Day in the Life in Investment Banking | 8 Tasks Youre Actually Do on the Job (with EXAMPLES)

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Hi everyone welcome back to my channel i’m angela and in today’s video we are going to be going over the typical tasks an investment banking analyst usually does ranking them from highest to lowest in terms of which tasks are done the most and which are done the least i’ll be sharing a percentage breakdown as well as examples of each before i get started a quick

Shout out to the daily upside who i’m partnering with on this video more on them later so the first typical task an investment banking analyst does is preparing pitch books and i’d say that composes about 25 of the work that you’re actually doing on the job now a pitch book is typically a powerpoint presentation and it’s designed as a way to pitch to clients and

Win business so within a pitch book you would typically have a few sections to this powerpoint presentation like your team page an industry overview of the topic you want to talk about as well as some acquisition opportunity or different types of transaction structures and lastly some valuation like comparables precedence and dcfs your team would then bring these

Materials to the client and they would look over it and decide if they would want to hire you for a possible transaction or not a lot of the times analysts are working in powerpoint working on these pitch books because a lot of the job is trying to win new sales and pitch to clients the nice thing though about working on pitch books is that more often than not a

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Page that you need for this book has already been created before just because there have been hundreds of meetings in the past all using similar books the second most common task is spreading comps and data punching so what spreading comps means is essentially you’re looking up the company’s filings either they’re 10k or their 10q information about the company like

Their cash their debt their share count and any options that they have from their latest filing report and the purpose of spreading comms is to get a more accurate valuation number for the company the third most common task is financial modeling and i’d say you spend about 15 percent of your time doing financial modeling and this is because financial modeling is

Typically used during more intense pitches or actually used during live m a processes most investment banks they’ll actually already have previous models or templates that you could work off of so it’s not like you’re always modeling from scratch financial modeling tends to be the portion that people most worry about when they start the job and try to study the

Most for but you actually do much less financial modeling than you would think that you do on the job because there are so many other types of tasks but it’s really stressed upon when you’re interviewing for a full-time position because it’s definitely one of the more difficult and hard to get up to speed on tasks that you could do in investment before i continue

With the rest of the video i want to talk about our sponsor the daily upside the daily upside is a business newsletter that curates impactful and insightful financial news the founder actually stored the newsletter after working in investment banking for a decade and the best part is it’s completely free i’ve included a link in my description box below all you

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Have to do is click on it enter your email and you’ll be signed up to this free newsletter and you can unsubscribe at any time no strings attached the fourth most common task is internal memos and that composes about 10 of your time investment banks have different teams within that act as intermediaries to approve different types of transactions such as ipos or

Financings and essentially what you’re doing for this internal memo is you’re typically going to be on a microsoft word document and fill in descriptions about the company inserting data on their financials doing some brief valuation work on how you would value this company and explaining why you would want to do this transaction and this document will then go

To another team within the investment bank and they will review the fifth most common task is typically research and that takes about 10 of your time when you’re working on any type of deal whether it’s a live deal or it’s a pitch book you’ll oftentimes have to do research on the company or the industry so there’s a good amount of looking through research reports

To get up to speed on specific companies and industries one platform that’s frequently used by investment banks is thompson one it’s a resource where they compile thousands of equity research reports from various banks this one is from merrill lynch these reports are a great read for understanding how banks are currently viewing these companies whether analysts

Think they’re overvalued or undervalued and what to expect for this company moving forward the sixth most common tasks is meeting slash calls spend about 10 of your time either on calls or in meetings these could be internal or they could be external with clients as well and on those you’ll typically be just taking notes as an investment banking analyst you don’t

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Really spend any time presenting that’s usually for more senior positions the seventh most common tasks are administrative tasks that also takes about 10 of your time and those consist of things like scheduling meeting invites searching out pitch books for client meetings and managing data rooms a data room is a virtual secure place where companies use it to store

Documents for deals and often times the investment banking analyst is in charge of managing it doing permissions and adding more files to it and just making sure that it stays organized as always thank you guys so much for watching my videos i really appreciate you guys if you enjoyed it please remember to give it a huge thumbs up subscribe to my channel if you

Haven’t already and i will see you in the next video bye

Transcribed from video
Day in the Life in Investment Banking | 8 Tasks You're Actually Do on the Job (with EXAMPLES) By Angela