanley? In terms of hard skills, Ive learned technical and modeling skills. I wasnt a finance major or minor. So, Ive received good training in order to understand accounting, valuation of a company, and basic business roles. These skills are transferrable to future jobs that Im interested in. In terms of soft skills, Ive learned to interact in professional settings. For example, during the road show that I mentioned earlier, I interacted with the CEO and CFO of the company. Ive built a good work ethic and am able to focus on and handle multiple projects at the same time. Coming from MIT, you have a strong work ethic, but its different since you arent in an office the entire time. My job has provided good training to do well in a business environment.

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How much interaction did you have with clients? Even at the analyst level, I have very good exposure to clients. On a live deal, like an initial public offering, you really get to interact with management. Thats rare for someone coming out of college. During my first year as an analyst, I did a two week road show, attended several client meetings, and went to several closing dinners. I also did due diligence, which is going to the company or site to see the physical product that youre working with. As an intern, I attended a client meeting in Boston. Last year, an intern got to go on a road show since the opportunity came up. We were short-staffed since analysts were working on other deals. As an intern, you will definitely get client exposure if it makes sense.

What are the keys to getting hired at Morgan Stanley? You have to show interest in financial services and business as a whole. You should be well-rounded and demonstrate that you can handle a good workload. You have to perform well under pressure. There definitely isnt a specific mold, but you should show interest and have good academic standing. For investment banking in particular, you should carry yourself well and interact well with others.

What is the procedure and timeline for full-time offers at your company? How many interns were offered full-time positions? After my summer internship, everyone from MIT got full-time offers. That speaks well for Morgan Stanley and for MIT. The people from MIT tend to be very top-notch. Morgan Stanley doesnt over hire an intern class. As an intern, there is a full-time spot for you if you prove that you can do a good job. MIT has had a very high success rate of summer interns receiving full-time offers. Summer internships are increasingly important for getting full-time offers. We obviously do full-time recruiting, but the focus is on summer recruiting.

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Nuts and Bolts of Sales and Trading

[Karans Part]

Major Players
Goldman Sachs Sales and trading in Goldman Sachs takes place in the Securities Division, which is composed of Fixed Income, Currency and Commodities (FICC) and Equities. Their trading revenues are generated in three ways: Carry out a high volume of transactions for modest spreads and fees in large, highly liquid markets Undertake transactions in less liquid markets where spreads and fees are generally larger. Structure and execute transactions that address complex client needs

Divisions 1. FICC The FICC division makes markets and trades interest rate and credit products, mortgage-related securities and loan products and other asset-backed instruments, currencies and commodities, structure and enters into a wide variety of derivative transactions, and engages in proprietary trading and investing. It has five principal businesses: commodities; credit products, currencies, interest rate products, including money market instruments, and mortgage-related securities and loan products and other asset-backed instruments. 2. Equities The Equities division makes markets and trades equities and equity-related products, structures and enters into equity derivative transactions, and engages in proprietary trading. It generates commissions from executing and clearing client transactions on major stock, options and futures exchanges worldwide through its Equities client franchise and clearing activities. Its two principal businesses are: 1) client franchise business, equity derivatives and convertible securities markets, which includes primarily client-driven activities in shares, such as clearing client transactions on major stock, options and futures exchanges, trading equity-related products and facilitating client transactions in general, and 2) principal strategies, a multi-strategy investment business that invests and trades capital across global public markets, including fundamental equities and relative value trading, event-driven investments, convertible bond trading and various types of volatility trading. Skills They Look for Particular skills required for some areas within Equities: In some areas, such as Strategies, we seek candidates who possess high analytical skills with intensive quantitative background. These can come from a variety of disciplines: Mathematics, including an understanding of partial differential equations, time series analysis, statistics and numerical techniques

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Technology, including experience building large-scale distributed systems, implementing fundamental algorithms and working in different programming languages Finance, including understanding market dynamics and conventions and different products' behaviors and specifications

