Brian DeChesare

NOVEMBER 15, 2023

I’ve now been writing about finance careers for almost 20 years, and the topic of the CFA for investment banking never seems to die. Specialized Pathways: For the Level III exam, you can focus on portfolio management, private wealth, or private markets. Not much has changed since then.

Banking 59

Banking Start-ups Finance Private Equity Firm 59

Brian DeChesare

JUNE 21, 2023

Investment banking in Dubai stands out for attracting remarkable hype on social media. It’s almost like the city has its own PR department and never-ending marketing campaign. Specifically, should you aim for entry-level investment banking roles in Dubai rather than London, New York, or other financial centers?

Banking 104

Banking Start-ups Finance Equity 104

Brian DeChesare

JULY 12, 2023

but the venture capital case study remains a bit mysterious. Seed and Series A investments), the most common type is the “Evaluate a startup and recommend investing or not investing” one. There’s plenty of information online about case studies in finance interviews (IB, PE, etc.),

Banking 52

Banking Marketability Compliance Finance 52

Brian DeChesare

SEPTEMBER 14, 2022

For example, if you work in Debt Capital Markets or Leveraged Finance or a closely related area such as corporate banking , technically, you are a “credit analyst.”. Investment banks, investors, and lenders then use these ratings in their analyses. EBITDA / Interest: This company is at 3x vs. 5x for peer companies.

Finance 87

Finance Banking Corporate Finance Start-ups 87

Brian DeChesare

MARCH 8, 2023

But a few related areas, such as commodity desks at banks, commodity trading advisors (CTAs), and physical commodity trading shops could put up a good fight for that “most cyclical” title. Commodity trading desks within sales & trading at the large banks. power, energy (oil, gas, NGLs, etc.),

Finance 115

Finance Start-ups Banking Alpha 115

Brian DeChesare

FEBRUARY 16, 2022

One of the more controversial industry groups is public finance investment banking. The controversy starts with the name: Is public finance “really” investment banking? You could argue this either way, but the short answer is yes , public finance still counts as investment banking.

Finance 66

Finance Banking Equity Marketability 66

Brian DeChesare

NOVEMBER 9, 2022

People usually start this discussion by comparing S&T exits to investment banking exit opportunities and saying that S&T exit options are “worse.”. Most S&T exit opportunities fall into one of four categories: Discretionary Trading – You devise and execute your own trading ideas using the capital you manage.

Banking 81

Banking Equity Start-ups Marketability 81

Brian DeChesare

DECEMBER 14, 2022

One topic that I’ve never fully explained on this site is the investment banking target school. vs. Europe vs. Asia) and level (undergraduate vs. Master’s vs. MBA). And why do banks focus so heavily on a few schools? Definitions: What are “Investment Banking Target Schools”?

Banking 52

Banking Finance Start-ups Corporate Finance 52

Brian DeChesare

APRIL 6, 2022

Ask anyone joining a large bank which group they’re most interested in, and consumer retail investment banking is a likely answer. The benefits of the group are almost like the benefits of getting into investment banking : brand/prestige, technical skills, and exit opportunities.

Banking 98

Banking Start-ups Equity Marketability 98

A Neumann & Associates

MAY 7, 2024

Second, we do not want to set an expectation or limit the marketing potential of a business by targeting only one Buyer group. Fit can include items such as motivation to complete a transaction, urgency, business size, financial investment, industry knowledge and emotion. 3-5 years) as part of the purchase agreement.

Start-ups 40

Start-ups Equity Marketability Business Valuation 40

Brian DeChesare

DECEMBER 7, 2022

The first thing to understand about investment banking in Hong Kong is that it’s unlikely you’ll ever be able to work in investment banking in Hong Kong. Hong Kong is still an important financial center, but banks there now focus almost exclusively on mainland China in terms of deals, clients, and new hires.

Banking 52

Banking Equity Start-ups Finance 52

Brian DeChesare

SEPTEMBER 20, 2023

Look around online, and you will quickly discover that most coverage of venture capital interview questions is junk. No Right or Wrong Answers – Some technical questions have correct answers, but many market and investment ones do not. Market and Investment Questions – Which startup would you invest in?

Start-ups 59

Start-ups Equity Marketability Terminal Value 59

Brian DeChesare

AUGUST 31, 2022

Traditionally, if someone asked the “ sales & trading vs. investment banking ” question, the response was easy: “Do banking unless you really, really like trading and could not imagine doing anything else.”. Convertibles lack the same types of covenants (financial restrictions) that many other forms of debt have.

