Laxman Jha asked to learn more about what an analyst does in the investment banking world.
There are really two answers. On Wall Street, analysts work crazy hours (on the order of 100 hours per week) supporting transactions involving companies whose executives they've never met. Exactly what the day-to-day routine is, I don't know (perhaps some kind Wall Street analyst will post a comment to let us know).
Analysts in small firms, like Thorpe Capital, typically work 50 to 60 hours per week (about half of Wall Street analysts) and they make about half as much money. They tend to get more face time with clients than Wall Street analysts. They help to organize and review diligence information, to prepare "pitch" documents for offerings and M&A transactions and they create financial models to allow the team to see the future for a business combination or the impact of a new capital in a growth company.
I would like to invite investment banking analysts to comment here on their experiences.
I'm not an analyst but my sister is. What she does is more of the latter description. She works with a team and they pitch to clients. Apparently, she makes very good models. I understand that she sometimes has to stay overnight working non-stop and that she also has inside dish on companies and whatnot.
Posted by: Jen, writer MembershipMillionaire.com | January 9, 2008 2:31 AM | Permalink to Comment