Investment Banking > Associate

Business Description

We have designed these sections to aid you in your understanding of what Investment Banking is, the services we provide to our clients and how we are structured. Investment Banking is a broad term used by many people including bankers and firms to cover different things, but is often also referred to as Corporate Finance. In the subsequent tabs we have asked for input from our Analysts/Associates and also the Recruiters to describe the type of person we are looking for, and how the recruitment process works.

What is Investment Banking?

Investment Bankers at Citi are strategic advisers to companies and governments, helping them to facilitate and finance their strategies, and lead or participate in industry change and evolution in the global economy. Our advice is used to connect companies with the right providers of capital, and to execute their deals through strategic and tactical advice and project management in mergers and acquisitions.

What service do we provide to our clients?

We provide leadership, guidance and advice on transactions in financial markets across all industries in all corners of the world. Although Investment Banking by default is associated with mergers and acquisitions (M&A), Investment Bankers also originate and execute equity and debt capital raisings, leveraged buyouts (LBOs), financial restructurings, divestitures, initial public offerings (IPOs) and privatisations around the world. By working with our counterparts in Citi’s Corporate Banking, Capital Markets, and Global Transaction Services teams, we are able to provide our clients with the broadest and deepest financial advice and capabilities.These include underwriting and distributing equity, debt, and derivative securities for some of the world’s largest international corporations, financial institutions and governments.

These transactions can cross national borders, involve multi currencies, and use many sources of equity and debt capital expertise.With our global presence, local expertise and deep industry knowledge, we are in a unique position to advise and, if appropriate, execute these transactions for our clients.

In addition to M&A, we are involved actively with our capital markets partners in client discussions on debt and equity financing. Private Equity has become a large investor in almost all our industry and regional businesses, which adds a leveraged finance dimension.

Most of the relevant execution work is done within the team, providing extensive opportunities for Analysts and Associates to work directly with senior bankers and clients and to travel. 

How we are structured?

The Investment Bank in EMEA is organised into two primary groups;

• Country Coverage Groups 
• Industry/Product Teams (including the Financial Strategy Group).

Country Coverage Groups:

Country (or regional) Coverage Groups in Europe include the UK, Iberia, France, Germany, Italy, and the Nordic region. Each geography is comprised of corporate finance advisory teams (from Analyst to MD) within the Investment Bank that focus on providing advice to local clients in their respective region across a range of industries, or focussing on specific roles like M&A, or foreign clients seeking to invest in that region. Country Coverage bankers have a detailed understanding of local market regulations and customs, and transaction execution. They are region or country specific experts based both in London and local offices who work in harmony with the product and industry coverage teams, to provide the best solutions and service to the clients of Citi.

Emerging Markets

In addition to specific Country Coverage Groups, Citi’s Emerging Markets team works with clients from more than 60 countries, building personal relationships, and working with a diverse range of people, from company executives and owners to billionaire oligarchs and blue-chip Western companies, from heads of state and their advisors, to Princes from the Middle East. 

Industry/Product Teams: 

In contrast to a Country Coverage Group, which focus on opportunities in a specific region, industry coverage bankers focus on specific industries, but on a pan regional and global basis. Many of these industries have major differences, strategic needs and opportunities in the way they operate - structurally, technologically, legally and practically. They provide in depth and up to date understanding of ideas for clients within these industries by specialising in one particular sector or group of related sectors. A technology banker, for example, needs to be nearly as technologically savvy as a Silicon Valley executive in order to determine which business combinations make the most sense, or what the key issues are in raising capital for a client.

As an Analyst/Associate, you’ll work closely with both team members and product partners from all levels, as part of a global coverage platform stretching from the Americas to Asia.

Citi has a number of industry teams including:

• Energy, Power and Chemicals 
• The Power & Utility Team has a regular dialogue with a large number of power, gas and water companies. For example, Citi is the defence adviser to Endesa. We are also advising Essent in regards to a merger with Nuon. In Russia, we have recently advised Norilsk Nickel on the acquisition of a stake in OGK 3. We are the joint global coordinator advising the Danish government on the IPO of Dong.
  
  Energy works with some of the world's largest companies; in geographies as diverse as Russia, Nigeria and Brazil; in a sector with far reaching geopolitical influence. Our clients encompass Global Oil Majors such as Chevron; Shell, National Oil Companies such as Gazprom, Rosneft, ONGC Videsh; Middle Eastern oil companies such as Dana Gas, Taqa; and private equity players amongst others.
  
