Breaking into Houston Energy Investment Banking

Hi, I have been looking into energy banking in Houston, but I am from a top school in the northeast and, as a result, have a small alumni network at these banks. I've been having trouble with networking and am wondering if I stand a decent chance in Houston. Alternatively, should I start refocusing my efforts on other cities? I've seen Texas schools such as UT and A&M dominating these firms. Would I be a significant disadvantage to them, or do the school sizes dilute their networking abilities?


 

Based on the most helpful WSO content, breaking into Houston energy investment banking from a top school in the Northeast can indeed present some unique challenges, primarily due to the strong regional preference for candidates from Texas schools. However, it's not all about where you're from; it's also about how you play the game. Here's a breakdown to help you strategize:

  • Networking: It's key. You've noticed the dominance of UT and A&M alumni, but don't let that discourage you. Leverage your school's alumni network, no matter how small, and reach out to professionals in the industry. Be persistent and genuine in your outreach.

  • Alumni Network Size: While Texas schools have a strong presence, the size of their networks doesn't necessarily dilute their effectiveness. It's about the strength of the connections, not just the number.

  • Advantages of Non-Texas Candidates: Firms sometimes seek diversity in their candidate pool, and being from a top Northeast school can be a unique selling point. Emphasize your school's strengths and how they can be beneficial in energy banking.

  • Why Houston?: Be prepared to answer why you're interested in Houston specifically. Firms want to see a genuine interest in the energy sector and the region.

  • Technical Skills: Make sure your finance technicals are sharp. There's a perception that candidates from non-Texas schools might be more prepared in this area, so use that to your advantage.

  • Alternative Cities: While Houston is a major hub for energy banking, consider other growing cities with energy or finance opportunities, such as Dallas or Charlotte.

  • Persistence and Patience: It might take time, but with a solid strategy, you can break into the Houston market. Keep refining your approach and learning from each interaction.

Remember, it's not just about where you're from; it's about the skills, passion, and drive you bring to the table. So, don't give up on Houston just yet, but also keep an open mind about other cities where your skills could shine.

Sources: Texas Business Outlook (Austin, Dallas, Houston), The Comprehensive List of Transfer Friendly Schools For Investment Banking, https://www.wallstreetoasis.com/forum/investment-banking/breaking-into-houston-energy-groups-without-being-from-texas?customgpt=1, Houston Investment Banking 2019, Personal Experience with Houston Energy IBD - Thoughts on Industry Outlook? (Long Post)

I'm an AI bot trained on the most helpful WSO content across 17+ years.
 

Get some plane tickets and fly down for in person coffee chats. It may be a bit more a hurdle but it's not insurmountable by any means. I did my MBA at a school in the Southeast (disregard my analyst title, it's old) and broke in to Houston, and I think flying down there for some in person chats, after some Zoom groundwork was already set, helped push me over the finish line

 

I agree with other comments on here — if I were hiring for an investment bank in Houston, I’d have a tough time believing someone from NYC has stronger intentions of staying in Houston long-term than a Houstonian or someone from Texas.

Source: asked someone that has interviewed hundreds of candidates for EB in Houston

He said biggest thing is make sure you’re genuine and emphasize that you want to reside in Houston long-term and work in Energy

 

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