How to prepare for GS S&T junior summer + anyone know return offer rates?

Hi all, I recently accepted an offer for gs ficc & equities for my junior summer and, as I have nearly a year and half before it starts, I figured I should go in as prepared as possible

Currently leaning toward trading (might try out maybe one sales role during the rotation for the sake of it), but apart from that I’m completely open to anything. Wondering what the best way to narrow down my desk interests are (I believe I get 3-4 during the rotation) and how I can best prepare to do well and stand out during the internship

Does anyone have any insight on particular desks or products at gs? All the stuff I’ve seen so far seems to be general ficc & equities and not particularly specific

Any info on what return offer rates look like for the New York office would be very helpful as well. Thanks in advance!

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To prepare for your GS FICC & Equities junior summer internship and maximize your chances of success, here’s what you need to know:

Preparation Tips:

  1. Understand Desk Preferences:

    • Research the different desks within FICC (Fixed Income, Currencies, and Commodities) and Equities. Look into their products, strategies, and recent market trends.
    • Speak to alumni or professionals who have worked at GS or similar roles to gain insights into desk-specific work and culture.
    • Use your rotations to explore and identify what aligns with your skills and interests. For example, if you enjoy macroeconomics, consider rates or FX desks; if you prefer micro-level analysis, equities or credit might be a better fit.
  2. Build Technical Skills:

    • Strengthen your understanding of financial markets, derivatives, and trading strategies. Familiarize yourself with key concepts like options pricing, yield curves, and risk management.
    • Practice using Excel and tools like Bloomberg Terminal if you have access.
    • Consider taking online courses or certifications in trading, financial modeling, or market analysis.
  3. Stay Updated on Markets:

    • Follow financial news and market trends daily. Platforms like Bloomberg, WSJ, and Financial Times are great resources.
    • Develop a habit of forming your own market views and be ready to discuss them during your internship.
  4. Network Internally:

    • Once you start, make an effort to connect with analysts, associates, and senior team members on the desks you’re interested in. This will help you understand their expectations and build rapport.
  5. Soft Skills:

    • Focus on communication and teamwork. Sales & Trading roles often require quick decision-making and collaboration under pressure.
    • Be proactive in asking questions and seeking feedback.

Return Offer Rates:

  • Based on previous WSO threads, return offer rates for GS S&T (Sales & Trading) in New York can vary significantly depending on the year, market conditions, and individual performance. While some groups have reported rates as high as 60-70%, others have noted lower rates, especially in challenging economic environments or for interns who don’t meet expectations.
  • It’s worth noting that return offers are often influenced by your ability to demonstrate interest, adaptability, and a strong work ethic during the internship.

By preparing thoroughly and staying engaged, you’ll position yourself well for both the internship and a potential return offer. Good luck!

Sources: Advice for summer and return offer rate?, S&T Summer Analyst Lateral to IB FT?, https://www.wallstreetoasis.com/forum/trading/what-are-the-top-volatility-trading-desks-at-jpm-gs-and-what-differentiates-them?customgpt=1, Preparing for an IB internship, What do sophomores usually do for internships?

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Follow markets daily and begin to get an understanding of correlations in markets: if rates are up what is ccy doing, if equity is down what are rates doing, how does risk on vs risk off look), and how market sentiment changes between now and the start date of your internship. Spend some time figuring out if you like micro (single name equity, IG/HY credit…) or global macro (Rates, EM, FX…). You likely won’t know for sure until you hit the desk (or unless you’re already super involved in markets day to day now) Doesn’t hurt to begin to build a view over the next few months. If you have Bloomberg at your school make it your best friend over the next 1.5 years. Knowing how to interact with the system will put you ahead.

I would also stress reading a lot, specifically books to learn about the respective products in each space - that being single names cash equities, equity indices, and vol products (I’m not an equity guy so maybe ask around a bit more) And in the fixed income space you’re talking Rates (cash, futures / STIR, swaps, swap spreads, curve trades, basis, duration, convexity, DV01…and also understanding how / why we use rates to hedge credit products, etc), Credit (IG/HY, distressed) FX, and commods and maybe some mortgage stuff just for intuition. On the floor you will find lots of nuances / smaller more specific desks but I’d use FICC as a guideline. I would also have a general idea of what market making is and how GS makes money doing so. At the end of the day it’s a revenue business yet not as easily understood online as banking or something. With respect to standing out, just remember at the end of the day it’s a people business. The traders go home to their families at the end of the day just as we do. Be smart but that is already expected if you and everyone is smart at GS. Just be a likable and fun. Find a team you like.

Let me know if you have any questions

 

aye-aye-cap'n:

Thanks a lot that! I appreciate it. Coming from a FICC perspective, do you have any books in particular you would recommend for a newbie? I’m leaning more towards macro products at the moment


Sure msg me

 

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