Portfolio Analyst for corporate bank portfolio: What to expect?
Hi all,
So I'm looking for help understanding a position my buddy had described to me. He said it was a portfolio analyst position for a corporate bank which managed the portfolio of loans the bank has issued. Confused me a bit as other portfolio analyst positions involved managing portfolios either for specific clients (PWM) or for funds that groups of clients in invest in (AM/HF/Buy side) rather than directly for the bank.
Can anyone offer some insight as to what the day-to-day tasks might be and what skills are useful to develop should I decide pursue it as a career? Also, it seems like the position is located on the IB side of the bank vs AM, so would that affect the typical exit opps one would expect from working in AM as a portfolio analyst?
If I'm not being clear enough let me know.
If it's what I'm thinking it is, you'll most likely be assigned a group of companies (usually bigger companies) which the bank has loans out to. Whenever one of them does a new loan deal (ranging from M&A, recap, refi), you'll assist in putting together a memo that analyzes the company in various ways. This memo has to be approved by the risk management department before you can fund the loan. You'll also be in charge of standard reviews of the company to make sure they are performing. If you search "portfolio management corporate banking" there should be plenty of posts going into more detail
deas7,
What type of exit opps can come from this in your opinion? Currently looking at moving into similar role in new city with a BB.. I've been doing MM credit since undergrad (Dec 14 grad) and have completed CFA 1&2 - taking L3 next summer. Looking to break into credit investing pre-MBA. Would love to hear your thoughts.
Portfolio Analyst at a large Bank (Corporate Banking) - thoughts on future career opportunities? (Originally Posted: 07/09/2013)
I have been in a Portfolio Analyst position for 3 months now within one of the top 5 banks in the U.S. Below is a quick description of what I do. I am pretty much a Credit Analyst.
• Perform thorough risk analysis of financial statements for large public and private corporations, commercial businesses and government entities. • Develop, interpret and communicate reports for Portfolio Managers showing key financial information such as leverage ratios. • Conduct covenant tests for various businesses, including the Fixed Charge Coverage calculation. • Analyze trends in cash flows, debt to capital structure, assets, revenues and expenses. • Maintain a compliance-monitoring database that tracks credit approval requirements and customer’s financial reporting requirements on behalf of Portfolio Managers.
It's cool because I get to analyze all types of companies, from fortune 500 corporations to smaller businesses. I will also get to do projections in the future as well as Portfolio Manager training which includes industry and competitor research, and much more.
I guess I wanted to get Finance Professional advice on these type of positions and just how much respect something like this gets in Finance. I am straight out of college and did very well in school. I graduated Summa Cum Laude, although my area of study was more geared towards Accounting. I am not sure whether I want to be an Investment Analyst, Investment Banker, Corporate Banker or Corporate Financial Analyst right now. I just want to get opinions on my experience and which areas of Finance would be easy to transition into with it. Please provide me with any insight.
Thanks a lot!
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