2014 top 50 banking firms

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VAULT GUIDE TO THE

TOP 50 BANKING EMPLOYERSDEREK LOOSVELT AND THE STAFF OF VAULT

Copyright © 2013 by Vault.com, Inc. All rights reserved.

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ISBN 13: 978-1-58131-902-6

ACKNOWLEDGMENT

Thanks to everyone who had a hand in making this book possible. We are extremely grateful to Vault'sentire staff for all their help in the editorial, production and marketing processes. Vault would alsolike to acknowledge the support of our investors, clients, employees, family and friends. Thank you!

A GUIDE TO THIS GUIDE

Here's a handy guide to the information you'll find packed into each firm's profile in this book.

The Stats

Employer Type: The firm's classification as a publicly traded company, privately held company,subsidiary, or business segment of a larger company.

Ticker Symbol: The primary stock ticker symbol for a public company, as well as the exchange onwhich the company's stock is traded.

Chairman, CEO, etc.: The name and title of the leader(s) of the firm, or of the firm's investmentbanking business.

2013 Employees: When disclosed, the total number of employees at a firm in all offices (unlessotherwise specified).

No. of Offices: The number of offices the firm operates globally.

The Profiles

The Scoop: The firm's history, clients, recent company news and developments and other points ofinterest.

Our Survey Says: This section begins with a Verdict, written by Vault editors, which summarizes thefirm's current reputation, treatment of employees, and future prospects, based on information gleanedfrom company insiders. This is followed by actual quotes from surveys with current bankingprofessionals at the firm on topics such as firm culture, diversity, hours, compensation, training, andmore.

Sponsored by:

INDUSTRY OVERVIEW

INVESTMENT BANKING

http://www.goldmansachs.com/careers/

http://careers.HL.com

Investment banking is the business of raising money for companies. Companies need capital to growtheir business; they turn to investment banks to sell securities to investors-either public or private-toraise this capital. These securities come in the form of stocks or bonds.

Generally, an investment bank comprises the following areas:

Corporate finance

The bread and butter of a traditional investment bank, corporate finance generally performs twodifferent functions: 1) mergers and acquisitions advisory, and 2) underwriting. On the mergers andacquisitions (M&A) advising side of corporate finance, bankers assist in negotiating and structuring amerger between two companies. If, for example, a company wants to buy another firm, then aninvestment bank will help finalize the purchase price, structure the deal and generally ensure a smoothtransaction. The underwriting function within corporate finance involves raising capital for a client.In the investment banking world, capital can be raised by selling either stocks or bonds to investors.

Sales

Sales is another core component of an investment bank. Salespeople take the form of: 1) the classicretail broker, 2) the institutional salesperson, or 3) the private client service representative. Brokersdevelop relationships with individual investors and sell stocks and stock advice to the average Joe.Institutional salespeople develop business relationships with large institutional investors-those whomanage large groups of assets, like pension funds or mutual funds. Private client service (PCS)representatives, often referred to as private wealth managers, lie somewhere between retail brokersand institutional salespeople, providing brokerage and money management services for extremelywealthy individuals. Salespeople make money through commissions on trades made through theirfirms.

Trading

Traders also provide a vital role for the investment bank. Traders facilitate the buying and selling ofstock, bonds or other securities, either by carrying an inventory of securities for sale or by executing agiven trade for a client. Traders deal with transactions, large and small, and provide liquidity (theability to buy and sell securities) for the market-often called making a market. Traders make money bypurchasing securities and selling them at a slightly higher price. This price differential is called the"bid-ask spread."

Research

Research analysts follow stocks and bonds and make recommendations on whether to buy, sell orhold those securities. Stock analysts (known as equity analysts) typically focus on one industry andwill cover up to 20 companies' stocks at any given time. Some research analysts work on the fixed-income side and will cover a particular segment, such as high-yield bonds or U.S. Treasury bonds.Salespeople within the investment bank utilize research published by analysts to convince theirclients to buy or sell securities through their firm. Corporate finance bankers rely on research analysts

to be experts in the industry in which they are working. Reputable research analysts can generatesubstantial corporate finance business and substantial trading activity, and thus are an integral part ofany investment bank.

