Ask anyone what banks have been doing over the past few years, and you’ll get the same answer: “Laying people off! Cutting! Downsizing!”
Now, that’s not quite true because hiring has actually fluctuated from year to year, but the basic point is true: the finance industry has shrunk quite a bit from the last bubble in most countries in Europe and North America….
Except for Mexico.
As banks scaled back their hiring in New York and London post-crisis, they bounced back to growth much more quickly in Mexico, Brazil, and other countries in Latin America.
Today, you’ll hear just what a difference this trend made for one reader who went from no finance experience and a liberal arts degree in the UK to equity research at a bulge bracket bank in Mexico.
So pull out a tequila shot, or two, or three, and get ready for yet another story of defying the odds to get into the industry:
Graduating Into the Crisis 101
Hedge Fund Case Studies 101, Part 3: How to Build the Financial Models You Need to Land Offers – and Put Together Your Stock Pitch
One of the many benefits of a multi-part series like this is that I can drive you crazy – or at least make you keep reading – by withholding key information until the end.
In this case, though, I’m going to do something even better and give away some of it here in Part 3, before the conclusion to the series in Part 4.
This time around, we’re going to turn our attention to financial modeling and valuation in hedge fund case studies and learn what you need to know, how it’s different, and how much detail to provide with limited time and resources.
Our interviewee returns today, with even more tips to share on all of those topics – plus the all-important “how to put it all together and make a coherent presentation” point.
Let’s get modeling:
The Purpose of Models in Hedge Fund Case Studies
Q: So let’s talk about my favorite topic in the world: building financial models.
You naturally want that stamp of approval when you’re up for that next job or promotion.
Well, at least if it’s a stamp of approval from Harvard / Wharton / Stanford as opposed to Unknown University.
If you’re already in the finance industry, you’re probably already considering your options, assigning risk-weights to various plans and figuring out the trade-offs between going to business school now vs. several years from now as your “Plan B” backup option.
But what if you’re not sure about business school? It is, after all, 2 years of unpaid salary and over $160K in costs to cover tuition, books, trips, dinners, and more.
You don’t exactly want to pay for the entire expense upfront if you’re not sure whether or not you really want to go… but the good news is that you don’t have to.
Instead, you could simply take the GMAT exam and consider it a “call option” on your career.