About I have been a longtime WSO reader (6-7 years) and some years down the track, I thought it would be helpful to do a quick Q&A I think this could be helpful in particular for (i) those looking to switch over from credit to equity investing, (ii) those interested in mezzanine / sub debt, and (iii) those interested in operationally focused / distressed PE Background - c2 years Bulge Bracket LevFin (ANL) - c2 years mezzanine / sub credit investing (ANL / ASO) - c2 years opportunistic / loan-to-own PE, mid-large cap, (ASO / VP)
18 Oct 2019
Have Silver Bananas for helpful comments. Incoming SA at a "mid-tier" BB in NYC in what's considered a "top group" on this forum. Think: Bank of America (Lev Fin, M&A, Sponsors) Barclays (Nat Res, P&U, Sponsors) Citigroup (Industrials, M&A) Credit Suisse (M&A, Sponsors) Would like to either stay in banking with a strong team or leave for MF PE / HF (like every other SA on this forum). Top target background. Trying to switch banks for FT seems risky to me. There's tons of posts on this forum about how small Wall Street is and even though it seems likely I will get a return offer, I don't want
07 May 2021
Hi All, I was hoping for some insight on the difference in hours worked by analysts vs associates (in London mainly but interested in US too) at a BB. I am speaking with a LevFin team next week for an associate position and want to know what I could be getting myself into. I went from undergrad into an analyst role with the high yield/ leveraged loan team of an asset manager, where the hours aren't fantastic but by no means are the nightmares I hear from peers working on the sell side, so I really don't have much of a view on how the associate vs analyst work-life balance compares.
07 Apr 2021
Hey Monkeys, I have a LevFin interview coming up and want to be able to speak intelligently about market conditions while I'm there. For those of you who work in Leveraged Finance or DCM, what are your go-to sources of news to gauge the temperature of the leveraged loan market? I'm mainly looking for specific articles/charts/newsletters/podcasts, etc. I know places like LCD and the Lead Left are awesome but there's so much content that I feel like I could spend a ton of time reading and miss the key topics/trends. If these are your go-to's, what specific sections or articles do you pay the
09 Mar 2020
I'm interning at a MM bank this summer for their LevFin group. From what I've heard, they're a pretty strong debt shop with less M&A activity, so LevFin is the strongest group. But also I've been reading a lot about how LevFin exit opps are limited compared to M&A and coverage. My question is if a small number of M&A reps are better than a greater number of LevFin reps for PE. Also very interested in VC and growth equity. Thanks!
03 Jun 2021
In the very least, I wanted to create a general forum for advice to both aspiring UG interns (like myself) and other looking to get into the complicated field of oil and gas banking. I'm not the only person interested in oil and gas and I won't be the last either, and I think a very general discussion forum around the topic would help a lot of us. So, being from Houston, I've always been around oil and gas. My dad manufactures for downstream, and my grandfathers were both petroleum engineers and managers in their own right, so I have a bit of family history as well. I've applied to SA 2019
28 Aug 2018
Hi guys, I'm really interested in Debt Capital Markets and Leveraged Finance in Canada and I was wondering if you guys could give any insight about it. How big are the teams for each, comp, exit ops, etc? I assume mostly the Big5 banks have teams in Canada, or do BBs in Canada do too? And lastly, what's recruiting like for these roles out of undergrad? Thanks!