Particular skills required for some areas within Fixed Income, Currency and Commodities In some areas such as Strategies, we seek candidates who possess high analytical skills with intensive quantitative background. These can come from a variety of disciplines: Mathematics, including an understanding of partial differential equations, time series analysis, statistics and numerical techniques Technology, including experience building large-scale distributed systems, implementing fundamental algorithms and working in different programming languages Finance, including understanding market dynamics and conventions and different products' behaviors and specifications. Looking for individuals who can balance competition and teamwork, have intensity and integrity, intellectual curiosity, leadership potential and a passion for excellence.

Bank of America Merrill Lynch

The Sales and Trading group makes markets and executes trades in order to meet the interrelated needs of companies seeking to raise capital, and institutions looking to invest in securities. They have a broad investor base, maintaining active relationships in debt, equity and equity-related markets, including money managers, hedge funds, banks, pension funds, insurance companies and government agencies. The solutions they provide to clients include: Debt solutions asset-backed conduits, capital markets strategies, commercial mortgage-backed securities, high grade and high yield, special products, mortgage-backed securities, private placements, real estate syndications, special situation/distressed debt and syndicated loans Equity and equitylinked solutions IPOs, follow-ons, bought-deals and convertibles Job opportunities BAML offers summer analyst positions in New York and Charlotte. Desk assignments are made after training. Worldclass debt origination requires premier sales and trading capabilities: Sales forcemaintains active relationships with an array of institutional investors Tradersdeliver exceptional execution on behalf of our clients As a summer sales and trading analyst, youll provide integrated solutions to corporate clients and institutional investors by: Analyzing, structuring and selling debt securities Executing financial risk programs Tracking current market, industry and company activity Developing economic forecasts and research Demonstrating understanding of our comprehensive suite of products and services

Morgan Stanley

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Morgan Stanley has a large client base, and works with a broad range of asset classes. Its Sales and Trading takes place in two large divisions, Institutional Equity and Fixed Income. Divisions 1. Institutional Equity Morgan Stanley's Institutional Equity division is a global leader in the origination, distribution and trading of equity, equity-linked and equity-derivative securities. Sales and Trading in this division offers cash and electronic trading platforms where Morgan Stanley acts as principal/market maker and agent in executing transactions globally in equity and equity-related products, which include equity swaps, options, warrants and futures overlying individual securities, indices and baskets of securities and other equityrelated products. Other services in this division include Equity Financing Services, Electronic Trading, Quantitative Strategies and Global Commission Management. 2. Fixed Income This division deals with diverse products. It is divided into four groups: commodities, interest rate and currency products, credit products and distribution. Commodities Morgan Stanley is a market leader in energy and metals trading. Professionals trade physical commodities as well as associated derivatives and futures. Its active presence in these markets enables clients to take advantage of market opportunities as well as manage the price risk inherent in their business. Interest Rate and Currency Products Morgan Stanley is a global dealer in interest rate and currency products. Credit Products Group (CPG) Trades all cash and derivative products for securities with embedded credit in areas including municipal securities, corporate credit group(CCG), which encompasses investment grade and high-yield bond and credit derivatives trading, and securitized products group (SPG), which engages in structuring, underwriting and trading of collateralized securities (i.e. asset/mortgage/commercial-backed securities). Distribution The sales function exists in all product areas to connect Morgan Stanleys resources with institutional clients. Salespeople help these clients to achieve their particular investment objectives, providing them not only with product expertise but also with immediate access to all areas of the firm.

Jane Street Jane Street is a quantitative proprietary trading firm that strives to bring a deep understanding of markets as well as a scientific approach and innovative technology to bear on the problem of trading profitably. Unlike a traditional hedge fund, Jane Street's focus is on trading, not investing. Because they neither raise money from outside investors nor have clients or customers, their attitude to risk is very conservative. Traders work in teams to seek out and take advantage of pricing inefficiencies, develop models, manage risk, investigate new products, and push into new business areas. Experienced traders mentor newer colleagues, whose responsibilities increase with their capability.