Syndicate

The hub of the investment banking wheel, syndicate provides a vital link between salespeople andcorporate finance. Syndicate exists to facilitate the placing of securities in a public offering, a knock-down-drag-out affair between and among buyers of offerings and the investment banks managing theprocess. In a corporate or municipal debt deal, syndicate also determines the allocation of bonds.

INTRODUCTION

The Vault Guide to the Top 50 Banking Employers rates 90 investment banking firms with significantoperations in North America. Vault chose these firms based on previous Vault surveys that gaugedopinions of industry insiders, as well as on various factual data, including annual revenue and numberof employees.

Vault asked these firms to distribute the Vault Banking Survey to their investment bankingprofessionals. The Vault Banking Survey consisted of questions about life at the professionals' firm orformer firm, along with a prestige rating. Survey participants were asked to rate and comment on theirfirm's hiring process, culture, compensation, diversity, training, green practices, business outlook, andmore. Participants were also asked to rate companies other than their own in terms of prestige.

The following companies agreed to distribute the survey: The Blackstone Group, CenterviewPartners, Citi Institutional Clients Group, Cowen Group, Credit Suisse, Evercore Partners, GoldmanSachs, Greenhill & Co., Houlihan Lokey, J.P. Morgan Investment Bank, Lazard, Morgan Stanley,Perella Weinberg Partners, Peter J. Solomon, RBC Capital Markets, Robert W. Baird (Baird), RoyalBank of Scotland Group, SunTrust Robinson Humphrey, and William Blair & Company.

All surveys were completely anonymous. For those companies that opted not to distribute the survey,Vault sought contacts at those firms to take the survey through other proprietary sources. Thoseprofessionals took the same survey as the employees at firms that distributed the survey.

Approximately 3,300 investment banking professionals filled out Vault's Banking Survey in the springof 2013.

More than 15 years ago, when Vault began ranking banks, we only ranked firms in terms of prestige:reputation as perceived by professionals at other banks. More recently, we've included "quality oflife" categories such as compensation, culture, work hours, relationships with managers, training,overall job satisfaction, work/life balance, and business outlook, among others. In these categories,banks were rated by their own employees, as opposed to those at other banks.

In the past, our featured ranking was our prestige ranking. But three years ago that changed. We askedbanking professionals what matters most to them when choosing an employer, and they told us thatfirm culture, as opposed to prestige, is the most important determining factor. Other highly importantfactors, aside from culture and prestige, according to banking insiders, are work/life balance,compensation, and training.

As a result, Vault created a new ranking called the Vault Banking 50, showcasing the firms deemed bybankers to be the "Best to Work For" in North America. The ranking uses the following weightedformula to reflect issues job seekers care about most: 40 percent prestige, 20 percent firm culture, 10percent overall satisfaction, 10 percent compensation, 10 percent business outlook, 5 percentwork/life balance, and 5 percent training.

Here are the results of the 2014 Vault Banking 50:

http://www.vault.com/company-rankings/banking/vault-banking-50

At No. 1 in the Vault Banking 50 for the first time, with a score of 8.545, is The Blackstone Group. Blackstone's jump from No. 2 last year to No. 1 this year underscores the rise of the smaller,independent advisory boutiques, while many of the large, full-service investment banks continue tofall out of favor with employees, clients, and jobseekers. According to survey resondents, Blackstonehas an incredible amount of prestige, and offers young professionals nearly unmatched jobexperience, as junior bankers are able to take on a considerable amount of responsibility whileworking on complex, high-profile transactions and assignments. Here's one banker at the firmexplaining what separates Blackstone from its competitors: "Blackstone is the best positionedfinancial institution globally. We have the broadest array of alternative investment products, balancedby our advisory capabilities (M&A, restructuring, etc.). This helps us perform through any economicenvironment. Additionally, Blackstone hires people that are 'hungry' to make money and succeed."

At No. 2 in the Vault Banking 50 is Goldman Sachs, which also moved up one spot in the ranking (itfinished at No. 3 last year). Goldman is still golden when it comes to prestige: for the 14th year in arow, the firm ranked No. 1 in our Prestige Rankings. And the bank seems to have largely put itscontroversies behind it. In addition, Goldman continues to land the best and biggest transactions onWall Street, and its insiders are highly satisfied with the firm's team-like culture where they workalongside some of the brightest and most motivated colleagues in investment banking. Says oneGoldman insider, "There's no better platform than Goldman Sachs to launch and maintain a satisfyingcareer. Training, mentoring, mobility, and the opportunity to work with an incredibly talented groupof people are unparalleled."