28 Jan 2018
Hi all, Anybody out there have some insight into the different groups for Citi Capital Markets Origination? I've read on this site and other about LevFin and DCM/ECM being better options in terms of breadth of knowledge and exit opps, but honestly can't find more detailed info than that. Someone I spoke to recently mentioned some groups are more modeling intensive than others - seems odd given that everything else I've heard indicates that CMO in general doesn't do much modeling, if any. Wondering if anyone has some more insight here - do any groups model in CMO? What are some high level
07 May 2019
Hi all, There have been attempts before to have a discussion on which are the best LevFin teams in London, but those threads have not got that far. This is another attempt. And I am not asking about deal volume/value, I am asking about analyst experience and perceived exit opps to credit shops & PE (so for example the fact that FS does most of the FS-related LevFin work in a given bank, not the LevFin team should be factored in). Half-random guess to get this conversation going: Tier 1 BAML, DB, CS, JPM, Citi Tier 2 HSBC, BNP, GS, MS, Barclays, ING, RBS, Credit Agricole Tier 3 SocGen
17 Nov 2016
Am I crazy to think I have a shot of getting into a BB LevFin group? I'm in FIG at a big 3 rating agency and have started to specialize in the RIA (retail brokerage and advisory) sector because the skills seem easily transferable (analysis of LBO deal terms, capital structure, synergies etc.) to LevFin. Please somebody tell me it's not that simple.
13 Sep 2019
Hey y'all, Just accepted a SA 2019 position with Antares Capital Chicago (credit analyst/Front Office type). I have prior internship experience in private debt at a smaller fund (Monroe Capital, NXT Capital, Madison Capital, etc), so I know what the work is like and that Antares is definitely the shop to be at for its market (MM Levergaed Lending/LevFin). I was wondering if anyone had any insights into what full time comp is like through the ranks, b-school rep (my understanding is that it was great under GE Capital), exit ops, lifestyle, etc. Do you earn carry/does it make sense to leave if
11 Dec 2018
I'm interning for a MM bank this summer under their LevFin group. Through networking, I've heard that M&A is really the place to be if you want to move into growth equity, so I'm wondering if I should think about lateraling to a different group.
29 May 2021
Hi everyone, I recently received an offer at JPM in risk management as a SA' 22. My end goal is to break into IB. I may have a chance this summer to still secure a spot as I have been networking but I'm not sure. If I were to take the risk job and get on FT, does anyone have suggestions on breaking into investment banking? I have heard that some people move internally to LevFin.
25 May 2021
I've heard that LevFin does less pitching and more execution, but at the same time, I've heard people say LevFin doesn't really do much modeling. I thought execution involved more modeling? Could someone help me understand? Thanks!
29 May 2020
Hey everyone, I am currently working as a summer analyst at a fairly well-known boutique bank in NYC and have realized that I am very interested in Leveraged Finance and Restructuring. I have heard these groups are often put together and was wondering what are some of the top shops in LevFin and Restructuring. I know that it is going to be BBs mostly, just don't know which BBs have a strong focus in those areas. Any input would be great! Thanks! And I am aware it will be difficult to move over after not being an intern at one of these places, especially considering the job market in finance. Just would like to have as much information as possible.
16 Jun 2013
As the title suggests, these are two options that I am currently considering. The Capital Markets group primarily syndicates loans for LevFin, and the boutique M&A shop,well, does M&A. In terms of exit ops, which group would line me up best for growth equity or private equity? I am aware that it would be an uphill battle either way. Any other factors to consider?
28 Sep 2020
I currently live in Houston but looking to move to Dallas. Curious if there are any ibd or LevFin energy groups based out of dallas. I realize most will be in Houston, but want to get a better perspective of the options. Thanks in advance.
03 Apr 2013
Nomura IBD (mainly M&A and LevFin) or BNP Paribas (Acquisition Finance)? Both are off cycle internships in Europe. I feel the personal fit at both banks is good. The BNP team deals only with corporate clients (PE is handled by another team), however, they offered me to join the M&A team for one month. The PE exposure is higher at Nomura and they had a fairly good conversion rate last year. However, I feel BNP is the better brand. What do you guys think?
13 Jun 2017
Has anyone ever come across Union Bank LevFin groups? I know they're classified under their commercial banking services instead of I-Banking, but I was wondering if anyone had any thoughts on the kind of experience you get there and its reputation?
