How to Apply for an Internship in Investment Banking

 How to Apply for an Internship in Investment Banking

Getting an internship in investment banking might be challenging due to the multitude of factors to take into account: When is the best time to apply? Where do you submit an application? What information need to include in your application? We have put up a thorough guide on how to get an internship in investment banking to make this process easier.

How to Apply for Investment Banking Internships

To get an internship in investment banking, you need to:

begin early and stay in touch

acquire skills, apply thoughtfully, and improve your application

begin early

It seems that applications for internships in investment banking open earlier each year. A lot of students start searching for internships during their first year of college. In the end, you have to begin preparing for an investment banking internship your freshman year if you want one your junior year. You will gain a lot in the long run by making connections and practicing interview techniques during your first year of college.

When planning to locate a banking internship, some important pointers to bear in mind are as follows:

The summer after your first year, you should do an internship of any kind to hone your interviewing skills and add something to your résumé. Develop your internship-finding skills to further your career.

Participating in school leadership initiatives and building networks may eventually lead to greater prospects.

Even if you don't succeed, applying for internships as a freshman is a great practice.

Instead than concentrating on the application deadline, it's vital to apply as soon as possible since companies often recruit interns on a rolling basis.

Keep an eye out for internship openings and apply as soon as you can since some organizations conduct interviews and accept applications up to a year in advance of the start date! For instance, the Summer 2024 application period commenced in March 2023. To learn more about when leading firms hire, see our guide on internship deadlines.

Different programs and internships are available at each bank. Take a look at these resources to get more insight into the possibilities offered by leading banks:

An Overview of JP Morgan Internships

A Guide to Internships at Goldman Sachs

A Guide to Connecting with City Internships

Establishments are crucial in the banking sector. The saying "It's who you know, not what you know" is true for internships as well, thus building relationships with individuals in the field and networking is essential to success. Fortunately, developing connections may be achieved in a variety of ways.

networking gatherings

Networking with financial experts at events that aren't specifically related to investment banking might be a terrific approach to discover prospects. Later on, this might lead to other relationships.

LinkedIn

When it comes to networking and making connections with individuals you would not otherwise know, LinkedIn is an excellent resource. You should search not only for well-known bankers and recruiters at the banks you are applying to, but also for alumni from your college who are in the finance industry, other students pursuing internships in investment banking, and professionals in consulting or private equity. able to communicate with executives of ancillary businesses. Business.

Top Mobile Banks CEO and investment analyst Tim Doman thinks that networking via LinkedIn groups and attending events may have a significant impact.

Clubs, Associations, and Events

Investment clubs are common on college campuses, where students pool their resources to manage and invest a certain sum of money. Being a member of several investing clubs instantly enhances your CV since they are quite selective. These groups may arrange meetings with relevant alumni and take part in networking activities.

A simple method to broaden your network is to join a club or group on campus, even if your school doesn't offer a financial or investment club. Clubs are a simple method to boost your chances of success when reaching out to alumni. The more things you have in common, the easier it may be to build relationships. Leading a club or group in college also looks well on resumes, as employers want to see leadership experience.

case contests

Case competitions for investment banking provide you the chance to highlight your abilities, build your CV, and be noticed by industry professionals. You collaborate with a team to finish a project or case study in a case competition. For instance, some concentrate on producing pitchbooks, whilst others can include writing essays or taking part in business-related events.

Participating in these case contests may help you gain a prominent company's name on your resume since employers and banks often sponsor them. In addition, in the event that you lack other practical experience, a case competition provides you with something to emphasize in your cover letters and interviews.

Program for Early Insight and Diversity

Early insight opportunities and diversity initiatives are usually directed towards underrepresented minorities or certain groups within the banking profession. Joining a diversity program is a fantastic opportunity to meet the appropriate individuals provided you meet the requirements.

You may speak with recruiters, hiring managers, bankers, and members of the bank's human resources department directly at informational or introduction meetings about their diversity programs held by many institutions. Taking advantage of this chance to network and workshop might improve your chances of securing a full-fledged internship the following year, since these programs often result in internship offers.

acquire abilities

Lack of technical and hard skills cannot be made up for by networking. You must be able to perform in order to get employment, thus the sooner you begin honing your fundamental investment banking abilities, the better! You should be proficient in a number of technical areas prior to applying, including discounted cash flow (DCF) analysis and the procedures associated with mergers and acquisitions (M&A). Many of the interviewer's questions will be technical in nature, and your confidence in responding to them will increase with your understanding of these ideas.

