Technical Questions for DCM Interviews
Hi,
I am a rising junior and I am going to apply for DCM Internship positions for 2015. I am an econ/math major and I definitely lake background in finance compared to peers who've taken a course such as Investments and Fixed Income & Derivatives.
How am I supposed to prepare for technical parts for Debt Capital Markets?
DCM Interview Questions
The debt capital markets group is responsible for advising clients on raising debt, refinancing existing debt and restructuring existing debt. There are a few key things you should focus on when preparing for an interview with a DCM group.
Know what is going on with interest rates. Be able to point out where the 10 yr treasury, 3 month LIBOR, and USD 5 year swap rate is.Make sure you understand basic bond valuation.
What are your views on interest rates in the US and another country?
How do you calculate duration and its implications?
Know some basic leverage ratios and how the issuance of debt effects EPS.
I would basically go over the CFA level 1 fixed income section.
Understand your bond valuation down pat. Know exactly what Duration, Convexity, Rates, etc., is and how it affects bonds from an issuer and investor standpoint.
Here are some technical interview questions courtesy of the Wall Street Oasis Company Database. These questions were asked in internship interviews for various DCM groups. These are the technical questions that applicants found the most challenging.
Company: Deutsche Bank
- Which form of capital is the cheapest and why?
- Another question talked a lot about the Fed and what ways can they stimulate the economy.
Company: Cantor Fitzgerald
- Where is the 10-year treasury note ,S&P 500, Dow Jones?
- Explain the yield curve and its properties.
- If you had the choice to work either with debt or equity, which one would it be and why?
Market Perspective Overview for Interviews
So you should have a good idea of the current market on a macro level. Staying up to date on all the major indexes is important as well. Additionally, understanding how monetary and fiscal policy affect debt markets is important for building a strong macroeconomic outlook. A great source for macroeconomic perspectives is Pimco as suggested by @jjpp18" You can read their market and economic commentary
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Bonds Review for DCM Interviews
A brief rundown on bonds from the Wall Street Oasis Finance Dictionary
Yield simply means the return on an investment, usually the interest paid on a fixed income asset. It is expressed as a percentage and the calculation is simply return divided by cost.
The yield curve is a chart plotting the yield of an asset against the maturity of the asset. Typically the yield curve is an upward line with decreasing gradient as maturity increases. This makes sense as assets with a longer maturity incorporate more uncertainty and therefore more interest is paid to compensate the additional time risk.
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Not sure about DCM but I read up CFA Level 1 book for fixed income and felt well prepared in the interview. For market summary: http://bonds.about.com/od/bond-market-review-and-outlook/
Thank you very much !
I'd have a good working knowledge of fixed income and credit markets. You can check out LSTA for some industry primers. Depending on the bank you'll want to tailor your information. BB banks working with large corporate borrowers. MM banks doing smaller deals. Is this a general DCM interview or is this for LevFin or Syndications?
Know how to calculate FCCR, interest coverage, leverage ratios, other credit metrics. Know different types of bonds and loans (bullet bond, TLB, etc). LCD News gives out a lot of pricing information so you can know where the market is at right now.
That and some basic finance stuff (calculating YTM, PV, Boot strapping a yield curve). I mean there really is so much you can learn.
I'd also be able to articulate why DCM. It isn't as glorious as IB simply because you mainly stay in DCM or debt of some kind. You could talk about the constant need for companies to borrow and refinance debt. This causes DCM to be a more stable career vs. the ebb and flow of the M&A market. The fixed income world is also way bigger than equities. DCM is a pretty interesting base also with plenty of different niches to focus in depending on your skills and interests.
Thank you very much for your reply!
Did you land an internship?
Debt Capital Markets Interview Help (Originally Posted: 01/10/2010)
Hi Guys,
First, thanks in advance for your help.
I have an up coming finance interview for the DCM analyst role. Unfortunately, I don't know much about the fixed income market or bonds in general (I've taken finance courses that cover fixed income related topics but that's about it)...