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What They Look for Excellent quantitatively, with a strong understanding of probability and statistics An effective communicator in a close-knit team setting Motivated, competitive and eager to learn and teach Able to solve new problems quickly in the hectic environment of a busy desk or exchange floor Excited to engage in impromptu and exploratory debate on trading strategy and risk Previous experience or course work in finance, business, or economics is not required.

Citadel Citadels Asset Management business deploys capital through multiple investment strategies across the worlds major markets. Along with conducting fundamental research and quantitative analysis, they develop executable ideas with their proprietary modeling and trading tools. The following are six areas they provide services for: Equities: stock selection based on a rigorous portfolio construction and risk management framework Convertibles: Using inputs from Citadels proprietary capital structure model, they create a diverse portfolio composed mainly of U.S. and European holdings Energy: Uses quantitative analysis to identify value investment opportunities in North American natural gas market, European gas and power markets and the global crude oil and refined products markets Macro: Uses quantitative analysis to devise value investment strategies across G20 and liquid emerging markets, fixed income, currency and equity securities and commodity markets Rates: Fixed-income products mainly in G10 countries through direct investments or derivatives Fundamental Credit: Invests primarily in single-name credit instruments. Isolates idiosyncratic credit movement Quantitative Credit: Uses credit arbitrage and structured credit (tactical trading) in fixed income Mortgages: Invests in non-agency residential mortgage-backed securities, whole loans and related financial instruments within the mortgage asset class

Job Opportunity and Expectations Investment & Trading Associates: Learn how to manage risk and identify opportunities to deploy capital. Knowledge of investments and financial markets is preferred, with a degree in finance, economics, applied mathematics, physics, statistics, engineering, or computer science. Previous undergraduate internship experience at a financial services institution is also desirable.

GETCO GETCOs approach in Sales and Trading is based on transferring risk in the most efficient way possible. GETCO is a NYSE designated market maker that provides continuous two-sided markets by posting buy and sell orders. These market makers facilitate price discovery and maintenance of liquid and transparent markets. They trade their own capital. Has an Alternate Trading System(ATS) that provides investors with direct, anonymous access to the liquidity of a global market maker.

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Format of Typical Interviews

Tips for Interview Follow the market Yahoo finance, Google finance, WSJ headlines Be sure to know about the division youre applying for Where would you invest? Walk the interviewer through your thinking process Follow-up emails Keep up with international affairs Be honest Have good questions Prepare a joke

Sample Questions Fit Your resume o Walk me through your resume. o Tell me about *a specific part of your resume*. Your motivations for applying o Why interested in finance? o Why interested in Sales & Trading, as opposed to Investment Banking? o Why this division? (e.g. fixed income vs. equity) o Why our company? Incidents in which you demonstrated a certain quality o Tell me about a time you took risk. o Tell me about a time you were put under pressure and how you dealt with it. o Tell me about your experience in a fast-paced situation.

Brainteasers/Estimation Mental math o 17% of 245 o Two-digit multiplication Probability o Coin flip, die roll, card draw etc. Brainteasers (Refer to questions below) Estimation problems o How many supermarkets are there in U.S.? o How certain are you in your answers? How much would you bet on them? Miscellaneous o Proofs Questions 1. What is the probability that the first business day of a month is a Monday? 2. What is the greatest dollar value in coins you can have in your hand without being able to make change for a dollar?