Banking 73

Banking Risk-free Rate Equity Start-ups 73

Brian DeChesare

MARCH 2, 2022

As investment banking recruitment has moved up earlier – especially in the U.S. These factors have made the off-cycle investment banking internship a popular strategy for many students. Unfortunately, this topic is tricky to discuss because “off-cycle” means something different in Europe vs. the U.S.

Banking 59

Banking Start-ups Finance Equity 59

Brian DeChesare

DECEMBER 21, 2022

Just look at the financial markets, the crypto meltdown, deal volume at banks, inflation, energy prices, Russia/Ukraine, supply chains, and the hiring environment in tech and finance. But let’s start with my favorite topic: “ranking” banks, schools, and maybe a TV series or three. Bank, School, Dragon, and TV Rankings.

Banking 92

Banking Start-ups Finance EBITDA 92

Lighter Capital

JULY 20, 2023

While a well-capitalized venture with several million dollars in the bank can behave like a large, established company from the jump, a bootstrapped startup has to manage cash more carefully, growing at a rate they can afford and control. It’s best to start with the basics. Why do startups use debt financing?

Debt Financing 52

Debt Financing Finance Equity Equity Financing 52

Valutico

APRIL 17, 2023

Weighted Average Cost of Capital Explained – Formula and Meaning In this article, we’ll explain what the Weighted Average Cost of Capital (WACC) is, by breaking it down into its components, and highlighting its role in valuing a company through the Discounted Cash Flow method (DCF). What is the WACC?

Weighted Average Cost of Capital 52

Weighted Average Cost of Capital Discounted Cash Flow Beta Risk-free Rate 52

Valutico

APRIL 17, 2023

Weighted Average Cost of Capital Explained – Formula and Meaning In this article, we’ll explain what the Weighted Average Cost of Capital (WACC) is, by breaking it down into its components, and highlighting its role in valuing a company through the Discounted Cash Flow method (DCF). What is the WACC?

Weighted Average Cost of Capital 52

Weighted Average Cost of Capital Discounted Cash Flow Beta Risk-free Rate 52

Valutico

APRIL 12, 2023

Weighted Average Cost of Capital Explained – Formula and Meaning In this article, we’ll explain what the Weighted Average Cost of Capital (WACC) is, by breaking it down into its components, and highlighting its role in valuing a company through the Discounted Cash Flow method (DCF). What is the WACC?

Weighted Average Cost of Capital 52

Weighted Average Cost of Capital Discounted Cash Flow Beta Risk-free Rate 52

Brian DeChesare

AUGUST 10, 2022

With the possible exception of FIG , oil & gas investment banking generates the highest number of panicked emails and questions. But before delving into the exit opportunities and the long-term outlook, let’s start with the fundamentals: Oil & Gas Investment Banking Defined. How do I move around?

Banking 94

Banking EBITDA Dividends Equity 94

Reynolds Holding

APRIL 7, 2024

The financial companies can play this role both by reducing their financing of carbon-intensive industries and providing the capital required by sustainable alternatives. In contrast, large Asian markets such as India and China, as well as the United States, perform relatively poorly on the ESG Performance Score and ESG Transparency Score.

Finance 59

Finance Banking Marketability Start-ups 59

Brian DeChesare

JUNE 29, 2022

And similar to long/short equity hedge funds , they target undervalued and misunderstood companies and profit when the rest of the market catches up. Long/short equity and credit hedge funds look for mispriced securities with potential catalysts that might change their market prices.

Private Equity Firm 52

Private Equity Firm Equity Banking Start-ups 52

Brian DeChesare

MAY 3, 2023

But people who aim for investment banking roles are very much into those bells and whistles, so questions about the DDM and other “exotic” methodologies began rolling in. To be fair, in some industries – like commercial banks and insurance within FIG – the DDM is a core valuation methodology.

Dividends 64

Dividends Terminal Value Enterprise Value Equity 64

Brian DeChesare

JANUARY 31, 2024

In other words, they’re the public face and brand of their fund, and all investment decisions flow through them. They might have separate teams for specific strategies or markets, but everything is run under a single Profit & Loss statement (P&L). Speaking with customers, suppliers, management teams, and market participants.

Start-ups 59

Start-ups Equity Marketability Banking 59

Brian DeChesare

FEBRUARY 22, 2023

The buy-side vs. sell-side distinction/debate is interesting because it happens on the internet and in real life. The best examples of buy-side firms are private equity firms , hedge funds , and venture capital firms. they don’t profit from investing in stocks and betting that prices will go up or down).

