Bulge Bracket banks workout/restructuring groups?
Anyone have any insights into these groups? Is it just managing the bank's distressed loan portfolio/trying to get the max recovery? Any thoughts on exit opps from this group?
Anyone have any insights into these groups? Is it just managing the bank's distressed loan portfolio/trying to get the max recovery? Any thoughts on exit opps from this group?
| +231 | Coverage Banking is Paradise | 29 | 6d |
| +152 | UBS preparing for a October Layoff Massacre | 102 | 3h |
| +118 | London Recruiting is Paradise | 47 | 7m |
| +77 | My Motivation Is At An All Time High | 13 | 4d |
| +56 | Work and Suicide | 24 | 45m |
| +49 | Is 7 years in banking enough to retire, or am I delusional? | 27 | 6h |
| +45 | Do actual investment bankers despise IB TikTokers as much as I think they do? | 28 | 3h |
| +34 | MM IB --> NYC IB? | 17 | 1d |
| +27 | Should I escape the matrix | 5 | 11h |
| +24 | Negotiating VP Sign-On Bonus (NOT Tied to Deferred Comp)? | 22 | 1d |
Career Resources
bump
l
Bump
just for your edification, it is very uncommon for BB balance sheet banks to have restructuring groups for the simple reason that the BB banks are the lenders behind the co's in the bk process. Kinda hard to advise a company to break their commitments to creditors when the banks are the creditors!
Workouts is likely different, but probably sits within CB rather than pure play IB
RX exists at many BBs in an advisory capacity despite deploying balance sheet. In my experience it’s more of advisory / lev fin lean with a push (at least today) on more rescue financing transactions. Banks may have conflicts if they’re a lender so there’ll be instances where they can or can’t engage with a client as an FA in a specific way – just part of the pros/cons with being at a BB. Obviously a Moelis or a Greenhill won’t have that issue in RX given there’s no deploying balance sheet from any part of the house, but won’t have many benefits that come with being a BB either.
Workout is a group that exists to manage existing bank risk, primarily in loans or something similar. A bank will house X exposure in Y instrument/security inside Z part of the bank and a situation will occur. The bank will have to mark the position down from par to whatever, say 70c, and then move it to workout oversight who then proceeds to manage the risk and try to figure out what to do to recoup value. You get the position at a shitty level and look for upside from there. Workout usually sits on the private side of the house. Typically distressed situations given the drastic price moves, yes, but it’s not an investor seat – job is to work your way out of sticky situations, trading out of chunkier size positions (think about the quantum of exposure a bank takes) and figuring out what to do as a creditor.
Thanks that makes sense
What are the exit opps from this group?
UBS and MS used to do a lot of Rx pre-08. Now BBs avoid the space for a variety of reasons.
Go for actual restructuring at a boutique - it pays better and the work is more interesting.
Quos inventore facere tempore atque a in. Sapiente voluptatem consectetur porro officia.
Illo optio illo dignissimos placeat vel doloribus rerum. Est error id et libero. Non unde dolores quidem maiores quis nihil facere. Nam sint aut sapiente eum. Debitis fugit minima accusamus in illo deleniti qui. Rerum explicabo tempore impedit et quam velit quis molestiae.
Mollitia autem deserunt deleniti nulla et consequatur. Hic omnis qui non fuga laborum incidunt corrupti. Saepe voluptate ipsam et nulla totam. Rem voluptatem aliquid pariatur eos eos maiores et suscipit. Omnis aperiam earum perspiciatis aut autem velit quisquam. Non voluptas error autem velit quia deserunt.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...