PLS Help: JPMorgan Corporate Finance Advisory Group

Hi everyone,

I want to get some insights on what exactly does this group do and how are the exit ops from this group (possibility of move to JPM M&A?). Is this a front office position? It is housed under IBD and is considered one of the product groups.

Thank you so much in advance!

J.P. Morgan Investment Banking Division Product Group (from JPM website):

corporate finance Advisory

J.P. Morgan's corporate finance Advisory (CFA) team plays an integral role in how J.P. Morgan serves clients. By leveraging expertise across products, sectors and markets, the CFA team integrates and customizes offerings and solutions to help our clients meet their strategic, financial and risk management objectives. Specifically, the CFA team provides leading ratings advisory, capital structure & risk management, M&A structuring, equity, and credit-linked market solutions to clients. The team also researches and authors a number of well-received reports on capital structure, market and industry-specific issues.

Comments (20)

Best Response
Mar 8, 2011 - 10:13am
orangejulius, what's your opinion? Comment below:

I work closely with this group. It's front office and somewhat a mix of consulting/banking/research. It breaks up into 5 groups (corp fin, ratings, fig, insurance, structured prod). Doesn't matter which group you're in, everyone's on the M&A floor at 383 madison. You will get client coverage, a lot of modeling, and be responsible for authoring a lot of research. If M&A is your goal, this is probably the best way to break in. Besides sitting right next to them, your work depends on direct interaction with M&A and other product groups. There are plenty of exit opps but if your working in JPM, mobility is strongly encouraged and you can move into any other product group.

Mar 10, 2011 - 3:20pm
HireUp212, what's your opinion? Comment below:

I would classify CFA as more of a "middle-office" operation - they assist coverage and product groups but they have no product of their own to execute and they don't generate revenue by themselves. This group's primary responsibility is conducting and publishing research on complicated issues that coverage bankers can then leverage to help generate business - for example, they will do work on dividends (to issue or not to issue), stock buybacks, pros/cons of investment grade ratings, etc. They'll maintain some pretty interesting databases of information which coverage groups can leverage when needed. One of their biggest areas is Ratings advisory. This group will almost always be looped into discussions about issuing new debt (since ratings play a large role in pricing) and acquisition capacity analyses. At more senior levels, people will certainly be on client calls to walk through their specific materials. This group is also pretty lean so even senior associates can find themselves responsible for a particular sector, which I guess can provide a good experience.

But understand that at the junior level, you are not executing deals. You are getting a very different form of modeling experience that might not necessarily be sought after by PE firms and hedge funds if that is what you hope to do afterwards. This group is not a standard "grind-it-out-for-2 years" banking group so should not be viewed in terms of exit opps - the hours are manageable; they probably work until 6pm on a normal day (little weekends) although they can get jammed when coverage needs their input last-minute (which can happen a lot). I imagine many of them stay on from analyst to associate, etc, although can't confirm. I would also add that most of these guys from my experience are very smart and quantitative - more than is required by typical banking.

To orangejulius' point above, I only know of one guy who moved from CFA to M&A - I wouldn't say that this is common and your "best" way to break into M&A. I think going from a coverage group to M&A is a much easier path.

In terms of bonuses, analysts will make the same as analysts in any other group - they still fall under banking and still train with the rest of the class. Keep in mind there are not a lot of analysts in this group...at the higher levels, I'm sure they are making less than their coverage and product counterparts given their internal advisory role and the fact that they don't generate fees by themselves.

If your goal is to do coverage or to get the PE and hedge fund exit opps, I would not recommend this group. Some of these guys have a lot of natural intelligence and quantitative understanding so I wouldn't be surprised if they could land hedge fund jobs on their own merits - but that is probably more of a product of the individual than the group experience.

Hope that helps - let me know if you have any other questions.

Mar 10, 2011 - 4:03pm
humble_dude, what's your opinion? Comment below:

Great insights HireUp and orangejulius, thanks guys.

The guys in group is very quantitative. The MD I talked to was a professor of finance at UNC-chapel hill and the VP whom I talked to is a PHD in finance from Columbia.

I don't think they recruit on the same schedule as IBD though, can you confirm it, HireUp?

Thanks!

Mar 10, 2011 - 4:23pm
HireUp212, what's your opinion? Comment below:

I can't say for sure but I would imagine they do recruit on the same schedule. Like I said, they are still part of the analyst banking class (vs. research and S&T) and still go through the same training program with the rest of us. They probably try to sell this group to potential candidates at the same time as they are recruiting for all of the groups, and they certainly don't want to wait until all of the best candidates have accepted other banking jobs before starting their own process.

Keep in mind that recruiting schedules will vary by school. Ivies and target schools will get acceptances first with the remainder of the class getting rounded out over the following weeks.

Mar 28, 2011 - 8:06pm
CorpDeveloped, what's your opinion? Comment below:

I have an interview with a similar group at another bank. Does anyone know what to expect in terms of technical/quantitative questions? Thanks!

Apr 3, 2011 - 1:27pm
humble_dude, what's your opinion? Comment below:
lola casa:
I have an interview with a similar group at another bank. Does anyone know what to expect in terms of technical/quantitative questions? Thanks!

Like all interviews it really depends on your interviewer. When I was interviewing with the JPM group I got raped by the VP who is a PHD in Finance from Columbia.

May 21, 2011 - 3:03am
ecta, what's your opinion? Comment below:
lola casa:
I have an interview with a similar group at another bank. Does anyone know what to expect in terms of technical/quantitative questions? Thanks!
Which bank and what was the name of the group? How did the interview go?
May 21, 2011 - 3:04am
BBnkr10, what's your opinion? Comment below:

corporate finance Advisory Group (Originally Posted: 01/26/2013)

What does this group typically do at a IB? I have an interview for an analyst role for this group, so would like to know what they do? Of course, I googled them and researched about them, but it would be good to get some insight from some monkeys that have worked in it before. Thank you.

May 21, 2011 - 3:05am
tangent style, what's your opinion? Comment below:

I had a phone interview with what I believe is Citigroup's equivalent team.

Link: //www.wallstreetoasis.com/forums/financial-strategy-group

Other relevant stuff (for Citi's team anyway) can be found by searching WSO for 'Financial Strategy Group'

If there's any stuff I missed message me, and I can try to answer

"Do not go gentle into that good night"
  • 1
May 21, 2011 - 3:07am
DamageControl, what's your opinion? Comment below:

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