I know it sounds like a silly situation to be in, but I've decided to give it a shot; even if I don't get the job, at least I'll learn something out of it; I was really hoping you experts out there can help me out a little in terms of where I can go to get a quick perspective on things... I also have a couple of very general and basic questions that I'm hoping a patient and friendly individual can help answer:
thanks again for your help!! and I'll be doing research in the next couple of days; plz feel free to drop me a line!
(If I'm wrong on any of these, someone, please correct me)
1) A steep yield curve generally indicates a belief that inflation will rise dramatically in the future, or, somewhat equivalently (in this case) that the economy will recover sharply. However, technical factors (supply and demand) have been a major driver as well -- the US Treasury is obviously filling the market with a glut of product and with doubts about the USD and the US' credit quality in the long-term due to its high debt burden, many major buyers (i.e. China) are staying away from the long end, forcing yields there higher.
2) Macro factors affecting corporate bonds? Think about how bonds are priced -- based on their discounted future cash flows. If any of those cash flows is in doubt, then the bond's value falls accordingly. (Think of a UST bond as being priced with risk-weighted cash flows of 100%. A BBB bond might be priced with risk-weighted cash-flows of 95%, just as an example -- although in reality the bonds are priced with a spread/all-in yield that implicitly contains the risk, rather than the calculating the risk % driving the spread.) So any macro event that would impact companies' profitability/cash flow would affect the price of corporate bonds. That said, corporate bond spreads are more driven by micro factors than by broader economic trends, unless those economic/systemic factors are very pronounced.
3) Lots of pitches, writing market summaries/commentaries, datamining, helping clueless IBD guys out with requests and explaining to them how bonds are priced. More or less what an IBD analyst would do, but much less modeling (unless your DCM group includes LevFin or HY) and more market focus. It can get very tedious but it is interesting to be so wired into the markets.
I'll let someone else handle the last question as I'm short on time.
4)
thanks very much brisbane for your post!
Check out PIMCO's website for macro view on bonds
PM me and I can send you some docs on credit outlook for the next year both IG and HY.
Just curious. After an analyst gig in DCM for a BB bank, what do people normally go on to do? IF they move to the associate level, do they get paid like associates in M&A or LEv Fin groups? That sounds unlikely.
If they leave the bank after 2 years of analyst work, what type of exit ops are they prepared for?
from what I know (by talking to alumnis), because DCM analysts are much more in toned with the market; some go into bond sales or trading...
It's not unlikely; it depends on the bank and the year. Bonuses in DCM should be higher than in M&A or LevFin this year, for example. But in general, there's about a 10-20% overall comp discount in DCM.
Exit opps are minimal. Moving into trading at the same bank is one, but most people either stay in DCM or leave for B-School after a year or two, because the DCM skillset is very soft -- it's not easily transferrable to other jobs (exit opps would probably be comparable to sales). At the more senior levels, lateralling into Asset Management/debt funds/CFO&Treasurer-type positions is common too. But overall, opps are limited compared to IBD.
A lot of people here think DCM is a hole, and given that I've spent two summers in it and have a FT offer I'm obviously biased, but the fact is that a slight pay discount and much better lifestyle is a pretty good deal to me. Moreover, companies (almost) always need debt capital so there are always deals to do, and it only takes about 2-3 months at the very extreme to get a deal done (others can get done and hit the market in hours).
bump.
.
Have a read about the European debt crisis and spreads on the peripherals debt, notably over Bunds, that is certainly a huge story in the bond world right now.
Is ECM basically the same as DCM for exit opps or is it slightly worse?
Worse. ECM is just updating news and markets. But both are pretty bad.
DCM Interview; how to prepare? (Originally Posted: 07/20/2007)
I have a finance interview for a lateral 2nd year analyst position in debt capital markets in a week; anyone have any ideas on how to prep?
Any help would be GREATLY appreciated; thanks so much.
..
What DCM group are you interviewing for?
a banking execution role (not a leveraged finance group); all investment grade debt
I recently had a DCM interview and got an offer at a BB firm. I was an internal hire but the interviews were not that bad.
