Texas Capital Bank Thoughts?

Avoid

Not sure about IB but the Corporate/Commercial Banking side poached a few senior bankers/group heads from JPM’s Dallas office that are very good. 

Historically, they're decently strong in regional CRE lending. I know a lot of people who started there and ended up at strong real estate shops in Dallas (never outside of TX, but that's probably selection bias as much as anything).

They're an ok player on the business banking side - solid shop for regional commercial banking, and making an active push into the C&IB landscape.

In their core competencies (CRE and regional SMB C&I) they're usually pretty well regarded, but corporate banking is still pretty young, and investment banking is almost nonexistent - they just created new senior roles to head up CB and IB this year, and IB is still working on securities licensure.

Agreed that it's a solid regional shop that seems to be on an upward trajectory. The talent pool they compete for is like A&M, SMU, TCU, Baylor, so salaries aren't that competitive with the big banks (not bad for Texas though).

If you know you want to be in Dallas and are comfortable taking the risk of being at a newcomer, there's probably a lot of upward mobility if things pan out, but I'd imagine it's a better value prop if you want to be a career banker than if you want to exit (at least until they start really doing deals). Certainly not a bad option

The guy starting their new IB division is a very bright guy. Not saying take it over a bulge bracket, but if you end up here after Uni, you’ll get a lot of direct interaction with a really solid ex-wallstreeter head of IB. The strategy seems to be to build an investment bank around the broader lending platform similar to Fifth Third, Key, or other Regionals. Probably will be syndicated loan heavy, with some advisory component built in. Looks like they’re trying to build out a Sponsor franchise too, though all of the bank is limited by its Asset size.

Im located in Texas and see some great potential in how the bank is branding itself and restructuring. You definitely have to look at the opportunity as a career investment with risk and reward. You could possibly get in on the ground floor with great upward mobility while learning and working directly with senior leadership and maybe in 8-10 years its a super regional acquiring other firms with you ranked somewhere among other executives or it stagnates and never really becomes a premier firm. Gotta play your cards right but they are for sure moving in the right direction with the economic boom taking place in Texas.  

Avoid

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Seriously as someone who has worked with them

IB LOBs include capital solutions (rates/derivatives/FX), S&T, SLF (LevFin/DCM) and M&A. If you’re not going into capital solutions or S&T as an analyst, you’re typically pooled into both SLF and M&A. The bank is growing extremely quickly with a lot of new hires at the MD level in the last few months and deal flow reflects that. 
 

IMO, the area the bank excels in is the culture. You join TCB/TCS if you’re looking to do the work and actually enjoy it without caring about having the prestige of a BB/EB. The people are honestly great and they (for the most part) respect your outside life and work-life balance. 
 

Now for the other best part: the pay is actually competitive! As a bank that’s growing as quickly as TCB, there are no mass layoffs or bonus reductions. It’s on a hiring spree and IB bonus pool is only growing as the bank grows/deal flow grows. 
 

I’ve had this vision in my head for the longest time that I’d do my 2 years as an analyst and then sprint away into PE like everyone else. Everything about TCB has made me reconsider that and the nightmare that everyone makes IB out to be. 
 

Feel free to reach out with any more specific questions!

Saw a nice CIM from Texas Capital not too long ago, solid overall company so they’re at least getting some dealflow

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