25 Apr 2011
Can anybody detail how these groups are set up? I know that BAML's LevFin is tops on the street, but what is their relationship with Financial Sponsors...does sponsors do all the modeling for LBO's or do they just originate and then pass modeling along to LevFin? Which group is the best to go into for PE as well? Thanks and feel free to PM with any information.
09 Feb 2011
Hi All, I have an upcoming interview in Leveraged Finance / Acquisition Finance and I am not particulary familiar with the field. Can anyone here help me out and send me the vault guide to leveraged finance? Also, do you guys have any further interview preparation tips? Any help would be much appreciated. Best regards, OhHi
14 Feb 2012
WSO fam - I've been working in a middle office operational role for the past ~1.75 years at a Top Tier BB for the LevFin Capital Markets/Syndicate group. I specialize in loans and have been awarded with great transaction experience, connections within our market making/sales/syndicate groups, and product knowledge (specific to leveraged loans). I was recently perusing through LinkedIn and saw a position for a Junior Loan Trader for a $10bn HF that had the "LinkedIn Easy Apply" button. Figuring that there's no harm in shooting out an application with about 3 clicks, I applied to the role. I got
26 Oct 2019
Hey everyone, Just wondering what the general view is on restructuring at one of the top 3 vs Levin at a BB? Interested in the differences between the amount you learn, type of exit opps, worklife etc.. any thoughts? Also, people often talk about HL being creditor focused and bs /laz debtor focused - what would that mean for the day to day job? I assume more legal stuff on the creditor side and industry analysis on the debtor side? Cheers all
16 Aug 2012
Looking at a LevFin opportunity in London vs. the US. Wondering how different banks stack up in London? Additionally, any insight as to how the experience differs from being at a US bank (transaction size, complexity, quantity of transactions)? Currently at a top 4 US LevFin bank and trying to consider the move.
22 Nov 2015
Hi, Currently 2nd year analyst in a FIG team within a top tier swiss bank, I have an opportunity to move internally to the LevFin team. Would someone be in a position to give me some advice re. exit opportunities of both departments ? Would you do the move ? Would you stay in FIG ? Thanks a lot for your help
10 Oct 2010
So now officially faced with the fact that I will no longer do direct, leveraged finance for a sub debt fund and I'll be moved to a fund of fund, I'm stuck in between a rock and a hard place... Should I: - stick it out in fof - stick it out for anther year and then go for an MBA - leverage banking contacts and my LevFin experience to analyst lateral to a GS, JPmorg etc... Any ideas?
09 Mar 2010
I have a superday with a LevFin group and want to know smart questions to ask for the end of my interview. Does anyone have suggestions on what types of questions I should ask? Appreciate the commentary/help
28 Aug 2015
I know this is a dumb question on LevFin, but I just wanna make sure that I'm on the right track. Can you say that LevFin is under the Capital Market umbrella since it's just basically debt? Also, when a bank has LevFin and DCM dept separated, how different of the work in one department compared to the other?
29 Oct 2010
Hi guys, I have received offers to join both groups and was wondering which option is better in terms of acquired experience and exit ops, if I tried to go into PE after. How does the culture differ? Thank you very much for the help, really appreciate it.
05 Jun 2018
I'm currently an investment banking analyst in a large company that's not a traditional investment bank in the Asset-Backed Securities group, and I'm seeking advice on options moving forward. I'm hoping to make it into PE/VC eventually, so I feel an intermediate move is necessary. Here are my options and some background. 1.) Top 7 Business School - BS and MS from top 30 University (Well-known but non-Ivy) - GMAT 780 2.) Move to BB for a similar group 3.) Move to different M&A/LevFin at a different bank What would be the best and/or most realistic move? Thanks in advance.
20 Feb 2010
I want to know more investment bankers in the area, especially since I want to pursue distressed debt lending/investing. I'm in NYC, first year analyst at a small middle-market firm. Are there happy hours for these types of gatherings? I assume no, but just want to get someone else's take who has more experience how you built your connections. I know connections is really important, especially in sourcing a deal, and just want to know if someone has any tips. I've already started getting closer to the two contacts I have in LevFin (one at a BB and another at a middle market IB). Should I use my current contacts in BB to introduce me to people in LevFin? Thanks!