Know what is going on with interest rates. Be able to point out where the 10 yr treasury, 3 month LIBOR, and USD 5 year swap rate is.
Make sure you understand basic bond valuation.
What are your views of interest rates in the US and another country.
How do you calculate duration and its implications.
It might be good to know some basic leverage ratios and how the issuance of debt effects EPS.
I would basically go over the CFA level 1 fixed income section. Let me know if you have any more questions. My interviews were with 12 different people some behavioral and some very technical.
Ariaz, that info was really kind of you for those looking at DCN.
Good job
Newbie2Banking no problem. It is probably imperative to understand what is going on in the debt capital markets right now. There is a lot of "pipeline risk" which is the risk that deal won't go through since companies are either delaying or backing out of deals. The spread between high yield and treasuries was at an all time low. It is really hard for investment banks to push this debt to investors. Think of it this way why would you want to buy a junk bond with a ton of default risk when you can get a treasury and be able to sleep at night. The risk/reward ratio is out of wack. I wouldnt mention that stuff in an interview but it is good to understand the big picture and what you are getting into.
If you want to go above and beyond go look at interest rate derivatives such as swaps and swaptions. Understand the basics and high level and what they are used for. It is also good to understand what Credit Default Swaps are. Look at how the ABX has performed. Go to www.markit.com. It is a very good site for pricing information on credit derivatives.
DCM is a very broad business but it seems like the position you are interviewing for requires more product knowledge. Make sure you understand valuation but I can bet you noone will ask you valuation questions unless you are working in a DCM industry coverage group even here they will be high level. DCM deals with various aspects of the business industry bankers, research, sales & trading, and lawyers. You will have a great experience if you get this job. The hours aren't as bad as industry banking groups. You have to get into work around 6:45-7:15AM and most nights leave around 10-11. It all depends on how busy you are.
Interview with DCM (Originally Posted: 12/13/2014)
First year analyst in a coverage group at a BB looking to transition into a DCM role.
0 transactions thus far and need to answer questions like "why dcm" and other qualitative stuff.
Read up on the OCC guidelines re: leverage levels. You'll want to demonstrate knowledge of that and be able to ask intelligent questions re: how that is impacting the BB's DCM business, particularly deals leveraged >6x.
One approach to why DCM - DCM work involves a lot of competition, industry and business analysis on a wide range of industry sectors. That means a DCM role allows you to hone traditional IB analysis skills, but across a broad range of business types. In contrast, industry speciality teams end up learning one industry very deeply. You're early in your career, you'd prefer to see a wide range of industries/businesses before specialising, you are keen to learn about as broad a range of businesses as possible.
A few other bits and pieces below.
Most of the DCM work I see is in the financial sponsors space ie PE firms doing LBOs of companies.
Most deals are B2/B corporate and first lien credits, often with a second lien sitting on top of that.
Anything above total debt of >6.0x pro forma EBITDA is typically viewed as high for a standard industrial credit with stable to growing earnings. There can be exceptions.
As leverage gets higher, the more "equity cushion" we look for ie the larger amount of PE equity funding as a % of the capital structure. 25 - 30% is typical in today's market, but that's usually for businesses with >$100m EBITDA. For "smaller" credits (ie http://www.amazon.com/Leveraged-Financial-Markets-Comprehensive-Instrum…
This book is quite good and I buy a copy for my summer interns and grads. Some other LBO books are just walkthroughs of models, not worth your time.
SSits, thank you very much. Really appreciate it man.
If you're not familiar with the concept of "lead left', get to understand that as well. Lead left banker on a deal refers to whose name appears on the left hand side of the deal info memo that goes to subscribers. It also indicates which bank is running the syndication and drives the allocation process. Those to the right are taking underwriting risk, but are largely along for the ride.
