Buy Side Application Guidance

To make your buy-side application stand out, here’s what you need to focus on:

1. Tailoring Your CV for Buy-Side Firms

• Highlight Relevant Experience: Emphasize any experience that demonstrates your ability to analyze investments, such as internships, coursework, or personal investing. For example:
  • If you’ve worked on financial modeling, valuation, or market research, make sure these are clearly stated.
  • Mention any specific cases or projects where you analyzed inefficiencies or distressed assets (e.g., your interest in the Argentinian Debt Crisis or Siamese twin stock puzzle).
• Quantify Your Achievements: Use metrics to show impact. For instance, “Built a model to analyze distressed debt opportunities, identifying a potential 15% ROI.”
• Showcase Your Curiosity: Highlight your passion for investing by mentioning books like Default or any other relevant reading. Include any personal investing experience or participation in finance-related competitions or clubs.
• Tailor to Strategy: If you’re applying to specific strategies (e.g., L/S, event-driven, volatility), align your CV to reflect skills or experiences relevant to those areas. For example:
  • L/S: Mention equity research or stock-picking experience.
  • Event-Driven: Highlight any work analyzing M&A, restructurings, or special situations.
  • Volatility/Multi-Strategy: Showcase quantitative skills, coding (Python, R), or statistical analysis.

2. Preparing for Buy-Side Interviews

• Deepen Your Knowledge of Strategies: Research the specific strategies of the firms you’re applying to. For example:
  • InfraRed Capital focuses on infrastructure and real assets, so understanding these sectors is crucial.
  • For HFs, know the nuances of their strategy (e.g., merger arbitrage, distressed debt).
• Practice Stock Pitches: Be ready to pitch a stock or investment idea. Use a structured approach:
  • Thesis: Why is this a good investment?
  • Catalysts: What will drive the price movement?
  • Risks: What could go wrong?
  • Valuation: How did you arrive at your target price?
• Brush Up on Technicals: While technicals are less emphasized in the UK compared to the US, you should still be prepared for questions on valuation, financial modeling, and market concepts.
• Behavioral Questions: Be ready to explain your motivations for joining the buy-side, your interest in specific strategies, and how your background aligns with the firm’s focus.

3. Resources for Preparation

• Books: Continue reading books like Default and expand to others like The Most Important Thing by Howard Marks or You Can Be a Stock Market Genius by Joel Greenblatt.
• Case Studies: Leverage resources like Value Investors Club (VIC) for real-world investment cases. Analyze these and try to replicate the thought process.
• Networking: Reach out to alumni or professionals in the buy-side space. Informational interviews can provide insights into what firms look for and help you refine your approach.
• Mock Interviews: Practice with peers or mentors who have buy-side experience. Focus on both technical and behavioral aspects.
• Online Resources: While ChatGPT can be helpful, supplement it with WSO threads, Investopedia, and other finance forums for more nuanced insights.

4. Final Tips

• Timing: Ensure your applications are submitted early, as buy-side recruiting can be competitive and deadlines vary.
• Persistence: If you don’t get immediate traction, keep refining your CV and interview skills. The buy-side is notoriously selective, but persistence pays off.
• Be Specific: When networking or interviewing, clearly articulate why you’re interested in the buy-side and the specific strategy of the firm.

By aligning your CV and preparation with the expectations of buy-side firms, you’ll significantly improve your chances of landing an internship. Good luck!

Sources: London Tier 1 Buyside Recruiters List, Q&A and Yet Another Post On How To Break Into The Buy-side, International Student - Chance of getting an IBD internship in London?, Advice for London applicants, Q&A: Buyside women