J.P. Morgan Investment Bank (8.189), last year's No. 1 firm, had to settle for No. 3 this year. Despiteits drop in the rankings, the firm's insiders believe that the bank will get past its recent controversies(in particular, the "London Whale" scandal) and that it's still among the top employers in the industry.According to one of the firm's insiders, "J.P. Morgan is very involved with each employee's careerdevelopment, and management and HR have an open-door policy and are always looking for ways tomaximize potential."

At No. 4 for the second year in a row is Houlihan Lokey (7.729), which once again dominated thequality of life* rankings, taking the No. 1 spot in 18 of 26 categories. Houlihan took the top spot inBenefits, Client Interaction, Diversity-Individuals with Disabilities, Diversity-LGBT, Diversity-Minorities, Diversity-Women, Firm Culture, Green Initiatives, Hours, Informal Training, InternalMo b i l i ty, International Opportunities, Overall Diversity, Philanthropy, PromotionPolicies, Satisfaction, Supervisor Relationships, and Work-Life Balance.

Taking the No. 5 spot this year is Evercore Partners (7.695). Evercore has slowly become one of theStreet's top dealmakers and now demands a tremendous amount of respect throughout theindustry. According to firm insiders, Evercore is "highly prestigious," has "great deal flow," andoffers "great deal experience" and "strong exit opportunities." Professionals at peer firms say it's the"Rolls Royce of I-banking"-it "only does huge, high-impact deals."

*In order to be eligible for the rankings in a certain "quality of life" category, at least 15 of afirm's investment banking professionals must have voted in that category.

http://www.vault.com/company-profiles/commercial-banking-and-investment-banking/the-blackstone-group.aspx

http://www.vault.com/company-profiles/commercial-banking-and-investment-banking/goldman-sachs-co.aspx

http://www.vault.com/company-rankings/banking/most-prestigious-banking-companies?sRankID%3D162

http://www.vault.com/company-profiles/commercial-banking-and-investment-banking/jp-morgan-investment-bank.aspx

http://www.vault.com/company-profiles/commercial-banking-and-investment-banking/houlihan-lokey.aspx

http://www.vault.com/company-profiles/commercial-banking-and-investment-banking/evercore-partners.aspx

THE VAULT BANKING 50

THE VAULT BANKING 50 METHODOLOGY

When Vault asks banking professionals what matters most to them in choosing an employer, theycontinually tell us that although prestige is important, it's not the only determining factor. As a resultof these findings, Vault has compiled a weighted formula that reflects the issues job seekers careabout most. We believe that this formula showcases those banking firms deemed the Best to WorkFor.

The Vault Banking 50 is based on the following: 40 percent prestige, 20 percent firm culture, 10percent compensation, 10 percent business outlook, 10 percent overall satisfaction, 5 percentwork/life balance, and 5 percent training.

THE VAULT BANKING 50

The VAULT BANKING 50 is compiled using a weighted formula that reflects the issues bankingprofessionals care most about, combining quality of life rankings (such as culture, satisfaction,work/life balance, training, and compensation) with overall prestige.