Being lead left is a lot of work, as it's a lot of sales work. It's usually your Fixed Income desk that calls around to drum up demand, because those are the guys who have the relationships with buy side accounts. The DCM team (which usually sits in the IBD, often alongside the IBD financial sponsors team) prepares the IM and other sales docs, arranges roadshows etc. On that point, ask the DCM guys how their relationship with the FI team operates
Ask the people you interview with how many deals they lead left vs "sit on the right". Be aware that Bank A could lead left the first lien, while Bank B could lead left the second lien. 1/L lenders are often very different from 2/L lenders, often CLOs and other funds with different return requirements and different risk appetites. 1/L is safer, typically lower priced. 2/L is risky, often does not get repaid until maturity (unlike 1/L) and pays better coupon.
Be familiar with terms like "cash sweep" and typical covenants in debt docs, plus "cov lite". For those types of terms, you can find the chapter of the book I linked above online for free from the law firm that wrote it.
Also take a look at these S&P guides to leveraged loan and high yield bond markets: https://www.lcdcomps.com/lcd/f/primers.html
The S&P lev loan and HYB guides are both good and, for an interview, are more useful (ie shorter but comprehensive) than the book I linked.
Leveraged loans refers to loans which are syndicated to banks and others which are only traded over the counter (OTC).
High yield bonds are typically listed, appeal to a slightly different market and are more liquid in some ways.
Different banks specialise in selling HYB vs lev loans and demand for each product comes from different participants in debt capital markets.
Also ask your interviewers what the division of due diligence duties is between the DCM team, any industry team (if the BB has industry speciality teams) and the risk management team.
Sometimes risk management teams are heavily involved in the due diligence and are key approvers. In other banks, they can just be rubber stamps and most/all of the due diligence and risk identification/evaluation is done in the front office DCM team.
If it's the high RM involvement model, ask them whether RM "gets it" or are a big headache.
If it's the RM-as-rubber-stamp model, ask them whether they are comfortable that their risk analysis is thorough enough given front office is usually a lot more under pressure to generate fee revenue, hence more (consciously or subconsciously) willing to overlook risk issues, particularly as they can become captive to high pressure box ticking process rather than chin scratching evaluation.
You guys are waaaay overcomplicating what a 1st year analyst lateral will have to know. Poor kid is going to end up overwhelmed by information overload and still won't have covered basics like credit spreads, yield curve, swaps, etc...I just think it's bad advice to throw all this shit at him which truthfully only MDs and group heads need to know about.
You're probably right. He just hit the right part of my brain and triggered a brain dump of info.
@ogofnyc - Download the S&P leveraged loan guide on the LCD page I linked a few posts above and flick through that. Focus on that. Don't get too caught up in thinking about a lot of the thoughts I posted unless you've got a lot of time and a lot of memory.
For the interview, a key thing to emphaise is project management skills and willingness to work long hours under unreasonable deadlines. A lot of DCM work is running a tight process as part of a team, often only receiving necessary information (eg buy side due diligence reports) at the last minute.
@"SSits" forgot to mention this is investment grade
Well then you can pretty ignore ~90% of what I posted! The LBO DCM market is almost entirely (if not entirely) sub-investment grade.
I'd still recommend reading this LCD guide if you can't get your hands on something specific to the investment grade corporate credit market: https://www.lcdcomps.com/d/pdf/2014%20US%20Loan%20Primer.pdf
Bear in mind that primer is still based on the leveraged finance market, which is largely sub-investment grade.
@"SSits" you are the man ! appreciate it. going to take some time to go through this and will follow up with any additional questions.
Common answers to why dcm -
They'll ask you about your thoughts on the market and if you have followed any deals.
I used to work in DCM, it's good fun as it's not very technical/hard and you get to do plenty of deals depending on the bank. Hours can be bad, but they are a lot better than IB.
Financial Modeling skills for DCM-ECM interviews (Originally Posted: 02/16/2015)
Hello,
In 2/3 weeks, I will have DCM/ECM interviews regarding an internship. I have prepared myself with several common technical questions than one can find on IB-related websites (accounting, WACC, beta, CAPM, ways to valuate a company, theory related to bonds). I have already prepared answers for these questions.
Do you advice to have some modeling knowledge for these interviews (knowing that DCM/ECM are less modeling-related than M&A and leverage finance roles) and doing the BIWS Financial Modeling Course. I have no initial knowledge in financial modeling.
