Interview Advice for Technicals

Based on the most helpful WSO content, here are some key technical areas you should prepare for when interviewing with an Investment Bank's credit team:

1. Credit Thought Process:

   • Understand how to evaluate creditworthiness.
   • Be ready to discuss how you assess the risk and return of different credit instruments.

2. Credit Agreements:

   • Familiarize yourself with the structure and key terms of credit agreements.
   • Be prepared to explain the implications of various covenants and clauses.

3. Pitching Ideas:

   • Be ready to pitch a credit investment idea.
   • Explain why you believe a particular credit is misunderstood or undervalued.

4. Distressed Investment in Bankruptcy:

   • Review practical case studies or models related to distressed investments.
   • Understand the bankruptcy process and how to identify investment opportunities within it.

5. Technical Questions:

   • Be prepared for questions on financial modeling, particularly related to credit metrics.
   • Know how to calculate and interpret key credit ratios and statistics.

6. LBO Modeling:

   • While not always the focus, understanding LBO modeling can be beneficial.
   • Focus on credit stats rather than just IRR/MOIC.

By focusing on these areas, you will be well-prepared for the technical aspects of your interview with an Investment Bank's credit team. Good luck!

Sources: An ex-Goldman Sachs insider’s 10 tips on how to sail through investment banking interviews, Private Credit Interview Advice, Q&A: Currently at a Credit Hedge Fund, https://www.wallstreetoasis.com/forum/investment-banking/preparing-for-tech-banking-interviews?customgpt=1, Guide for Investment Banking Full-Time Recruiting