Weekly Reader Q&A: Summer Internships vs. Study Abroad, Low GPAs, Going International AND Local
Yes, you read that headline correctly: this post is NOT about Bear Stearns.
I’m not sure there’s much more to say on the topic at this point in time, but as the situation evolves you may well expect another installment in the saga (I think Episode 3: The Return of The Offer would be appropriate, assuming everything goes well for the Bear Stearns summer interns and full-time hires out there).
I’m going to wrap up the week with another installment of reader Q&A covering some of the non-Bear-Stearns related questions I’ve received recently.
Summer Internships vs. Study Abroad
“I’m trying to decide what to do this summer. Last year I interned at a non-investment-banking financial services/consulting firm (think Deloitte, Standard & Poor, Moody’s) and have the option to go back there this year and work in a different division. However, I also have the opportunity to do a study abroad program in Europe, study international finance and visit branches of large financial firms.
And in addition to both of those, I’m also interviewing for a rotational program at a bulge bracket bank. However, I don’t know what my chances are there and I’m still early in the interview process.
Which of these options is best if my goal is to get into investment banking? And what if I don’t get the rotational program?”
Inquisitor:
As you alluded to, the bulge bracket internship would be your best option if you want to do investment banking, simply because, well, it’s an investment bank. If you get that I would take it without hesitation.
If you don’t land that offer, the decision is a bit tougher. International experience heavily always looks good when applying for finance jobs (I relied heavily on my study abroad experience when I was recruiting), and it would be good to mix things up and get different kinds of experience.
Since you already had an internship at the same financial/consulting firm last summer, going there again may have diminishing returns. And since it’s not at an investment bank, private equity firm, or hedge fund, it is not going to help you a tremendous amount if you want to get into one of those.
I would lean toward going to Europe, but I don’t think you can go wrong with either one.
How To Cover Up Low GPAs
“I go to a prestigious university, but my performance over my first 2 years there was poor and as a result I had a low-3.0 GPA. I’m confident I can maintain a 3.5 or better for my last 1.5 years here, but am concerned about my poor initial GPA.
I have been including a statement on my resume explaining that my performance over my first 2 years fell short of my capabilities and I was not serious/focused, but I have since changed and been doing much better. Going forward, my GPA will be at least a 3.5 and so my overall GPA will be up as well.
Do you think this is unnecessary or should I leave it in?
Inquisitor:
I would not include that statement on your resume itself, for a couple reasons:
- It seems quite out of place to list that on a resume. If anything, you would put it in your cover letter (although as I’ve said before, we rarely read them).
- You do not have any extraordinary circumstances like a death in the immediate family or illness that can easily explain away the low GPA.
- Your GPA is not yet significantly higher; you just say it will be higher. Statements like this work best if you did poorly freshman year, for example, but then got a 4.0 your sophomore year. That proves you experienced a dramatic turnaround.
Your GPA is what it is, and it’s very difficult to hide it from recruiters and others at investment banks reading your resume. As I’ve written before, the best thing to do with a low GPA is to network and avoid going through the standard recruiting process. Once you get your foot in the door, all that matters is your investment banking interview performance.
Perhaps if your major GPA is significantly higher, you can list that as well, which may help assuage low GPA fears at the bank.
How To Get Into Banking With A Truly International Background
“I’m from East Asia and currently study abroad in central Europe at a business university there. While it’s very well-known in the region, internationally it is not a top-tier school. I will graduate in a year with the equivalent of a Master’s Degree.
I have applied to some bulge bracket jobs but was declined, so now I’m applying to local investment banks here. Since my university is not a target school for bigger banks and my GPA is not stellar, I have had a difficult time getting interviews.
Do you think someone with my background realistically stands a chance at getting an investment banking job? Should I do an internship at a local bank? Should I get a CFA?”
Inquisitor:
You certainly have a unique background. I think you can get into investment banking with your background, but it would be best to focus on regional and local banks as you have done. Right now the job market is rather poor so it will be difficult to work at bulge bracket banks, even at the ones that didn’t go out of business in the past week.
A CFA will not help you all that much - getting banking experience, even if it’s a smaller bank, is definitely the way to go. If you have to, offer to work for free just so you can get the proper experience and start building relationships for a bigger and better job down the line.
I would also reach out to alumni of your university who work in finance or investment banking and see how they can help you find jobs or refer you to regional banks looking to hire. Alumni networking is by far the best way to break into investment banking for those with a non-traditional background.
Like this article? Subscribe via RSS and start understanding investment banking.Get into Investment Banking via Email:
Tags: alumni network, boutique investment banks, GPA, international experience, investment banking cover letters, investment banking resume, investment banking summer internship
Coming Soon: Breaking Into Wall StreetRelated Articles:
- Weekly Reader Q&A: The Age Factor, Finance Internships Abroad, And Fall Analyst Recruiting (And More Summer Internship Tips)
- Weekly Reader Q&A: Investment Banking From Ph.D., Boutique Summer Internships, Informational Interviews
- Weekly Reader Q&A: VC Internships, Private Equity In China And Visits To Firms
- If You Don’t Get Into Investment Banking, Should You Become a Ski Bum Instead?
I am currently a Finance major at Florida State University and would like to go into the IB field. My question is: Is it possible to get a job in this field with a diploma from a University like FSU (not ivy-league, in other words)? If so, what would I need GPA-wise and would it be smart to get an MBA with a concentration in Finance here.
Trav: It’s possible, but you will need to network extensively and target smaller firms rather than the bulge brackets. GPA is not as relevant as where you went to school. Also, an MBA won’t help much unless you have significant work experience before.
I have a problem similar to one that you addressed in this post: My overall GPA is in the lowish-3’s (3.29 to be exact), and for most bulge brackets, this is low. At the end of my sophomore year, I had a 3.09; I posted a 3.6 during my junior year, which allowed me to bring my GPA up from the “no chance” status it was at to the “eh, you’re getting there” status it is currently at. Is there any way to play this off, or do I just need to wait and hope that someone will give me an interview with my 3.29? I do believe it has a lot to do with me “growing up” and getting “serious,” as well as finding something that really interested me (finance, accounting). If it helps, I have a 3.7 major (accounting) GPA. Any suggestions?
I would list your major GPA on your resume - that will help you the most. Hard to properly convey a rising GPA on your resume, but listing both overall and major GPA will help. You can then bring up in interviews how much you’ve improved.
Thanks. So you would suggest putting both on my resume?
Also, I read in a previous post that “rounding” your GPA won’t be a deal breaker - would rounding my cumulative from 3.29 to 3.3 be a bad decision? Or do you think it would really make any difference, ultimately?
Yeah I’d list both on your resume. 3.29 to 3.3 is fine, won’t make too much of a difference but can’t hurt either.