2014 Rank 2013 Rank Change Company Score

1 2 ↑ The Blackstone Group 8.545

2 3 ↑ Goldman Sachs & Co. 8.282

3 1 ↓ J.P. Morgan Investment Bank 8.189

4 4 - Houlihan Lokey 7.729


5 7 ↑ Evercore Partners 7.695

6 5 ↓ Morgan Stanley 7.679

7 9 ↑ Centerview Partners 7.674

8 6 ↓ Greenhill & Co., Inc. 7.618

9 8 ↓ Perella Weinberg Partners 7.283

10 10 - Credit Suisse 7.218

11 47 ↑ Peter J. Solomon Company 6.811

12 15 ↑ William Blair & Company 6.663

13 17 ↑ Robert W. Baird & Co. (Baird) 6.620

14 11 ↓ Lazard 6.511

15 18 ↑ RBC Capital Markets 6.442

16 14 ↓ Citi Institutional Clients Group 6.402

17 20 ↑ Royal Bank of Scotland Group plc 6.228

18 19 ↑ Cowen Group, Inc. 5.831

19 22 ↑ SunTrust Robinson Humphrey 5.647

20 25 ↑ Barclays (Investment Banking) 2.584

21 24 ↑ Deutsche Bank AG 2.501

22 26 ↑ Bank of America Corp. 2.372

23 13 ↓ Moelis & Company 2.248

24 12 ↓ Jefferies & Company, Inc. 2.224

25 28 ↑ Rothschild 2.155

26 27 ↑ UBS Investment Bank 2.092

27 30 ↑ Wells Fargo & Company 2.070

28 32 ↑ Allen & Company LLC 1.904

29 NR - Qatalyst Partners 1.875

30 34 ↑ Macquarie Group (U.S.) 1.820

31 36 ↑ Oppenheimer & Co. 1.787

32 29 ↓ HSBC North America Holdings 1.784

33 33 - BNP Paribas USA 1.756

34 35 ↑ Nomura Holdings, Inc. 1.742

35 40 ↑ BMO Capital Markets 1.716

36 37 ↑ Bank of New York Mellon Corporation 1.709

37 21 ↓ Piper Jaffray Companies 1.702

38 38 - Societe Generale Corporate & Investment Banking 1.612

39 31 ↓ Deloitte Corporate Finance LLC 1.610

40 42 ↑ Brown Brothers Harriman 1.587

41 39 ↓ Cantor Fitzgerald 1.582

42 45 ↑ Raymond James Financial, Inc. 1.536

43 43 - Credit Agricole Corporate and Investment Bank 1.460

43 16 ↓ Gleacher & Company, Inc. 1.460

44 46 ↑ Sandler O'Neill + Partners L.P. 1.453

45 NR - Stifel Financial Corp. 1.431

46 49 ↑ Miller Buckfire & Co. LLC 1.426

47 41 ↓ Lloyds Banking Group PLC 1.418

48 50 ↑ TD Securities 1.414

49 NR - Tudor, Pickering, Holt & Co., LLC 1.401

50 NR - Duff & Phelps Corporation 1.391

PRESTIGE RANKING

PRESTIGE RANKING METHODOLOGY

The Vault Guide to the Top 50 Banking Firms rates more than 80 top investment banking firms in theindustry. We chose these firms based on previous industry insider opinion as well as various factualdata, including size in terms of employees and annual U.S. revenue. The firms we identified wereasked to distribute our online survey to their investment banking employees. The survey consisted ofquestions about life at the firm (or former firm) and a prestige rating. Participants were asked to ratecompanies with which they were familiar on a scale of 1 to 10, with 10 being the most prestigious.They were not allowed to rate their own (or former) employer.

For those companies that opted not to distribute the survey, Vault sought contacts at the firm throughother sources. Those banking professionals took the same survey as the employees at firms thatparticipated.

Approximately 3,000 banking professionals filled out Vault's Banking Survey in the spring andsummer of 2013. Vault averaged the prestige scores for each firm and ranked them in order.

PRESTIGE RANKING

Banking professionals across the nation rank the prestige of the firms that they compete against.