  The Chemicals Team is a trusted advisor to several large participants in the European chemicals industry. The diversity of the chemicals industry allows for a broad exposure to many industries ranging from petroleum to pharmaceuticals to bio-tech.

• Global Industrials Group
• The Global Industrials Group is made up of three segments: Basic Industries (BIG), Industrial Manufacturing (IMG) and Transport, Infrastructure and Services (TIS)
  
  The Basic Industries Group (BIG) builds relationships with a wide range of corporate clients in the Paper & Packaging, Metals & Mining and Building Materials sectors. It recently advised Cemex on acquiring Australian based Rinker.
  The Industrial Manufacturing Group works with many of the world's largest companies within the Automotive, Diversified Industrials, and the Defence and Aerospace sectors. Since our clients are often global, the team members work closely with colleagues from around the world, not limited to the US, Japan, India and China, as well as the European offices. It recently assisted Continental on its plans to acquire Siemens VDO.
  Whether it is airlines, construction, shipping or support services, the Transport, Infrastructure and Services team works with a wide range of industries, focussing on the companies and organisations that provide the services and infrastructure which enable us to lead our everyday lives. The team recently advised Ferrovial on its acquisition of BAA.

• Financial Institutions Group
• The Financial Institutions Group is the banker of banks - it advises financial institutions. This includes a spectrum of subsectors: banks, insurance companies, asset managers, credit card issuers, stock exchanges and electronic financial service providers. FIG works in all the subsectors, across the whole of Europe, and the industry spans from very large public companies (Citi, Barclays, etc.) to small but rapidly growing boutiques (GLG, Hargreaves Lansdown, etc.) Earlier this year the Citi FIG team advised Capitalia on its merger with Unicredit to create the #1 banking group in the Euro area by market capitalisation and the #3 banking group in Europe. In addition, Citi acted as sole global co-ordinator, sole bookrunner and sponsor on the £190mm IPO of Hargreaves Lansdown Plc, the first IPO of a fund supermarket and wrap platform in the UK.

• Technology, Media and Telecommunications
• Technology, Media and Telecommunications (TMT) offers the opportunity to work with a wide range of well-known companies, ranging from Vodafone to Philips to EMI. Deals in the sector dominate the front pages of the financial media, with transactions as large as the $31 billion acquisition of O2 by Telefonica and as small as the £350m sale of Vue cinemas. Given the industries involved, a TMT banker’s work is varied, from understanding the mobile operations of a company or even attending the MTV Europe Music Awards.

• Financial Strategy Group
• Financial Strategy Group (FSG) serves as the primary corporate finance analytical resource for Citi's corporate clients. Today's increasingly complex economic and operating environment has raised further the bar for innovative and theoretically sound financial solutions. FSG works closely with Citi's product, regional and industry experts to develop best practices for recurring and newly emerging corporate finance issues. FSG plays a central role in developing and deepening relationships with our major clients, helping to execute transactions, and publishing widely distributed reports to guide executives who are facing complex corporate finance issues. 

• Consumer/Healthcare/Real Estate
• The consumer team works with well-known companies on transactions that span geographies and products. Last year the team completed 2006's largest European IPO (Debenhams), Turkey's largest leveraged buy-out (Mey/TPG), HMV's defense, Cadbury's 53% acquisition of Dr Pepper/7UP Bottling Group and a South African notes offering.
  
  Healthcare is one of the world's most important industry sectors. In 2007 alone, the Citi healthcare team has been involved in Europe's largest healthcare deals including KKR's $21bn LBO of Boots, the $17bn sale of Numico to Danone, Merck's $3bn rights issue, BUPA's $3bn divestiture of its hospitals, the $1bn IPO of Pharmstandard and Shire's $1bn convertible bond.
  
  The real estate markets currently are undergoing dramatic change in Europe and across the globe, which results in both financing and advisory assignments across the sector. Real Estate bankers work across a breadth of different financial market products and geographies, acquiring in-depth knowledge of one of the most active sectors in the marketplace.  

