Help Deciding Between Corporate Banking and Corporate Finance Offers
I am a recent graduate that just received two job offers and is deciding between them:
-Corporate/ commerical banking at a top ~75 bank in the country
-Corporate finance at one of the largest energy companies in the world, pay is 50% higher than the first offer
I wanted to go into equity or credit research but failed to break in, despite having a few interviews. My thinking is the work in corporate/ commercial banking is more interesting, it is easier to go from banking to corporate finance than the other way around, and banking would be an easier starting point if I wanted to go into equity or credit research,
However, the energy company would give me some great energy industry knowledge. The pay is also 50% higher, but I don’t care too much about pay when I’m starting out. I would get the brand name on my resume, but I already have a different F100 internship on my resume.
I am leaning towards the corporate/ commercial banking, but I would appreciate a second opinion. Thank you!
Based on the most helpful WSO content, here are some key considerations to help you decide between the two offers:
Corporate/Commercial Banking at a Top ~75 Bank:
Career Progression and Exit Opportunities:
Work-Life Balance:
Compensation:
Interest in the Work:
Corporate Finance at a Leading Energy Company:
Industry Expertise:
Compensation:
Brand Name:
Career Progression:
Key Considerations for Your Decision:
Recommendation:
If your primary focus is on breaking into equity or credit research, corporate banking seems like the better choice due to its alignment with your long-term goals and the potential for easier transitions. However, if you value industry expertise, higher pay, and a strong brand name, the corporate finance role at the energy company could be a compelling option.
Ultimately, weigh your interest in the work, long-term career aspirations, and the value of the brand name to make the best decision for your future.
Sources: Why corporate banking instead of investment banking?, Q&A: Corporate Banking Associate, Why corporate banking instead of investment banking?, Is Corporate Banking that much worse than IB?
My two cents as I work in credit research right now at an insurance company and worked in FIG IB straight out of school. I would say both of your options will give you what you need to break into credit/equity research. The main thing you should be focusing on if this is short-term is compensation and advancement opportunities. Before you make your next jump, you will have ~2 years to get make money and get a title/salary bump. This is all that matters. The experience will likely be similar, and as stated both will prepare you just fine for your next role with neither being significantly more beneficial from a resume standpoint. My choice would be without a doubt the energy company for the following reasons:
1. Industry knowledge and expertise: When you work within a singular industry you inevitably learn more than when jumping around looking at multiple industries like in corporate banking. You will be more versed when pitching exactly what you did over the last two years and what you learned. Also, energy is a hot topic right now with the AI buildout and the oil crisis in the middle east. I generally have a bullish view on non-renewable energy too so if the company you're looking at is an exxon/shell/chevron I would say you're likely to have a good start to your career and morale will be high at your job.
2. Pay: I know you said you don't care about money when you start out, but I promise you will. If you can live off the commercial banking salary, I would treat the 50% pay increase as a bonus and put as much as you can into Roth 401K and always max your Roth IRA ($7,500 a year). I promise you that 65 year old you will thank yourself. I would also look into the company's employee stock purchase plan as again I personally am bullish on non-renewable companies in the next couple years. All this being said, take the job with a 50% higher salary as this can also be used as negotiating power in your next job. Much harder to justify a 50% pay increase when you didn't make that at your last job.
3. Coworkers: Something I never valued before starting my career was who I was going to work with. Think of your job as one LONG group project in college. Remember that lazy frat pledge freshman year, that was in your micro-econ group project at the end of the year? Now imagine that guy is your coworker you're relying on to finish their part Friday afternoon when you were hoping to dip out at 4:00 to get an early start on the weekend. These people are now who you will spend 9 or more hours a day with 5 days a week so you better f*cking like them and they better like you especially if you need a reference in the future.
4. Miscellaneous items of note: Paid time off if you like to take trips as well as what holidays does the company close on, when are you expected to stay until if you have nothing to do, do you have to travel for work, and is a promotion possible in the window you have before jumping to another company?
When you go into future interviews, use it more as whether you will like the job and less as if they will like you for the job. This is the recipe for success and will eliminate indecisiveness like this in the future.
Let me know if you have any other questions, always happy to help!
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