1 1 - Goldman Sachs & Co. 8.878

2 2 - J.P. Morgan Investment Bank 8.091



5 7 ↑ Lazard 6.825


6 5 ↓ Credit Suisse 6.627

7 8 ↑ Barclays (Investment Banking) 6.461


9 10 ↑ Greenhill & Co., Inc. 6.255

10 6 ↓ Deutsche Bank AG 6.252

11 9 ↓ Bank of America Corp. 5.930

12 13 ↑ Perella Weinberg Partners 5.895

13 16 ↑ Moelis & Company 5.621

14 15 ↑ Jefferies & Company, Inc. 5.561

15 14 ↓ Rothschild 5.387


17 12 ↓ UBS Investment Bank 5.231

18 19 ↑ Wells Fargo & Company 5.174



21 22 ↑ Allen & Company LLC 4.759

22 NR - Qatalyst Partners 4.688


24 25 ↑ Macquarie Group (U.S.) 4.549

25 28 ↑ Oppenheimer & Co. 4.467

26 18 ↓ HSBC North America Holdings 4.459

27 23 ↓ BNP Paribas USA 4.390

28 27 ↓ Nomura Holdings, Inc. 4.355


30 35 ↑ BMO Capital Markets 4.291

31 29 ↓ Bank of New York Mellon Corporation 4.272

32 34 ↑ Piper Jaffray Companies 4.256

33 33 - William Blair & Company 4.165

34 31 ↓ Societe Generale Corporate & Investment Banking 4.030

35 21 ↓ Deloitte Corporate Finance LLC 4.024


37 38 ↑ Brown Brothers Harriman 3.967

38 32 ↓ Cantor Fitzgerald 3.956

39 42 ↑ Raymond James Financial, Inc. 3.840

40 44 ↑ Peter J. Solomon Company 3.753

41 41 - Cowen Group, Inc. 3.703

42 39 ↓ Credit Agricole Corporate and Investment Bank 3.650

43 45 ↑ Gleacher & Company, Inc. 3.649

44 43 ↓ Sandler O'Neill + Partners L.P. 3.632

45 NR - Stifel Financial Corp. 3.578

46 47 ↑ Miller Buckfire & Co. LLC 3.566

47 36 ↓ Lloyds Banking Group PLC 3.544

48 49 ↑ TD Securities 3.536

49 50 ↑ Tudor, Pickering, Holt & Co., LLC 3.502

50 NR - Duff & Phelps Corporation 3.478

QUALITY OF LIFE RANKINGS

QUALITY OF LIFE RANKINGS METHODOLOGY

In addition to ranking other firms in terms of prestige, survey respondents were asked to rate theirown firms in a variety of categories. On a scale of 1 to 10, with 10 being the highest and 1 being thelowest, respondents evaluated their firms in various "quality of life" areas. A firm's score in eachcategory is simply the average of those rankings.

Firms with fewer than 10 responses for any given question were excluded from that ranking category.

BENEFITS

On a scale of 1 to 10, where 1 means extremely poor and 10 means excellent, please rate your firm'sbenefit offerings.








7 14 ↑ Credit Suisse 7.852


9 20 ↑ Citi Institutional Clients Group 7.513



12 NR - Peter J. Solomon Company 7.381


14 19 ↑ Morgan Stanley 7.282

15 NR - RBC Capital Markets 7.208

BUSINESS OUTLOOK

On a scale of 1 to 10, where 1 means extremely poor and 10 means excellent, please rate your firm'soverall business outlook.



2 1 ↓ Houlihan Lokey 9.679


4 4 - The Blackstone Group 9.327

5 5 - Robert W. Baird & Co. (Baird) 9.125











CLIENT INTERACTION

On a scale of 1 to 10, where 1 is very dissatisified and 10 is extremely satisfied, please rate yoursatisfaction with your level of interaction with clients.










9 9 - Perella Weinberg Partners 8.630







COMPENSATION

On a scale of 1 to 10, where 1 is far below average and 10 is far in excess of industry average, mytotal compensation is:


1 1 - Centerview Partners 9.822

2 4 ↑ Houlihan Lokey 9.370


4 3 ↓ The Blackstone Group 8.796












CULTURE

On a scale of 1 to 10, where 1 is extremely poor and 10 is excellent, how would you rate your firm'sculture?




3 3 - Greenhill & Co., Inc. 9.286

4 2 ↓ Centerview Partners 9.167



7 4 ↓ Evercore Partners 8.880








15 9 ↓ Cowen Group, Inc. 7.864

FIRM LEADERSHIP

On a scale of 1 to 10, where 1 is very low is 10 is very high, please rate your confidence in yourfirm's leadership.

















FORMAL TRAINING

On a scale of 1 to 10, where 1 is nonexistent and 10 is superior, the formal training at my firm is:






5 3 ↓ Goldman Sachs & Co. 8.328











GREEN INITIATIVES

On a scale of 1 to 10, where 1 is poor, and 10 is excellent, how would you rate your firm'scommitment to promoting eco-friendly initiatives?










9 6 ↓ RBC Capital Markets 7.519



12 11 ↓ William Blair & Company 6.976




HIRING PROCESS

On a scale of 1 to 10, where 1 means not at all satisfied and 10 means very satisfied, please rate yoursatisfaction with your firm's hiring process.















