Small cap / mid cap Activist Investor Internship

Based on the most helpful WSO content, here’s how you can prepare for an activist investor internship interview:

1. Understand the Fund's Strategy:

   • Research the fund’s past investments and activist campaigns. Look for publicly disclosed positions and try to reverse-engineer their logic.
   • Identify if they are overweight in specific sectors or positions and prepare intelligent questions about their strategy.

2. Prepare an Investment Pitch:

   • Create a solid investment pitch. Include a comparison of the company you're pitching with 4-5 peers using valuation metrics (e.g., forward P/E, EV/EBITDA) and balance sheet metrics (e.g., cash, investments).
   • Bring a printout of your analysis to demonstrate your preparation and analytical skills.

3. Be Ready for Technical Questions:

   • Brush up on financial modeling, including DCF, LBO, and comps. If you’ve taken courses like Wall Street Prep, leverage that knowledge.
   • Be prepared to discuss valuation methods and the rationale behind M&A or activist strategies.

4. Behavioral and Fit Questions:

   • Practice your elevator pitch: why the industry, why the firm, why the region, and why you.
   • Use the STAR method to structure your answers for behavioral questions. Tailor your responses to highlight why you’re a great fit for the firm and how you can thrive in the environment.

5. Stay Updated on Market Trends:

   • Read business news daily (e.g., WSJ, FT) to stay informed about recent deals and market movements. This will help you discuss relevant topics during the interview.

6. Ask Insightful Questions:

   • Don’t hesitate to ask what the hiring manager looks for in candidates or about internship opportunities. This shows genuine interest and can leave a strong impression.

By combining these steps, you’ll be well-prepared to tackle both technical and behavioral aspects of the interview. Good luck!

Sources: Preparing for the HF informational interview, Guide for Investment Banking Full-Time Recruiting, An ex-Goldman Sachs insider’s 10 tips on how to sail through investment banking interviews