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3. If the fair value of a CD today is $5 and it will be worth either $6 or $1 tomorrow, what is the probability that it will be worth $6 tomorrow? 4. You have a large cube (10x10x10) made up of small cubes (1x1x1). If I were to remove all of the small cubes with a surface on the exterior, how many small cubes would be left? 5. I have two coins, one of which is double-headed and one of which is normal. You randomly pick one and flip it 10 times and get 10 heads. What is the probability that you chose the double-headed coin? 6. You are standing outside a 100-story building holding two identical glass spheres and know that either sphere would shatter upon hitting the ground if dropped from the roof, but would not necessarily shatter if dropped from the first story. What is the least number of drops needed to guarantee that you have identified the lowest story from which you can drop the spheres without them shattering? 7. You have an object whose weight is an integer value somewhere between 1 and 100 and a balancing scale. What is the fewest number of weights you need to be guaranteed that you can correctly identify the weight of the object? Answers 1. This question is a fairly simple logic question designed to test how you think and specifically whether you under think or overthink the problem. The person who overthinks the question would try to think through the number of days in each month and how the days have fallen historically to arrive at an answer. The person who severely under thinks the question would blurt out 1 in 7 and the person who shows some thinking, but gets the answer wrong would say 1 in 5 (because there are 5 business days). The correct answer is 3 in 7 because if the first day of a month is a Saturday, Sunday or a Monday then the first business day is a Monday. 2. This question tests your ability to reason logically to arrive at an answer. You would start with quarters because they have the greatest value and then move to dimes, nickels and pennies, taking the maximum number of each without being able to make change for a dollar. You could take 3 quarters, 4 dimes, 0 nickels (because 3 quarters, 4 dimes and 1 nickel would be a dollar) and 4 pennies for a maximum dollar value of $1.19. 3. This question tests to some extent your knowledge of finance as well as your ability to calculate expected value in a very easy problem. You would need to know that the fair value of the CD is its expected value. If the expected value of the CD is $5 and it is either $1 or $6 tomorrow then it must have a 20% chance of being $6 tomorrow because (.2)(6) + (.8)(1) = 5. 4. This question simply tests your ability to reason logically. You would discover that if you remove all of the small cubes with a surface on the exterior then you would be left with an 8x8x8 cube and therefore there would be 512 small cubes remaining. 5. This question tests your ability to calculate probabilities. It is a simple conditional probability question in which you calculate the probability that you had chosen the double sided coin given that you flipped 10 heads which is P(Double|10 heads) = 1/(1+0.5^10) = 1024/1025. The probability that you chose the double sided coin is 99.9%. 6. This question tests your ability to reason using iterative logic. If you were to add the series 1+2+3+4+5, the first number on which you would cross 100 is 14 and thus the 14 drops case is the most efficient iterative test. You would drop the first orb from the 14th then 27th then 39th then 50th then 60th then 69th then 77th then 84th then 90th then 95th and then 99th floor. If the first

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orb breaks at the 14th floor then you would test 1-13 and if it breaks at the 39th floor, you would test 28-38. No matter where the first orb breaks, you will always make 14 drops. This is the fewest number of drops you can make and be guaranteed to discover the highest floor from which you can drop the orb without it breaking. 7. This question once again tests your ability to reason logically. You would start at 1 and then figure out which numbers you would need to make every combination of numbers between 1 and 100. You would discover that with weights of 1, 2, 4, 8, 16, 32 and 64 pounds, you could make every value between 1 and 100 (you dont need a 3 lb weight because you could use the 1 lb and 2 lb weights to make 3 lbs, but you do need a 4 lb weight; you dont need a 5 lb weight because you can use the 1 lb and 4 lb weight to make 5 lbs etc.) and thus 7 weights is the fewest number of weights you would need to be guaranteed that you can find the weight of the object. Adapted From: http://gottamentor.com/viewAdvice.aspx?a=332 Technical About the firm o Who is the CEO of our company? o What is the current stock price of our company? o Tell me about what you know about our company. Numbers you follow o Dow Jones, S&P 500, NASDAQ o 10 year bond interest rate o Oil price, gold price o Latest stock price of the firm About the division you are applying for o What types of risk are there in the fixed income market? o What is LIBOR? o Define/explain: bond, equity, future, option, put/call, derivative, present value, discount rate Your knowledge in the industry in general o How did the financial crisis happen? Investment opinion o If I give you $1,000,000, where would you invest it? o What is a market that you would invest and a market that you would not invest? Trading simulation o What would you do if the price rises/falls by x amount? Recommended Classes Classes that offer background in probability, statistics and finance are generally helpful. 18.440: Probability and Random Variables Course Description: Probability spaces, random variables, distribution functions. Binomial, geometric, hypergeometric, Poisson distributions. Uniform, exponential, normal, gamma and beta distributions. Conditional probability, Bayes theorem, joint distributions. Chebyshev inequality, law of large numbers, and central limit theorem. 6.041: Probabilistic Systems Analysis Course Description: An introduction to probability theory, and the modeling and analysis of probabilistic systems. Sample space, probabilistic models, conditional probability. Discrete and continuous random variables. Transform techniques. Bernoulli and Poisson processes. Markov

