Investment Banking Jobs – From Analyst to Managing Director
Marc Luber: Hey everyone – welcome to JDCareers Out There – where we get you career advice from fellow lawyers and non-practicinglawyers – to help you find success and happiness in your career.
I’m Marc Luber – and todaywe’re exploring the career path of Investment Banking.
We’re talking to my old friendand college roommate, Eric Klar, who was a managing director at a major global bank wherehe spent 10 years in Investment Banking AFTER practicing law for 5 years at an internationallaw firm.
He tells us all about the path of IBanking and making that transition from thelegal world.
Here’s a little look at our discussion where I asked Eric about the Lifestyleof IBanking careers as well as what level a JD would come in at when joining a bank…….
SoI remember that the hours for you, when you were there, were very, very long and intense.
Tell us about the lifestyle of this kind of a path.
Eric Klar: Sure.
I mean first, the lifestyleat a large law firm as a junior associate is a grueling lifestyle as well.
Long hours,it’s a big commitment.
As an investment banker, it’s no different.
When you’rean analyst and a junior associate, you are working, very often, 7 days a week, long hoursevery day.
That’s the nature of the job.
I wouldn’t recommend that anybody get intothis profession without having that expectation and being prepared to make that type of commitment.
There are plenty of people who come out ofcollege thinking, “I want to be an analyst on Wall Street.
I’ve read about it, I’veseen movies about it and I want to do that,” and it’s not for them.
It’s not for everybody.
And you need to make that commitment in order to be successful and work your way up throughthe ranks and hopefully get promoted from analyst to associate to vice president todirector to managing director.
Luber: And so, when someone’s coming firstout of a law firm after having worked for a few years, are they an analyst? Is thatthe title? Eric Klar: No.
if you’ve been a practicingattorney, depending how senior you are, most people I knew often came in as an associate,whether it was a second or third year associate, because you do bring, unlike someone who’scoming out of college, that’s generally the analyst ranks.
You’re bringing…youare adding value and you do have X number of years of practice of law, you do have alaw degree, so they generally bring you in as an associate, and that’s where you start.
And you work with the analysts, who are primarily responsible for the initial drafts of mostmaterials as well as the modeling.
And the roles would be pretty similarto what you were describing earlier when you were talking about your role as a managingdirector – there you have a little bit more business development responsibility it soundslike, but otherwise the day-to-day tasks that people are going through are still prettysimilar? Eric Klar: Yes, but when you’re a managingdirector, your responsibility is no doubt, at the end of the year they’re checkingthe box, what was your revenue generation, how many deals did you work on and close andhow profitable were those transactions for the firm.
But, on the flip side, it is yourresponsibility to ensure that all time lines are met internally, that the credit processis done as efficiently as possible, because it’s your client relationship that you’reworking to manage.
So you’re responsible both for internal and external processes thathave to be managed.
Luber: OK, you can all watch a full episodeof Eric and I going more in-depth into Investment Banking careers – and you’re gonna learnmore about what it’s like, what it takes, how your JD applies, and how to break in – howto transition from the legal world to the banking world.
And if you’re a finance idiotlike me, you’ll actually learn about how IBanking works too.
That’s all gonna happenat JDCareersOutThere.
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Thanks again for watching everyone – I’m Marc Luber and look forward to seeingyou again soon.