FIG CB interview preparation

Based on the most helpful WSO content, here’s what you need to know for preparing for a FIG CB (Commercial Banking) interview:

1. Understand FIG Verticals: Beyond insurance, FIG includes:

   • Banks: Focus on their balance sheet-driven business model, key metrics like net interest margin, loan-to-deposit ratio, and capital adequacy ratios.
   • Asset Managers: Understand AUM (Assets Under Management), fee structures, and performance metrics.
   • Specialty Finance: Includes credit card companies, mortgage REITs, and student loan providers. Key metrics include loan performance and securitization.
   • Financial Technology (FinTech): Valued more on EBITDA than balance sheet metrics. Focus on growth, user acquisition, and transaction volumes.

2. Credit Perspective:

   • Be ready to discuss credit risk analysis, including assessing financial statements, cash flow, and debt repayment capacity.
   • Familiarize yourself with credit agreements, covenants, and risk mitigation strategies.
   • Understand how FIG companies differ in credit risk due to their reliance on balance sheet assets to generate revenue.

3. Resources to Check:

   • The WSO thread on "Working in FIG (Financial Institutions Group) - An Overview" (url: https://www.wallstreetoasis.com/forum/investment-banking/working-in-fig…) provides a detailed breakdown of FIG sectors and their unique characteristics.
   • The thread "Why Should I Work in FIG Investment Banking?" (url: https://www.wallstreetoasis.com/forum/investment-banking/why-should-i-w…) offers insights into FIG modeling and valuation techniques.

4. Interview Prep Tips:

   • Be prepared to discuss your insurance background and how it translates to understanding other FIG verticals.
   • Highlight your ability to analyze balance sheet-driven businesses and your familiarity with credit risk.
   • Practice behavioral questions to demonstrate your fit for the CB role and your ability to work with FIG clients.

Good luck with your interview! If you need more specific insights, feel free to ask.

Sources: CIB Credit Risk J.P. Morgan, Working in FIG (Financial Institutions Group) - An Overview., Why Should I Work in FIG Investment Banking?, Working in FIG (Financial Institutions Group) - An Overview., Walk me through the Canadian IB sector