• Financial Entrepreneurs Group
• The Financial Entrepreneurs Group deals with some of the most dynamic clients, including Private Equity firms such as KKR, Blackstone, Permira, Apax, Bain Capital, Carlyle, 3i, Cerberus and Apollo . Private equity has been the driving force behind many of the most innovative and complex transactions and an agent of change in a variety of industries across the EMEA region. In 2006, FEG was involved in some of Europe’s largest private equity deals, including KKR’s acquisition of Alliance Boots, TPG’s acquisition of TDF, Permira’s acquisition of Valentino and Apax’s acquisition of Tommy Hilfiger.

Roles of an Associate

To provide a better understanding of what you can expect if you join the Investment Banking division, we asked some of our Associates to describe the main tasks which they undertake.

Roles an Associate will undertake in Investment Banking:

Project Management: An Associate is the lynchpin of a project team whether in client coverage, origination or execution of transactions. The Associate is responsible for everything from the smallest detail in a financial model built by an Analyst, to participating in assessing the highest level strategic implications being recommended to a client in conjunction with senior colleagues. An Associate will manage a project tri-dimensionally by: 1) directing and monitoring work done by Analysts, 2) discussing with seniors internally on prioritising and optimising tasks and analysis, and 3) interfacing with clients and other advisers either during meetings to ensure that we deliver correct and valuable advice and materials to clients in an efficient and timely manner or participating in delivering an idea and advice to clients.

Valuation Analysis: An Associate is responsible for the accuracy of the figures calculated by an Analyst in the financial model, valuation and other technical analyses. This can be as rigorous and demanding a task for the Associate as for the Analyst when coupled with the added burden of shouldering responsibility for accuracy.

Client Meetings: Associates are often invited to attend client meetings by their senior colleagues. You will have excellent exposure, make contacts and build working relationships with clients. You also have the opportunity to observe senior bankers deliver advice and presentations to clients, and chances to hone your own client communication and relationship skills. In some cases, you will be asked to lead a client meeting, where appropriate particularly in transaction processes. Although initially daunting, the experiences with clients will be both educationally and professionally rewarding.

Analyst Training & Mentoring: Associates are an essential part of training Analysts. While it is in the personal interest of an Associate to help train Analysts, you may in the process develop personal and friendly relationships that can take the form of a mentoring role too. Analysts will ask you questions they don't feel comfortable asking more others, and you'll find the professional friendships personally rewarding. It is a pleasing reminder of how much you have learnt in a short period of time.

Multitude of Projects: As an Associate becomes more efficient with his work, the opportunity to take on more deals is offered. An efficient Associate generally will be able to take ownership of more projects than an Analyst, as many of the more time consuming tasks are delegated. With more experience from more deals, the Associate becomes prepared for more senior roles and helps to provide more seasoned advice to clients on future transactions.

Our Programmes

Investment Banking in EMEA has two programmes you can apply for: 

• Full-time Programme

   

• Summer Associate Programme

Full-time Programme:

The Associate Programme begins in mid-August with an eight-week training programme that has developed a reputation for excellence amongst academic and business leaders worldwide.

Your training begins with a week specifically designed for new Associate hires. This pre-training is designed to smooth the transition into Investment Banking at Citi. You will cover internal systems, as well as some tailored financial and technical training. The formal Associate Training Programme then commences in New York with the Global Orientation Week; you will join Associates from around the globe for your overview of Citi and specifically Markets & Banking.

The remainder of the training for our EMEA Investment Banking Associates will be conducted in London. You will have an intensive introduction to Investment Banking, followed by a modular programme concentrating on the major Investment Banking products in addition to in depth accounting and regulatory training.

Our programme of extensive classroom training, with skilled instructors drawn from within Citi, and supported by external corporate training consultants consists of the following modules: 

• Orientation Week

• Financial Analysis/Accounting

• Leadership Development

• Mergers and Acquisitions

• Equity

• Fixed Income

• FSA Registration Examination

Our training programme is interactive and participative, ensuring that our Associates play a full part in the learning experience thus making the training relevant, stimulating and effective.

Once you have completed the Associate training programme, our commitment to your development continues with a programme of formal courses on a rotational basis that complement the on-the-job training you receive throughout your career. Topics covered range from the use of our internal technology and research capabilities to the product orientated Investment Banking “hard skills” curriculum.