Hard abilities are important, but soft skills are what will eventually get you the job. Depending on your ability to work well with others, handle office politics, and think critically, you could get an offer for a full-time internship or not. Naturally, you must be ready to address any technical question, but you may also greatly increase your chances of success by being approachable and establishing a genuine personal connection with the interviewer.

apply consciously

It matters where you apply. Getting into the elite investment banking firms and higher tier banks is absurdly difficult. As an example, Goldman Sachs is more selective than Harvard or Oxford, with an admittance rate of around 1.5%.

Your chances of getting into a large investment bank are greater if you're at a target school, have excellent marks, and have developed strong networking skills, but it's still a good idea to apply to other universities.

When applying, bear the following in mind:

Location: Apply for internships in nearby branches or satellite offices rather than in big cities if you reside nearby. There are often less applications for satellite and branch offices since everyone wants to work as a summer analyst on Wall Street, which increases your chances of success.

Size and Scope: Apply to internships in wealth management, consultancy, venture capital, boutique banks, and small private equity companies. A corporate finance internship will help you build a solid resume for future internships and job applications.

Apply widely but cautiously: Although applying to several positions might boost your chances of landing an internship, some recruiters may see applicants who apply repeatedly to the same company as suspicious. Therefore, instead of applying to every banking internship available, make sure that you only apply to appropriate opportunities inside a single organization. Additionally, keep in mind that many banks only let you apply for a limited number of positions each year. JPMorgan, for instance, only accepts applicants for three programs each year.

refine your submission

According to other students, they had to apply to over 100 internships before receiving a single offer. Although applying to each internship might take a lot of time and work, keep in mind that this is still a possibility. (Check out how ChatGPT can assist with CV writing!) You need a professional cover letter and CV that showcase your talents and why the organization would be a good match if you want to seem your best. Emphasize the two.

"Craft a cover letter and resume for each specific internship," suggests Doman to students. Emphasizing relevant experiences and abilities might help a candidate stand out. I assure you that a personal touch makes a big difference.

Your aim for the cover letter should be to demonstrate to the company your enthusiasm for the position and your ability to be a valuable member of the team. Learn the best ways to write internship cover letters.

You must show on your CV that you are open to learning new things and making adjustments. Additionally, you should carefully study the job advertising to identify the essential abilities the company is seeking. Get a resume template to use and discover more about building a resume for an internship.

Application Timeline for Internships

As soon as you can, become engaged in the community by networking, joining clubs and groups, and accepting leadership positions, internships, and employment that will strengthen your resume.

Apply up to a year and a half in advance for internships in investment banking. The summer internship application period for the next year typically runs from January to March. (Be careful to apply as soon as possible since positions are often filled in order of receipt; first come, first reviewed, first employed!)

Finish the first round of interviews. Though some banks may employ video or phone interviews with the recruiter, many use HireVue or other virtual, pre-recorded interview forms.

Take part in Superday, a multi-interview, weekend-long networking and interview event. Always follow up with a thank-you message to every interviewer!

Await the company's response. While some banks make offers on Superday, others could not make a decision for many weeks or even months.

Your career in investment banking doesn't end if you don't get an offer. Make an effort to get in touch with the interviewers to get feedback. If not, assess your background and identify your areas of weakness. For instance, your technical abilities could not have been up to grade, or vice versa, but you might be personable and have a nice relationship with the interviewer. Or maybe you've only applied to bulge bracket banks or highly sought after places.

There is still time for first- and second-year students to locate internships in banking that aren't related to investments. Any internship experience may help you stand out in the application process and improve your abilities throughout the course of the next year.

What to anticipate from an internship in investment banking

Your internship in investment banking serves as a training ground for your prospective banking profession. You'll be able to determine how well you manage pressure, stress, and very lengthy investment banking hours via this event. During these 10- to 12-week internships, you serve as analysts' and associates' go-to person, helping them with all of their needs. Yes, it could sometimes include consuming coffee. However, it might also include finishing financial models, pitch books, and presentations.

Receiving a full-time offer should be your primary objective for the duration of the internship. Perfect soft skills are necessary; you must network and have influential individuals on your side. Additionally, you must make sure that you collaborate effectively with others and generate excellent work.

"Even though it was scary, I made sure to actively participate in meetings when I was an intern at a top investment bank," recalls Doman. "I made a good impression on my superiors by sharing my insights, and that eventually led to a full-time offer."

Determining whether or whether you really like investment banking should be your second objective. Yes, films like "The Wolf of Wall Street" present banking as an exciting, high-stakes profession that allows you to live in a Hamptons mansion and drive five sports cars at will. Regretfully, that's not the reality of banking, particularly not at the beginning of your career. It is undoubtedly fast-paced, but before you can really feel at ease in your role, you must put in a lot of effort, put in long hours, and prove yourself over years.