Thanks a lot,
Nicolas
Probably not. As someone who has recently gone through a Capital Markets superday, all the technicals I was asked were about current macroeconomic issues such as oil, interest rate prognosis & cause and effect (both domestic & ECB), and opinions about the market(s). From what I read, this is the standard line of questioning for capital markets interviews. Of course you may be asked the odd valuation question or brain teaser (I was asked a few math brainteasers), but your preparation should be heavily inclined towards questions pertaining to the markets.
Couldn't agree with this more! Just went through this recruiting process and iggs99988 nailed it. Prepare for these types of questions and you will do more than fine. Lastly, you're not smarter than the interviewer so don't bullshit him. If you don't know the answer to something then be honest.
Thanks for both your inputs guys. I appreciate.
Just a heads up to anyone hitting this old discussion: I put together a side by side comparison of the top financial modeling training courses here: http://www.wallstreetoasis.com/financial-modeling-training
DCM interview questions (Originally Posted: 04/18/2010)
I have an assessment centre coming up for an internship in DCM with Mitsubishi UFJ Securities (London). One of the assessments is a panel interview. I'm preparing competencies, basics about bonds, yield curves, interest rates and inflation and I'm up to date with financial news.
Does anyone have any advice on what else to prepare for this? Bearing in mind, I'm an undergrad studying Accounting and Finance, would they ask M&A type questions too on different valuation methods even though I'm going for DCM?
Any advice on how to best position myself in the interview would really be appreciated!
bumpbumpbump
edit: ignore this ... I didn't use the search box, found what I was looking for
at expense of sounding incredibly lazy, mind posting the link? thanks!
click this
what to know for DCM interview (Originally Posted: 02/14/2007)
what things should i be prepared for during a debt capital markets interview? specifically any differences between it and a typical ib interview.
be able to explain arbitrage, the yield curve (normal and inversed and what it means), why people hold bonds, what duration is, know a bond index
You should know what's going on in the bond markets, in particular any recent Fed rhetoric and your outlook on rates. It would also help to express a view on where we are in the current credit cycle and outlook for credit. Also be familiar with how interest rate and cross-currency swaps work.
Depends on what groups in DCM you are interviewing. A lot of groups that are not really capitals-markets oriented, like LFG, and other groups are being rolled into DCM.
lets say LFG
Although LevFin is rolled up into capital markets of many banks, it's still a very corporate finance orieneted group. So many of the quetsions you'll see in a regular IBD interview you'll see from people in levfin. Unlike any of the securitization / structured finance groups, it's not a very specialized group (ie. the skills you learn from levfin can be applied to industry groups).
With that being said, know your accounting pretty damn well. LFG doesnt do valuation, so I wouldn't cram on knowing every intricacy of the DCF, just know it high-level. Most importantly, read TheDeal and NYT's DealBook. People will be impressed if you know about the latest deals (leveraged M&A/ LBOs) in market/closed.
LFG: leveraged finance group
When people say DCM, they usually refer to origination and syndication. The answers you get above are more important for these than for LFG. The big difference between IBD (+LFG) interviews and DCM is that in the former, the focus is more on companies (company accounts, strategies etc) and the latter is more on markets and products (yields, LIBOR etc).
You can also get very specialised teams under DCM such as securitisation, hybrid and tax adviory.
DCM Interview question - wtf?! (Originally Posted: 09/20/2012)
Ok guys, I encountered an interview question for a DCM interview that I had really no idea of.
"Which one is higher? From high to low. bank discount yield, effective annual yield, bond equivalent yield"
And please explain it for me, if that is possible..
How do you know stuff like that, can I find questions like that one in BIWS?
Thanks
Unlikely you'll find that stuff in BIWS to be honest.