Summer Associate Training Programme

The Summer Associate Programme begins with a 4-day training programme in London. Training begins with orientation and induction sessions during the first day that provide an overview of Citi and the Summer Associate Programme.

You will then complete a 3-day programme of classroom training, specific to Investment Banking, with skilled instructors drawn from within Citi. This comprehensive programme is designed to cover the following fundamental aspects of the Summer Associate role:

• Accounting review

• Valuation techniques

• Citi's library and information services

• Using external information systems e.g. Bloomberg

• An overview of the most important financial products

Our training programme is interactive and participative, ensuring that Summer Associates play a full part in the learning experience thus making the training relevant, stimulating and effective.

To support and compliment this training, we will focus on honing your computer and information/data gathering skills.

You will be placed in one group for the duration of your internship. This enables our Summer Associates to perform the roles and responsibilities of a Full-time Associate from day one, continuously learning through ‘on-the-job training’. Prior to commencement of the Summer Associate Programme, candidates who are offered positions will be invited to submit a list of preferences regarding which team you would like to join for the summer. The allocation process will be based on your preferences and our specific business requirements.

 

Who we are looking for

The key principles by which we manage our business are to recruit the best candidates, provide them with superior training, expose them to fantastic work experience and develop them to their full potential.

We are seeking candidates who are highly motivated and have superior academic achievement, as well as significant commercial work experience. Successful applicants demonstrate evidence of their strong communication and interpersonal skills, commitment to excellence and leadership qualities, and possess solid quantitative ability. Our employees work in an international environment and often have fluency in more than one language.

A successful candidate typically would demonstrate: 

• Ability to work independently and in a team

• Strong planning and organisational skills

• High levels of self-motivation and initiative

• Superior relationship building skills

• Creative and innovative problem-solving skills

• Good understanding of the industry/environment

• Strong analytical skills

• Commitment to excellence

• Excellent attention to detail

• Proven leadership skills

• Financial expertise, and comfort with handling a variety of analytical assignments

• Ability to demonstrate presence and professionalism with clients – particularly in critical, intense situations

• Unquestionable ethics, an understanding of the implications of decisions and a respect for client confidentiality

Recruitment Process

We open for applications on the 3rd September 2007

Please note that we hire the majority of our Full-time class through the Summer Associate Programme.

Our application deadlines are Business School specific.

The following guidelines can be used where a Careers Service Centre is unable to advise:

Associate Programme: October 26th 2007
Summer Associate Programme: February 8th 2008

Below is an outline of the recruitment process from application received to offer:

Stage 1:  Application reviewed by Graduate Recruitment and Business

Stage 2:  First round interviews – generally held on campus
               Two 1:1 competency based interviews with Investment Bankers 

Stage 3:  Final round interviews
               Three competency based interviews including technical questions with Managing Directors & Directors from Investment Banking

Stage 4:  Offer extended

Stage 5:  Post-offer opportunities to meet with bankers from a wide variety of teams

Please note: Final round interviews are held in our London, New York or Chicago offices.

Where

 

Our EMEA (Europe Middle East and Africa) headquarters are based in London. The majority of our positions are based in London. Occasionally we also have positions in some of our other EMEA locations, please check the website for any further opportunities.

Our People

Michael Longoni MBA London Business School; Technische Universitat Munchen (Diplom-Ingenieur) Director

If asked about your career at a dinner party, how would you describe it?

There are several aspects characterizing the job of an Investment Banker. On the capital side, we help companies raise debt or equity from public or private markets. On the financial advisory side, we support companies undertaking certain corporate transactions, including buying other companies, being bought themselves, as a whole or just on divisional levels, setting up joint-ventures, etc. In these functions, we often perform industry analyses and undertake valuations of companies, etc. We often work together with other advisors including accountants, lawyers and management consultants.

How would you describe your team and the people you work with?

Investment banking is an extremely inspiring environment with highly self-motivated professionals who constantly try to excel in whatever they do. Everybody is very smart and keen to deliver the best possible product for a client. Despite the high pressure which can arise, everyone is very team-oriented and always there for others if needed. The wide-ranging educational and professional backgrounds, which range from philosophy to nuclear physics, makes the environment very creative and forces oneself to analyse situations from all possible angles-you never feel that you reach a standstill but that you're on a continuous learning curve. On top of that, we are an incredibly international group of people from all over the world.

Describe your experience in your specific training program.

