This year we are launching the Investment Banking Round Table in addition to our normal trading and investing activities.
Investment Banking Round Table
When people talk about the financial world, they will often throw around words like Bulge Bracket, Boutiques, Private Equity, DCF, Valuation and it goes on and on...
This probably seems intimidating to you, especially if this is something you are considering as a career. But do not worry. Our five part series on Investment Banking will cover everything from the basics, to a more in depth view of the individual sections of an Investment Bank.
Whether you are just curious to have some of the terms explained or want to prepare for your Spring Insight week, this will be a great commercial awareness booster.
Some of these sessions might be run in conjunctions with experts, and other presented by our in house ‘advisory’ team. (You will get that pun after you have participated!)
The structure of our five part series will be as follows:
Overview of Investment Banking - Our first session will give you a general overview of everything that goes on in the Investment Banking sphere. If you are considering applying for any kind of internship, you should seriously consider coming along. Out of all sessions this is the one you do not want to miss!
Mergers and Acquisitions (M&A) - The most fabled aspect of Investment Banking. The one that everyone strives for. We will be going into detail here on what services Investment Banks provide, how these tie into the banking work and lastly we will be analyzing a deal in all of its facets.
Equity and Debt Capital Markets (ECM & DCM) - Tieing into our last session on M&A, we will be looking at equity (and IPOs or Initial Public Offerings) and DCM (think restructuring) capital markets. Again, we will finish our session by looking at a recent deal to bring some practical analysis to the theory.
Sales and Trading - Another well known aspect of Investment Banking. Who doesn’t want to try and emulate Jordan Belfort? Although reality is slightly different, we will be diving into the nitty gritty of Sales & Trading, and what goes on in those gleaming towers. As expected of you, we will also be filling in the theory with some practical analysis.
Ancillary Functions - None of what we will discuss in the previous sessions would be possible without the back room of the banks. We will be doing a more cursory overview of what it takes to run a bank - operations, technology and finance may ring a bell.
Introduction to Financial Statements:
- Income Statements
- Balance Sheet
- Cash Flow Statements
What you gain from this session will be incredibly useful for the next sessions on valuation....
Discounted Cash Flow Valuation - An introduction
This session will cover:
- Levered vs Unlevered DCF
- Calculating FCFF
- Calculating WACC
- Calculating Terminal Value
- Enterprise Value
- A basic DCF Model using Excel
Further detail on DCF
- In-depth investigation of Working Capital line items – refined FCFF
- Normalise Earnings – Operating Leases and R&D
- Calculate WACC via Risk Free Rates e.g. US T-Bonds, Credit Rating
Agency Ratings, Credit Default Swaps, Betas
- Calculate Equity Risk Premiums using Company Default Spreads
- Marginal vs Effective Tax Rates and when you use them
Asset and Wealth Management Round Table
The AWRT sessions provide an insight into another area of the buy side in the world of finance. The primary aim is to help our members understand how Asset and Wealth Management firms help institutions like pensions funds, insurance companies and high net worth individuals allocate their assets into different investment alternatives. AWRT achieves this through a range of interactive sessions ranging from a broad introduction to Asset and Wealth Management followed by an in-depth case study on financial planning. In addition to introducing members to Asset and Wealth Management, the AWRTs aim to provide the students with a platform that helps them build a career in this industry. Useful and effective tips are provided on application processes, interviews as well as the art of building a well rounded Linkedin profile by experienced and skilled professionals.
The Asset/Wealth Management Round table sessions were a great success last year with more than 40 members attending each event. Taking the positive impact of the events into consideration, we aim to further develop and lead these sessions in collaboration with our partners in the coming years.
The structure of AWRT will be as follows:
Overview of Asset and Wealth Management – our first session will give you a general overview of everything that goes on in the Asset Management scope. We will guide you through the basics of financial planning, investing strategies, and help decode technical jargon. If you are considering Asset or Wealth Management as a career path, these workshops will put you on the right learning curve. So come along!
Roles in the industry - Building upon the base provided in the introductory session, this workshop will guide you through a systematic breakdown of the various roles in Asset and Wealth Management.
Case study on Company analysis - The second part of the session will be primarily focused on company analysis where you will be put in the shoes of an analyst. This session will test your understanding of the topic so far by putting theory into practice. Our experts will equip you with the tools of financial analysis ranging from valuation methods to consideration of qualitative factors while creating a portfolio. You will be guided through a case study on financial planning which will allow your inputs and queries to derive a potential solution to the case study.
Finally, you will be guided through the application process for Asset and Wealth Management roles. This will involve useful tips from experts on improving your CVs/Cover Letters and interview skills.