11 Jan 2015
Hi, I'm looking for a MBA/MSc program to attend in the US or Europe. My interests are related to leveraged finance and fixed income. Can anyone advise any program that has a good reputation within LevFin groups. Please, don't answer H/W/S and other top BS, since they are kind of obvious. thx
05 Jul 2011
Hello guys, I am considering LevFin at a BB (internship) and I was wondering how much exposure to the markets LevFin would have? I am not too keen on the capital markets, so wouldn't want a markets-based role. On day-to-day basis, how would M&A differ from LevFin with respect to intern responsibilities? Thanks!
11 Mar 2011
Can somebody please explain to me the difference between Leveraged Finance and Dept Capital Markets? I'm under the impression that DCM involves debt origination/syndication, but what then is LevFin? According to WSO's definition, LevFin is often equated to a firm's Financial Sponsors group. However - after a BAML presentation, the firm's product groups involve DCM, LevFin, Financial Sponsors AND Private Equity? Can somebody please clear up the difference between DCm and LevFin, and also sponsors and PE? I'd really appreciate it. Debt Capital Markets vs. Lev Fin It is important to note that
03 Dec 2009
I'm a 2nd year analyst at a large bank (think JPM, BOA, WF). I'm not in ibanking - we target the middle market and provide bank debt facilities >$35MM, mostly used for M&A but also can be direct to the Company. I want to find a pre-MBA associate role with either a PE or mezz debt fund (I actually prefer mezz and think my odds are higher there given my debt background). I do a lot of networking and have gotten some advice already, but want to know what you guys think: 1 - what is the time frame for recruiting? have I already missed it? I've only had one mezz interview so far, and I want to know if I should continue studying for the GMAT or stop and focus on the job hunt before I start my third year.
22 Apr 2014
Hi All, Do you think there are risks joining a LevFin team as an Analyst 1 in the current climate - e.g. interest rate rises, volatility - for MM shop in London? I have seen some deals pulled and low issuance etc, but also understand that as leveraged loans are floating rate that they limit duration risk. How do people expect the primary market to fare over the next few years, and do you think it is 1) a 'safe' place to be in for the next few years, 2) still as good an option (with regards to exit, etc) as it was a few years ago? Many thanks
26 Nov 2015
I'm starting in DCM at a pretty senior (though not BB) European bank (based in London) this summer. I voluntarily chose the DCM group but now after a little thought, I think I might improve my future prospects by switching to Leveraged Finance, if possible at a bulge bracket. My question relates to how I should go about doing this? Would it be too tough to switch directly after maybe a year, or should I try and take some intermediate steps like first trying to switch to LevFin at my bank and then move to a BB, or move to a BB in DCM and try to switch to LevFin from there.
14 May 2011
Leveraged Finance (also known as LevFin) is an area within the investment banking division of a bank that is responsible for providing advice and loans to private equity firms and corporations for leveraged buyouts. Bankers working in Leveraged Finance tend to focus more on high-yield and mezzanine debt as they can typically charge higher fees and the client is more willing to do so due to lack of debt covenants. Leveraged Finance departments work on acquisitions (leveraged buyouts), recapitalisations and asset purchases. Companies looking to do any of those things can do so using debt and it is cheaper to use debt than to use equity or cash.
03 Oct 2011
If you want a primer on what a leveraged finance group works on, read this: https://www.lcdcomps.com/d/pdf/LoanMarketguide.pdf Haven't really seen this posted here and it could really help the underclassmen learn something. Stay hungry young bloods.
17 Jun 2013
Studying up for an LevFin interview. Don't know a whole lot about debt financing models, but do understand lbo models pretty well. I'm hoping that someone could explain how debt financing models work? A general overview would be fine, or a in-depth description would be really great. Thanks!
16 Oct 2010