The most appealing aspect of the training programme is that you have the opportunity to get to know many people you will encounter later on during your career. In addition, it's an excellent platform to learn about all of Citi's products and activities in the various geographic markets. The last few weeks give you a good introduction to specific issues in Investment Banking, which makes your life easier once you start working in your group.

How has Citi supported your career development?

In your typical career development as a banker you go through various phases of development needs driven by evolving professional and personal challenges - the organisation has always tried to support me during this process. At the beginning, I participated in training which was very valuable given that I didn't have a background in finance, thereafter I was able to go to New York for a longer rotation which was important for my professional and personal development, and in 2002 I was made cluster staffer where I had to assign, together with a partner, approx 50 analysts and associates onto projects – which was a great experience in terms of people management skills and interaction with senior bankers. However, the most important aspect for your personal career development is the continuous increase in responsibilities you are able to take on during transactions. On that aspect I received the strong backing of various bankers I was working with which helped me progress successfully.

What do you consider Citi's competitive edge?

Our client base is becoming more and more global and expects to receive advice on whatever they undertake, wherever in the world. As a truly global firm, we are able to tap into resources everywhere in the world and are therefore able to add value to our clients. No other financial institution can match Citi's global presence—this provides us with an incredible competitive edge. On a personal basis, the global nature of our business means that even though I am working out of London in an industry group, I do a lot of travelling, especially into Continental Europe.

Vomic Nur Shah Masters Vice President

How would you describe your team and the people you work with?

I can safely say that at Citi you will work with some of the most consummate bankers who have the ability to balance formality with friendliness. When working in a high-pressure environment you want to work with people who are amiable and easy to get along with. At Citi, more than any other bank I have come across, the culture is simply great and I do get up every day looking forward to seeing the familiar faces at work.

What other groups do you liaise with regularly within the Firm?

One of the advantages of being a global financial institution like Citi is that, while working in Investment Banking, you interact with a number of different groups. On a very regular basis, I work with our partners in the equity and debt capital markets, leveraged finance, private banking. In addition, we are always in touch with regional country offices in the US, Europe and Emerging Markets.

What outside influences have the most bearing on what you do day to day, and how do they affect you? (e.g., economic news, world markets, company data, etc.)?

In Investment Banking, unlike trading, we are not driven on a daily basis by markets. We obviously are effected by overall economic and market trends and global events. But as our role is to develop long-term relationships with clients, we do not change positions in a short period of time depending on market fluctuations.

What skills have you found to be the most useful in your position?

Interpersonal skills. No matter how technical the nature of the job, being able to interact in a positive way with people at different levels and of different natures is key to performing well and enjoying your time at work.

What do you enjoy doing outside work?

A number of things – I enjoy meeting friends and new people in social gatherings. Routine activities outside work include movies (I have to see one movie in the cinemas every weekend) and riding.

Johannes Vavrovsky MBA, NYU Stern School of Business Associate

What about your career excites you the most - gets you out of bed in the morning?

You constantly work with and learn from extremely sharp and driven individuals - both internally as well as on the client’s side. There is very little routine in our job.

What do you consider Citi's competitive edge?

I firmly believe that there is no other company that can offer a full set of financial services of highest quality across the entire globe.

How would you describe your team and the people you work with?

Fun, driven and smart. Going through the recruiting process and meeting people from various firms, you soon figure out if there is a good chemistry. Citi immediately felt to be a great fit for me.

What other groups do you liaise with regularly within the Firm?

Working for the Financial Entrepreneurs Group, you get great exposure to various other teams. We are regularly liaising with Leveraged Finance, different Industry and Country teams, Securitization as well as teams within Citi Alternative Investments.

What skills have you found to be the most useful in your position?

Communication skills and technical skills (i.e. a good understanding of finance, accounting and modeling) are key for Associates.

What non-work related activities do you get involved in through Citi (community, mentoring, charity)?

At Citi you constantly have the chance to get involved in non-work related activities. I am involved in recruiting activities, mentoring programmes and both the football and tennis clubs that organize regular games and tournaments.

How did your summer internship help you make the decision to pursue a career at Citi?

As a career changer, the summer internship provided me with a fantastic opportunity to learn more about the job and already become a full member of the team. As I enjoyed both very much, it was a no-brainer for me to return after graduation.