Why corporate banking instead of investment banking?

Technical questions will not deviate all that far from manySAbasics. Will sprinkle in debt focus on "creditworthiness". What's makes a good borrower? (collateral, cash flow, etc.) Questions around what would reduce/increase risk in lending situations. May get into borrowing base, working capital, cash flow related questions, and that would be extremely technical for a college interview.

As for "why corporate banking" you need to fully contemplate the DIFFERENCES betweenIBand CB and then if you really want to do this, come up with why fueling the activities of companies (acquisitions, capex, special projects, short term capital) is more appealing than the headliner events of advising on M&A or sellouts/buyouts.

Disclaimer: not in CB, but looking to transition there, so asking myself the same ?s

如果我错了，请纠正我，但我相信公司银行业务将更多地关注关系方面。IE。您所涵盖的公司希望将X筹集资金为新建筑物提供资金 - >访问公司银行家 - >公司银行家将他们与适当的团队联系起来。认为谈论您喜欢建立关系并帮助客户实现目标以及与银行内各个业务集团合作的好主意。

这确实是很高的。但是希望它有帮助。

Haha you won't be handling any relationships as an analyst trust me. When you think of corporate banking just think of the "revolver" on the balance sheet. That's pretty much the portion of theBS公司银行部负责。

There is a wide range of corporate banking roles, but my understanding of it is that it comes down to where the money originates from.IBmeans any funds will come client side and external to the bank, whereas corporate banking will handle funds from the firms own balance sheet. The upshot is that there is a great deal more emphasis of risk management and credit analysis.

我不是公司银行家，所以如果某人处于更好的评论位置，请纠正我。

Corporate banking is just a anorexic version of leveraged finance so just prep as you would for LevFin and you'll be good to go (except the Why CB part)

Different banks run their CB groups differently. One place might have you doing borrowing bases for an ABL, other places might be providing more senior term loans.JPMCorp banking will be different than say PNC Corp banking. Think different levels of sophistication, etc.

I'd know credit basics, know how ABL revolvers work, try and find out the space the bank you are interviewing for operates in. Stuff like that.

我an analyst in Corporate and Commercial Banking. It is a super regional bank in the U.S but has a huge Europe and South American presence. What everyone has said is more or less correct. In my group bigger deals actually require less analysis and work as they are usually syndicated, which is less work because you take it or leave it as is. Commercial and middle market banking is a great place to learn and get credit analysis experience. It is very different from the corporate finance topics you see onWSO. It won't provide you with the technical skills forIBbut you will most likely still learn a lot. You won't be dealing with relationships. Typically lenders and team leads deal with 98% of client interaction. You can PM me if you have more questions.

Corp banking over IBD:
1. Long term career potential - not much of an "up and out" culture like inIBD. As long as you are competent you can move into an associate role after your 3rd year in most places, you won't need to go back for anMBAto advance. Also to get from associate to VP in the credit path you won't need to be able to generate business to move up as you would inIBD

2. Better hours / work life balance

3. You manage risk if that is something you are interested in, the spread on senior bank debt is low so you need to be careful when making a decision as you will have to originate a huge multiple of your loss in new money just to be able to cover it

4. You develop a solid foundation in cash flow analysis & learn about collateral (depending if it is ABL group or middle market lending vs. large corporate)

5. Corp banking is very relationship focused

6. Ability to move from client management/credit/risk so you can have a very varied career depending on how you position yourself and what your interests are

7. Can be a generalist or cover industry vertical depending on what group you are in

Great thread on corporate banking. Because we have may people posting here that are currently in the industry- how much better is the work life balance? Also, what does the pay look like at the senior level?

It will depend on the bank. I believe Citi's corporate bank focuses on loans and some debt and has better hours than theIB.

Would've been useful if I read it before my interview this past week.

Good info nonetheless

Given that I am not inIBDI can't directly comment on the difference between work like balance, but in my group most people can be out the door two or three days out of the week by six each night, or you can be there till nine or ten at night throughout the week, and still have to come in on the weekend. It depends on the group and the deal flow. The upside to the more lax work life balance is that it is very easy to stand out, and simply out work some of your co-workers. The general sentiment for 90% of the deals that flow through my group is that "it can wait until tomorrow."

n1cktm and explosions09 are correct that there is a relationship focus, which is centered around the lender or relationship manager who has a portfolio to monitor and manage. Some lenders have portfolios that are too large from them to handle which is where Relationship Associates or Junior Lenders come in. At some banks they are glorified assistants.