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processes. Limit theorems and elements of statistical inference. Meets with graduate subject 6.431, but assignments differ. 15.401: Finance Theory I Course Description: Core theory of modern financial economics and financial management, concentrating on capital markets and investments. Topics include functions of capital markets and financial intermediaries, asset valuation, fixed income securities, common stocks, capital budgeting, diversification and portfolio selection, equilibrium pricing of risky assets, the theory of efficient markets, and an introduction to derivatives. 15.402: Finance Theory II Course Description: Continuation of 15.401, concentrating on corporate financial management. Topics include capital budgeting, investment decisions and valuation; working capital management, security issues; dividend policy; optimal capital structure; and real options analysis. 15.501: Corporate Financial Accounting Course Description: Preparation and analysis of financial statements. Focuses on why financial statements take the form they do, and how they can be used in evaluating corporate performance and solvency and in valuation of corporate securities. Introduces concepts from finance and economics (e.g., cash flow discounting and valuation) and explains their relation to, and use in, accounting. Students taking the graduate version complete additional assignments. Permission of Sloan Educational Services required for all cross-registrants. 14.32: Econometrics Course Description: Introduction to econometric models and techniques, simultaneous equations, program evaluation, emphasizing regression. Advanced topics include instrumental variables, panel data methods, measurement error, and limited dependent variable models. Includes problem sets. May not count toward HASS requirement. 15.437: Options and Futures Markets Course Description: Examines the economic role of options and futures markets. Topics: determinants of forward and futures prices, hedging and synthetic asset creation with futures, uses of options in investment strategies, relation between puts and calls, option valuation using binomial trees and Monte Carlo simulation, implied binomial trees, advanced hedging techniques, exotic options, applications to corporate securities and other financial instruments.

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Interviews
CitadelFull-time What are the upsides of working at Citadel? At Citadel, you know that you are working alongside the best. Technology is big here and you are constantly challenged (as a lot of the work is quantitative). Its a place where intellect and cerebral talent is appreciated. Theres a lot of opportunity for advancement, whereas the processes a lot more hierarchical and rigid in a BB. At Citadel there is a meritocracy so basically, if youre good, you will do well and be compensated for it. Pay is extremely competitive and hours are good. What are the downsides of working at Citadel? The only reason you would have to worry is if you dont perform well. Competition at Citadel is cutthroat and they only keep the cream of the crop; there is no dead weight so if you dont perform, youll find yourself looking elsewhere for work. But again, if you do well, you have nothing to worry about. This is how you know youll be working alongside extremely talented and hardworking individuals. Pay and hours? Pay is extremely competitive and bonuses are commensurate with performance. Hours are also very good; approximately 50-55 hours per week and weekends are completely yours! What types does Citadel attract and what can I do to prepare (ie. classes)? The work at Citadel is highly intellectual and cerebral. They actively seek those who are quantitative; course 6, 18, and 8. The best classes to take would include a smattering of computer science classes along with probability and statistics. You dont need to invest in too many finance classes; finance they can teach you, but youre much better off learning the math while at MIT.