14 6 ↓ Lazard 8.023


HOURS

On a scale of 1 to 10, where 1 means not at all satisfied and 10 means very satisfied, please rank yoursatisfaction with the number of hours you spend in the office.













12 12 - RBC Capital Markets 6.645




INFORMAL TRAINING

On a scale of 1 to 10, where 1 is nonexistent and 10 is superior, the informal training at my firm is:















14 17 ↑ Cowen Group, Inc. 7.600


INTERNAL MOBILITY

On a scale of 1 to 10, where 1 is very difficult and 10 is extremely easy, please rate your ability tomove to a different department within your firm.








7 7 - Morgan Stanley 7.478



10 6 ↓ Robert W. Baird & Co. (Baird) 7.211




14 13 ↓ SunTrust Robinson Humphrey 6.935

15 15 - Evercore Partners 6.865

INTERNATIONAL OPPORTUNITIES

On a scale of 1 to 10, where 1 is minimal and 10 is extensive, please rate the extent of your firm'sinternational opportunities.














12 12 - Perella Weinberg Partners 6.891



15 14 ↓ Lazard 6.218

PHILANTHROPY

On a scale of 1 to 10, where 1 is minimal and 10 is extensive, please rate your firm's philanthropyprograms (e.g., community involvement, charitable giving, etc.).












11 10 ↓ RBC Capital Markets 8.396




15 NR - Evercore Partners 7.411

PROMOTION POLICIES

On a scale of 1 to 10, where 1 means not at all satisfied and 10 means very satisfied, please rank yoursatisfaction with your firm's promotion policies.

















RELATIONSHIPS WITH MANAGERS

On a scale of 1 to 10, where 1 is very dissatisified and 10 is extremely satisfied, please rate yoursatisfaction with your supervisor/manager/project leader relationships.

















SATISFACTION

On a scale of 1 to 10, where 1 is not at all satisfied and 10 is very satisfied, my overall satisfactionwith the firm is:












11 NR - Royal Bank of Scotland Group plc 7.882





WORK/LIFE BALANCE

On a scale of 1 to 10, where 1 is not at all satisfied and 10 is very satisfied, please rate yoursatisfaction with your work/life balance:

















DIVERSITY RANKINGS

DIVERSITY RANKINGS METHODOLOGY

Vault has included a separate section for our diversity rankings. Insiders were asked to rate theirfirm's commitment to diversity with respect to women, minorities, gays and lesbians, individuals withdisabilities, and military veterans. To determine our Best Firms for Diversity, we used a formula thatweights the average score in all five categories equally. Like our "Quality of Life" rankings, thediversity rankings reflect the opinions and perceptions of insiders.

OVERALL RANKING

To determine the Best Firms For Diversity, we used a formula that equally weights the average scorein all five diversity categories (diversity with respect to women, minorities, gays and lesbians,individuals with disabilities, and military veterans).

















DIVERSITY FOR INDIVIDUALS WITH DISABILITIES

On a scale of 1 to 10, where 1 means needs a lot of improvement and 10 means exemplary, howreceptive is your firm to individuals with disabilities in terms of hiring, promoting, mentoring andother programs?

















DIVERSITY FOR MILITARY VETERANS

On a scale of 1 to 10, where 1 means needs a lot of improvement and 10 means exemplary, howreceptive is your firm to military veterans in terms of hiring, promoting, mentoring and otherprograms?


1 NR - J.P. Morgan Investment Bank 9.231

2 NR - Houlihan Lokey 9.000

3 NR - Credit Suisse 8.942

4 NR - Goldman Sachs & Co. 8.692

5 NR - Citi Institutional Clients Group 8.298

6 NR - Centerview Partners 8.263

7 NR - Evercore Partners 8.181

8 NR - Morgan Stanley 8.114

9 NR - Robert W. Baird & Co. (Baird) 7.981

10 NR - Greenhill & Co., Inc. 7.931

11 NR - Lazard 7.909

12 NR - Cowen Group, Inc. 7.895

13 NR - William Blair & Company 7.817


15 NR - Perella Weinberg Partners 7.762

DIVERSITY FOR MINORITIES

On a scale of 1 to 10, where 1 means needs a lot of improvement and 10 means exemplary, howreceptive is your firm to minorities in terms of hiring, promoting, mentoring and other programs?

