As far as compensation goes, there is a lot of long term potential to make >$100K base + bonus in a back office position. (Bare in mind I'm in Texas not NYC) It just takes some time to work up to that level. If you want to do a back office role or be a career analyst you will hit that limit and not be able to make much more, but there are a lot of back office positions that require analysis and a take macro-approach to bank management that most people don't know exist, which has the potential to bring home a very good paycheck. It is my understanding that a lot of lender compensation is around their bonus, which is similar to commission, but they also have a solid base. Lenders in my opinion are similar to door-to-door sales reps. Their life centers around customer calls and going out and pounding the pavement. Some banks will hire lenders with very little technical or accounting knowledge.

Why corporate banking(最初发布：2015年2月11日)

What does corporate banking entail?

In a corporate banking group you really get to know the companies in your portfolio. It's transaction based, but you are constantly revisiting these companies as they grow (or become distressed at times) and need their credit facility amended, upsized, etc. Each time this happens you have to go through a whole analysis of the company both on a historical basis and a pro forma basis for what has changed.

My advice would be this: In an investment banking role, you pretty much know what you're going to get. However in corporate banking, I think there's a vast difference in the type of experience you can have. Getting into an industry group in which you're working with large private, small and mid-cap, non-investment grade companies is the most beneficial experience in my opinion (opposed to large cap investment grade entities in which the analysis and structuring is pretty straight forward and relatively risk-less).

It's also beneficial to be at a bank where your counter-parties in leveraged finance /DCMare very active and prominent. This provides opportunities to work in conjunction with them on big underwrites when the your bank is a lead arranger. They often will lean on you to get approval to underwrite a high % or maybe even all of the credit part of the debt package in an acquisition.

Most well known corporate banking products are term loans, revolving lines of credit, syndicated loans w. multiple arrangers. You also have ABL facilities, bridge loans, etc.

There is also a difference between corp. banking at aBBvs. corp. banking at aMM/regional bank.
1.客户规模 - 公司在BBdeals with companies with revenues of 1bn+ whereas corp. banking at aMM, clients will start at 200MM+. Basically, the middle market/commercial banking division of aBBwill handle the type of clientsMMcorporate banking will have.
2. Pay - Corp banking that is housed withIBD(i.e. Corporate & Investment Banking) will typically have same base asIBD. Bonus will be 20-30%. Corp banking separate fromIBDmay have smaller base salary but shouldn't be below 65k.

虽然MMcorp. banks cater to clients that fit in the range of commercial banking at aBB, corp banking at aMMwill still be more lucrative than commercial banking at aBB.

The benefits of CB is that it has a well defined career path and you can make it past associate without having to go back for aMBAto be able to wine and dine clients. In Cb there are two main career paths - relationship management (sales) and credit.

"Why Corporate Banking?"(最初发布：2015年10月25日)

Hey guys. Have an interview coming up for corporate banking with a super regional.

I know a very important question for investment banking is "why investment banking?" It's a simple, yet vital question and there's quite a bit of info out there on how to answer it. What's the best way to answer this question in regards to corporate banking, though?

I have worked in both so i will opine.

In my opinion, what i did inIBwas much more interesting. You truly modeled a company's financials out and understood a lot more. In CB, they usually break out into two tracks: credit analysis and relationship management. The credit analysts all want to move into an RM role and are often interchangeable with little career growth. Credit analysis is not like at aFIfund. Often you use some proprietary bank system and update boilerplate memos. I actually think I met only one credit analyst who was able to do a 3 statement linked financial projection and that was after he did aCFA. On the RM side you make a lot of pitchbooks where you incorporate work from other product groups. You feel as if there is little in terms of true finance. There was a Director I hated who made seven figures one year and he came over to me after I finished theCFAto tell me you don't need to know finance to be a "banker". If you are an associate you will attend client pitches and see just how sales focused it is. You need to work hand in hand with the loan groups mainly (syndications, lev fin, loan capital markets, etc.) as well as other product groups likeDCMorECM或者无论是呈现他们的想法，但他们都是进行分析并经常为您的音调幻灯片喂食的人。随着时间的流逝，您开始理解游戏。...您知道左轮手枪和学期贷款或大债券应到期，并提前1。5年开始推销一本书或领导书。较大的银行利用其资产负债表获得投资银行和辅助产品业务（即债券）。bob竞技体育游戏左轮手枪和定期贷款要么是双边的，要么是银行的书籍，要么是联合贷款。当您是高级助理RM时，您会开始进行更多的客户端互动，而当您成为副总裁时，您将为您的“投资组合”获得较小的名称来打电话并拨打。我的经验停止了副总裁级别。

您的日程比在IBand you have more of a voice with quicker progression, but it isnt about finance in my opinion as much as it is about sales. It also attracts people who care about having families that they actually get to see and there were more women in CB thanIB. If you are in a good group, you will travel frequently though.