Check google. Also get a series 7 study book and it should cover most basic questions for investment products. You'll have to take your series 7 anyway if you get the job so you'll just be ahead of the curve. Although you can skip a lot of the material if you just want to use it as an interview reference. (Ethics)
This stuff is usually covered in either FI class at school or in CFA materials. Bond-equivalent yield accounts for the fact that coupons are paid twice a year by multiplying semiannual yield by 2. Effective annual yield accounts for compound interest when calculating annual yield (assuming that you reinvest coupon at the same rate) and because of that effective yield will always be slightly higher than the bond-equivalent yield. As to bank discount yield - I am not sure, it was a long time ago when I covered this material and I have not worked with DCM... Somebody else hopefully can provide more detail about that.
Bank discount yield is (Discount from Face/Face Value) * (360/T) . Notice it is calculated off a 360 day year vs. 365. I don't work in DCM nor did I know the difference until I took Level 1 of the CFA which covers this topic pretty well.
This is the right answer.
"EAY > bank discount yield, for three reasons: (a) yield is based on purchase price, not face value, (b) it is annualized with compound interest (interest on interest), not simple interest, and (c) it is based on a 365-day year rather than 360 days."
Thanks for all your help guys. Apparently, next time I should use something like the CFA Material to prepare for this kind of interviews. I guess I concentrated too much on valuation, accounting and the usual stuff.
@jrsoxfan18: Assuming face value is $10,000 and discount is $100 and T is 60. Do you write
a) (100/10,000)*(360/60) -> so just the discount
or
b) (10,000 - 100/10,000)*(360/60) -> face value minus the discount?
Thanks again guys.
You would write a.
b would leave you with (9900/10000) 99% which is not correct and doesn't represent the yield.
http://www.investopedia.com/exam-guide/cfa-level-1/quantitative-methods…
That should give you a pretty good understanding of how to calculate each yield.
That was extemely helpful, thanks to all you guys.
After reading your responses, checking out the investopedia page and checking some finance scripts I'm pretty certain that I'm good now in terms of this topic.
So, thanks again!
DCM Interview help (Originally Posted: 05/30/2009)
Hi, I have an upcoming interview at a BB Debt Capital Market Division. I´d like to ask the ones of you which already had their interviews what are the questions I will be most likely asked? In general, is the interview more personal fit or more technical? Btw, I am a major in international accounting and finance. I appreciate any insight you can give me. Thanks
If you have finance experience or come from a lower ranked university, good chances you will get more technical questions (need to know your finance stuff cold - or at least know how to answer questions if you don't know the "right" answer").
Breaking Bankers http://chasingconsultantsbreakingbankers.blogspot.com/
Thanks. Can anybody else contribute? Thanks.
I'd say that understanding yield curves and swaps and the factors that affect them is much more important in DCM than analyzing companies on the balance-sheet level -- at least if you're doing investment-grade DCM. Macro-stuff basically. Understand interest rates and have a view on them and understand the basics of bond valuation and what drives corporate bond spreads up and down.
Whether the interview is fit or technical will depend on the firm and interviewer. In general, the stuff you need to know for DCM isn't that complex; DCM is more about understanding the market and what is driving it, which comes with experience more than anything. At the junior level you'll be doing a lot of menial work and data dumps but the work at the senior levels is actually quite interesting.
(waiting for yesman to come and shit on DCM)
Very well put Longrho, I was actually about to mention that point when I saw the question was on DCM (glad you got to it a lot quicker than I did - considering he's already landed the position).
IBanker www.BankonBanking.com Articles, News, Advice and More Break Into Investment Banking
Thanks for the help guys, btw I got the internship. I was wondering if you know any good reading material (books, papers, internetpages) which I could use to further gain related knowledge in respect to debt capital markets? Thanks.
If I were you, I would take this time to relax, and do a few things completely unrelated to your internship, as you will probably be quite busy once you start. I know the guys in the DCM group where I work have really seen an uptick in business, and have been quite busy.
Everything that you need to know about DCM you will learn as an intern - there is no need to study up as you will learn much more at a much quicker pace by just working in the group. If you want to brush up on anything, you can feel free to brush up on your PowerPoint, as DCM is heavily pitch driven (then again, so is most of ibanking) - it's not necessary by any means, but knowing a few things off the bat, a few formatting tricks, etc, will help pick up the pace a bit and cut down on those small errors that add up quick. Oh, and, of course, Congratulations!