Citadel Intern What are the upsides about interning at Citadel? They have a pretty organized but fairly tightly-knit intern class and program. They organize events for interns to do together. When I was there, there were about 15 interns; 8 in FTAP (Financial Technology Analyst Program), 2 in ITAP (Investment Trading Analyst Program), and another 5 business-type interns. Citadel is a great shop and the managers definitely give you real work. At the end of the summer, everyone gives a presentation on what they accomplished. They also paid for housing for the entirety of the summer, with free meals (breakfast, lunch, and dinner), and access to a gym. Roughly every other week, they have a Senior member in Citadel come and talk to all of the interns. What are the downsides about interning at Citadel? The only complaint I have would be hours, they were a bit long but not that bad.

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Why did you choose to intern at Citadel? Its a great hedge fund and one of the few really prominent hedge fund that are present on a large scale at MIT. They are very invested in technology and a lot of their competitive advantages are related to businesses that theyve built out that leverage such technology; high frequency and options spaces. But also, they seem to excel in basically everything they do. Theyve basically built all of the technology in-house. Its also a good transition for someone with a technical and specifically programming background into finance.

Can you briefly describe the work environment? Its a bit more spread out than at a bank; theres a bit more space. The different businesses are very segmented; you mostly interact with those that sit around you. Theres a huge emphasis on tech so the environment resembles a bit more of a software development a bit more. On the technology side, the personalities are definitely engineering-related. There are some traders, but its definitely a lot more toned down than at a bank.

What was your approximate pay (including stipend and bonus)? What were your work hours? $1500/week, no overtime. Free housing and meals. 8am-7pm

What type of mentorship was provided? My mentor gave me a project to work on which took about a month of the internship and after introducing me to the system and some for the tools that I would need (which was an intensive 2 or so days) left me to my own devices to work on the project. My mentor checked in every day or two typically at the end of the day after trading was done. Citadel matched us up with a buddy first year hires, 1st years, hung out got to know them a bit

How much interaction was there between the various desks/spaces? I stayed within my business unit, which is roughly an eighth or so of all of citadel, but got to talk to a fair number of developers and sat with traders a bit and watched them do their thing. There were a few times in the summer where I had presentations and was able to meet others that way. My mentor was encouraging with getting to know others. My suggestion would be to take the time to get to know the people there, take the time to learn about the industry and what people do; dont worry so much about your work, take advantage of the resources while available.

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Goldman Sachs Intern What are the upsides about interning at Goldman Sachs? Its a great feeling; being a part of Goldman Sachs, the giant of a firm! They provide interns with excellent resources in terms of mentorship and perks like gym access. What are the downsides about interning at Goldman Sachs? Because it is such a large firm, it is quite easy to feel like a small fish in a large pond. Pay and hours? What was your work like? Summer pay was $6000 per month. Hours were approximately 9am to 7pm. One of my responsibilities included managing a portfolio worth approximately $8 B. I ran statistical analysis among other things. Overall, there was some sense of an academic environment; they admired intellect as well as the ability to work hard. Mentorship program? Each intern is matched with two mentors. Throughout the summer you have the opportunity to grab lunch with them, but interaction is minimal in that they arent there watching over you. In other words, you work fairly independently (they trust you), but they are there if and when you reach out to them.

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Additional Resources
Online Books The Big Short Handbook of Finance by Fabozzi (and related Fabozzi material) Heard on the Street: Quantitative Questions from Wall Street Interviews Liars Poker The Wall Street Journal: www.wsj.com DealBook: http://dealbook.nytimes.com/ The Economist: http://www.economist.com/ The New York Times: http://www.nytimes.com/ Mergers and Inquisitions: http://www.mergersandinquisitions.com/ Dealbreaker: http://dealbreaker.com/ PIMCO http://pimco.com/