How do I get faster at updating/building complicated models?

To get faster at updating and building complicated models, especially for sectors like REITs, financials, and energy, here are some efficiency tips based on the most helpful WSO content:

1. Streamline Your Data Collection Process

• Use a Consistent Approach: Instead of jumping between multiple sell-side models, focus on creating a standardized template that works for your needs. This reduces the time spent reconciling inconsistencies.
• Leverage Prior Filings: Use last quarter's filing as a roadmap to quickly locate the relevant sections in the current quarter's supplemental. Your "Control + F" method is solid, but refining it with bookmarks or a pre-built index of key metrics can save time.
• Automate Where Possible: If you're repeatedly pulling the same data points, consider using tools like Excel macros or Python scripts to automate the extraction process.

2. Optimize Model Structure

• Pre-Build Templates: For REITs or other complex sectors, have a pre-built model template that includes placeholders for key metrics like same-store NOI, occupancy rates, and debt schedules. This minimizes the need to start from scratch.
• Centralize Inputs: Create a single input sheet where all raw data is entered. This allows you to update numbers in one place and have them flow through the model automatically.

3. Improve Your Workflow

• Version Control: Keep a clean version of your model before making updates. This avoids wasting time fixing errors caused by accidental overwrites.
• Sanity Checks: Regularly check your formulas and outputs for errors (e.g., double negatives, missing rows in sums). This prevents time-consuming troubleshooting later.
• Batch Your Work: Group similar tasks together (e.g., inputting historicals, updating assumptions) to maintain focus and avoid context switching.

4. Leverage Technology

• Data Aggregators: Use platforms like Bloomberg, CapIQ, or FactSet to pull historicals and key metrics more efficiently. These tools often have export features that can save hours of manual input.
• Excel Add-Ins: Tools like FactSet Excel add-ins or other plugins can help automate data pulls directly into your model.

5. Focus on Key Drivers

• Prioritize Material Metrics: Identify the most impactful metrics for your model (e.g., same-store NOI for REITs) and focus on those first. This ensures you're spending time where it matters most.
• Simplify Where Possible: Avoid overcomplicating your model with unnecessary details. A clean, focused model is often more effective than an overly intricate one.

6. Practice and Build Muscle Memory

• Repetition: The more you work with these models, the faster you'll become. Practice building models from scratch to improve your familiarity with the process.
• Learn Shortcuts: Master Excel shortcuts and formulas to speed up your workflow. For example, using "Alt + =" for quick summations or "Ctrl + [" to trace precedents.

7. Review and Refine

• Post-Update Review: After each update, take 20-30 minutes to review your work for errors and inconsistencies. This saves time in the long run by avoiding rework.
• Seek Feedback: Share your models with colleagues or mentors to get tips on improving efficiency and structure.

By implementing these strategies, you can significantly reduce the time spent updating and building complicated models while maintaining accuracy and quality.

Sources: REPE Entity level investment, https://www.wallstreetoasis.com/forum/investment-banking/modelling-has-to-be-the-biggest-misnomer-in-this-industry?customgpt=1, What lessons you learned the hard way so everyone else doesn't have to?, Real Estate Asset/Portfolio Management Tips and Tools, Real Estate Asset/Portfolio Management Tips and Tools