IBanker www.BankonBanking.com Articles, News, Advice and More Break Into Investment Banking
Financial Modeling knowledge for DCM/ECM interviews (Originally Posted: 02/16/2015)
Hello,
In 2/3 weeks, I will have DCM/ECM interviews regarding an internship. I have prepared myself with several common technical questions than one can find on IB-related websites (accounting, WACC, beta, CAPM, ways to valuate a company, theory related to bonds). I have already prepared answers for these questions.
Do you advice to have some modeling knowledge for these interviews (knowing that DCM/ECM are less modeling-related than M&A and leverage finance roles) and doing the BIWS Financial Modeling Course. I have no initial knowledge in financial modeling.
Thanks a lot,
Nicolas
had no modeling questions in the ecm interviews I had... just market based questions. majority of interviews were fit
Thanks for your input.
DCM Interview (Originally Posted: 12/04/2014)
I have an upcoming interview with a BB for DCM Analyst (TMT) position. What technical questions should I expect? Bond pricing, duration, convexity, etc? Anything specific (swaps, options, etc)?
Know how to construct basic cmo and cdo, explain different types of cmo and cdo etc.
Upcoming Interview - DCM group at a boutique (Originally Posted: 01/26/2010)
I have an interview with DCM - execution group for high yield credit at a very well-known, active boutique bank in NYC. Would really appreciate your inputs on what kind of questions to expect and resources to prepare from.
Background: recent MBA grad; previous commercial banking experience; 7 months post-MBA internship at a very small M&A shop
Many Thanks!
I did search for threads on the subject. I am just curious to find out Qs more specific to high yield credit and execution group.
This is a first good interview in a long time; please help!
Help with DCM interviews (Originally Posted: 10/20/2009)
Hi,
I have an BB interview with a DCM team next week, its for a graduate position.
I've never had any DCM interviews before so I don't know what to expect, although I've heard it could be quite technical. What should I expect?
I'm guessing I should look at pricing bonds, duration, volatility etc.? As well as what's going on with interest rates and how they effect prices. Also how do you calculate YTM without a financial calculator?
Any help would be much appreciated.
S
know where key rates are, know what the TED spread is, know why a company would do debt vs equity ect..
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Similique sed ipsum aperiam beatae corporis minus perspiciatis. Nobis delectus iusto ab deserunt sit quibusdam ratione. Qui accusamus voluptatibus et ad quo atque iusto. Occaecati sit quam sunt quo ducimus ut. Necessitatibus delectus possimus autem officia similique. Dolorem quia reiciendis debitis alias ea omnis reprehenderit.
Placeat dolorem sequi ipsa. Est nobis modi voluptatem qui et harum. Dolorum voluptas itaque eum aperiam quisquam molestiae. At officiis quo natus similique natus.
Impedit minima et rerum nam eos sed perspiciatis. Dolore voluptates labore porro pariatur sit asperiores quia eius. Voluptates iusto dolor voluptas dolores.
Dicta numquam omnis expedita dolorum. Accusamus maiores itaque quo saepe eius provident ullam. Ut tempora autem omnis unde ex. Facere officiis accusamus voluptatum et blanditiis qui omnis.
Non est ad iusto vel ut cum ipsam. Magnam qui laboriosam deserunt earum. Eum sequi a ipsam nemo totam sequi velit. Id velit repudiandae minus. Quibusdam molestiae placeat enim omnis. Provident dolore atque voluptatem ipsam laboriosam dolorem impedit ipsum.
Magnam inventore corrupti odio consequatur excepturi quidem tempora. Autem quos reiciendis ut optio delectus in natus. Optio illo iste molestias debitis voluptas. Iure nihil impedit fuga cumque architecto. Officiis amet voluptates amet excepturi.
Eaque velit dolor inventore natus velit et temporibus. Dolorum et consequatur tempore tempore quis et. Vitae numquam velit beatae deleniti.