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 Investment banking/Corporate finance

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jimmyttl
post Nov 27 2010, 09:18 PM

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81 posts

Joined: Dec 2005


QUOTE(Aloong @ Nov 27 2010, 01:02 PM)
Origination (normally called Invt banking dept) = 70% marketing skills + 30% structuring skills with executioners's help
Execution (normally called CF dept) = 90% execution + 10% structuring to assist originaters

Unfortunately, there is no 100% structuring job/role, as wat most ppl thot they would do.
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you call that marketing skill? I call it reverse valuation ROFL
you don't value the company of your client, or target co. if it's a M&A deal, client will tell you the perceived value of his firm and it's up to you to find reasons to support his valuation and get the deal done. DCF? Comparable ratios you learnt in Uni? go chuck it into the dustbin. LOL

the ugly fact is, people in IBK has better bonus relative to the efforts put in by their more hardworking brethren from the execution side. after all IB is still about sales/deal, if you get the deal, you're the MAN.

Think of execution team as the machine operator on the manufacturing floor while IBK as the thick face salesman peddling their wares.
jimmyttl
post Dec 2 2010, 11:56 PM

Getting Started
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Junior Member
81 posts

Joined: Dec 2005


QUOTE(gloomberg @ Dec 2 2010, 11:37 PM)
ermmm... ok. Let me call up a banker and ask him to tell u? LOL.
Ever heard of PIMCO? Never said u're wrong, but just mentioning that fixed income investment deals more with bonds that do fund managers. And yes, fixed income is highly quant, much more than equity, just for ur knowledge. Strategies include carry, curves, rolldown, etc etc.

more important than CF, hmmm... fixed income is investment wo, why relate to CF? If CF seek for funding expertise, they will go to DCM ppl and ask their opinion. Ok, i scare u liao, name also aloong. U are correct in every sense possible
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=) somebody got offended pretty hard eh. IB freshie with the know it all attitude.

My fav quote:-

"Winning an argument on the Internet is like winning a contest at the Special Olympics you may have won but who did you beat?"

Regards,

A mere spectator in the paralympic game. ROFL

 

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