Finance 129

Finance Marketability Banking Corporate Finance 129

Reynolds Holding

JUNE 27, 2023

An increasing number of consultancies, financial technology firms, data providers, and investment advisory groups offer information about localized physical climate risks like floods, hurricanes, and wildfires. They are used to allocate equity capital through active and passive investments. 8] ENDNOTES [1] Jesse M. Hain et al.,

Banking 83

Banking Finance Equity Technology 83

Equilest

NOVEMBER 25, 2023

These interviews are not just a mere formality but a critical component of the hiring process in finance, investment banking, and consulting. These examples cover a range of topics, including discounted cash flow (DCF) analysis, comparable company analysis (CCA), and market multiples. What is Free Cash Flow to Equity?

Discounted Cash Flow 52

Discounted Cash Flow Dividends Enterprise Value Terminal Value 52

Brian DeChesare

FEBRUARY 9, 2022

Similar to middle market private equity , though, there are some definitional problems here. I set $1 billion as the average deal size here, but you’ll see many deals worth $5+ billion, $10+ billion, or even $20+ billion, depending on the market environment. Large Firms” vs. Private Equity Mega-Funds.

Equity 53

Equity Banking Start-ups Finance 53

FE International

APRIL 13, 2022

Acquirers have benefitted from historically low-interest rates and many sellers have opted to exit while the market is strong with growing multiples. Invested Capital. A large part of this was driven by SaaS which accounted for over 50% of capital invested over the last 12 months. Available Capital.

Private Equity Firm 52

Private Equity Firm Equity B2C Start-ups 52

Cooley M&A

DECEMBER 14, 2020

Market volatility, a low interest rate environment and disillusionment with the IPO process, have made SPACs an attractive alternative for private companies looking to go public in recent months. According to Odeon Capital Group research, as of December 2, 2020, 210 SPAC IPOs had been completed representing gross proceeds of ~$72 billion.

Private Equity Firm 52

Private Equity Firm Equity Marketability Banking 52

Brian DeChesare

FEBRUARY 28, 2024

For the right person, though, fixed income research can be even better than equity research, whether you’re at a bank, an asset management firm, a hedge fund, or a credit rating agency: Table of Contents: What is Fixed Income Research? a credit rating vs. an investment recommendation). closer to the work at a quant fund ).

Equity 59

Equity Banking Start-ups Finance 59

Brian DeChesare

MAY 10, 2023

I’ve found that two main groups care about investment banking in Singapore : Students who are from Southeast Asia and are considering whether they want to work in Singapore, NY, London, or other places. It’s just that it’s smaller than you might expect, which means a lower investment banking headcount than true financial centers.

Banking 103

Banking Start-ups Equity Marketability 103

Brian DeChesare

JUNE 22, 2022

I published an article on this topic of investment banking in New York vs. Chicago vs. San Francisco vs. Los Angeles vs. Houston vs. other cities a long time ago – but a fair amount has changed since then: Remote / hybrid work means that some of the advantages and disadvantages of different cities are more nebulous.

Banking 97

Banking Start-ups Finance Marketability 97

Brian DeChesare

FEBRUARY 2, 2022

I did not expect to revisit investment banker salary and bonus data for a while, but the banks ruined my plans by changing base salaries multiple times in less than a year. based roles at large banks as of early 2022, along with total compensation from 2021. What Happened to Investment Banking Fees?

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Banking Start-ups Equity Finance 130

Equilest

SEPTEMBER 1, 2023

This process has been gaining traction worldwide as property owners seek to capitalize on the potential value locked within their properties. This value is typically higher than the sum of individual property market values due to the development potential that can be unlocked through amalgamation and redevelopment.

Marketability 40

Marketability Business Valuation Compliance Banking 40

Brian DeChesare

SEPTEMBER 13, 2023

Distressed investing offers equity-like returns with lower risk.” Distressed debt investing offers advantages over other hedge fund strategies , but the marketing often oversells the benefits. These percentages mean the market is pricing in a high likelihood of creditor losses in a restructuring or bankruptcy.

Equity 96

Equity Banking EBITDA Start-ups 96

Brian DeChesare

MARCH 13, 2023

In 24 hours, it went from “We’re fine, but we took some losses and need additional capital” to “The FDIC is taking over, the government has guaranteed uninsured deposits, and there might be additional bank runs and a financial crisis or three.” It’s the second-biggest bank failure in U.S. Who deserves the blame. But the U.S.

Banking 119

Banking Start-ups Equity Treasury 119