OCD Update on I-Banking

Last week, in the wake of the financial sector crisis, we hosted two conversations with groups of students who had been considering careers in Investment Banking. The goal of our discussions was to share the various facts and myths and concerns and questions that we all had. Within OCD, we are a bit of a central clearing house for queries and we wanted to be sure that everyone was able to be aware of as many facts as possible as they decided how best to approach their career searches going forward. Below is a simple list of items that were shared, discussed and evaluated during these sessions. As always, if you would like to discuss your personal career search please be sure to schedule a counseling appointment with a counselor via iMpact.

At this point, there has not been a significant rescission of job offers to those who had earned them at banks that are struggling. Similarly, banks have not called to cancel schedules for this fall. In fairness, they had not reserved as many schedules last summer for this fall; but they have not cancelled those that were scheduled. In fact, schedules were added by other banks last week. We can't know what will unfold over the coming months, but at present, other industries have not changed their hiring plans for the year. It is a bit of a silver lining to this cloud that the crisis has begun at the beginning of the on-campus interview season.

Students who are considering focusing on other industries should revisit their career self-assessment to be sure that they can cogently convey why they are a good match for the alternative industry. Recruiters will obviously be on the lookout for students who are simply shopping around.

Because Ross has always had a diversity of companies recruiting, we have always had a variety of banks. Beyond bulge bracket investment banks in New York there are numerous mid-sized and small banks in other cities such as Chicago, Minneapolis, San Francisco, etc. that are still seeking talent.

Corporate Finance positions continue to be available. There is a chance that by next summer, some of the big banks may again be looking to add people. Obviously, that's a tough fact to trade on, but at the pace that things are happening, ten months is a very long time.

Be sure to stay in touch with the ethics of interviewing. It is improper to interview after having accepted a position. Once you accept a position, you should withdraw from active candidacy with other organizations. If, however, the entity with which you accepted an offer is no longer in existence or merged, you should discuss your options.

Also, it is possible to establish relationships with other employers as long as you make it clear that you are not an active candidate because you have already accepted a position. Pragmatically, remember that "Wall Street is a small street" and the interviewer you may be approaching at one bank may be the roommate of a banker at the firm with which you have already accepted!First years have the luxury of a few more weeks to assess where they would like to target their internship search. Again, revisit your career self-assessment; and if your risk tolerance has been exceeded in the banking industry, consider another field.