DIVERSITY FOR WOMEN

On a scale of 1 to 10, where 1 means needs a lot of improvement and 10 means exemplary, howreceptive is your firm to women in terms of hiring, promoting, mentoring, and other programs?

















LGBT DIVERSITY

On a scale of 1 to 10, where 1 means needs a lot of improvement and 10 means exemplary, howreceptive is your firm to gays and lesbians in terms of hiring, promoting, mentoring, and otherprograms?

















THE TOP 25

The Top 25 OverviewRead more about the top 25 banking employers.

Sponsored by:



1. THE BLACKSTONE GROUP

345 Park Avenue

New York, NY 10154

Phone: (212) 583-5000

Fax: (212) 583-5712

www.blackstone.com

THE STATS

Employer Type: PUBLIC

Stock Symbol: BX

Stock Exchange: NYSE

Chairman & CEO: Stephen A. Schwarzman

2013 Employees: 1,820

THE BUZZ

“Very prestigious and intelligent”

“Overrated”

“Strong restructuring and M&A groups; excellent private equity group”

“Sweatshop reputation”

UPPERS

“Great learning experience, work is very interesting; you frequently work on extremely complexdeals”

“Culture of excellence”

“Incredible colleagues”

DOWNERS

“Never a minute of downtime”

“Smaller firm means fewer resources”

“Certain groups can be less friendly with respect to work/life balance”

RANKING RECAP

#1 - Vault Banking 50

Best to Work For

#1 - Hiring Process

#2 - Hours

#2 - Work/Life Balance

#3 - Client Interaction

#3 - Informal Training

#3 - International Opportunities

#3 - Promotion Policies

#3 - Relationships with Managers

#3 - Satisfaction

#4 - Benefits

#4 - Business Outlook

#4 - Compensation

#4 - Firm Leadership

#4 - Philanthropy

#5 - Culture

#6 - Internal Mobility

#10 - Green Initiatives

#15 - Formal Training

Prestige

#3 - Prestige

Diversity

#8 - Diversity for Individuals with Disabilities

#12 - LGBT Diversity

#13 - Diversity for Minorities

#14 - Diversity

THE SCOOP

M&A beginnings, PE powerhouse

The Blackstone Group was founded as an M&A boutique in 1985 by Stephen A. Schwarzman andPeter G. Peterson, two former Lehman Brothers bankers. At Lehman, Schwarzman was the chairmanof mergers and acquisitions, and Peterson was chief executive of the firm. Despite the two's top-levelclout, Blackstone's early days were humble. When the firm first opened in New York City it had astartup-sized staff of four and a modest balance sheet of $400,000. However, the group of fourpersevered, and Blackstone completed its initial public offering in June 2007, raising $4 billiondollars. At the time, it was the largest U.S. IPO since 2002. Today, the firm has offices across theU.S., in New York, Atlanta, Boston, Chicago, Dallas, Houston, Los Angeles, San Francisco, andMenlo Park, Calif. It also has international outposts in cities such as London, Paris, Dublin,Dusseldorf, Istanbul, Mumbai, Dubai, Hong Kong, Beijing, Shanghai, Singapore, Sydney, Seoul andTokyo. The firm’s global headquarters remains in New York City, in prestigious offices onManhattan’s Park Avenue. As an investment and advisory firm, Blackstone says it maintains a smallfirm in order to give senior-level attention to investors and clients, and engages only in friendlytakeovers rather than in hostile bids. The firm mainly operates in alternative asset investing, such asprivate equity, real estate, credit, and hedge funds, but also has a small but strong financial advisoryand restructuring advisory business as well as a placement agent business. In addition, it investssignificant amounts of its own money into all of its investment products. The firm is a renownedmarket leader in private equity and real estate investing. Its hedge funds solutions business is thelargest player in hedge fund products, and it has one of the leading alternative credit businesses in theworld. Blackstone employs about 1,800 people and is still led by one of its co-founders StephenSchwarzman, who serves as Blackstone’s chairman and CEO.

SURVEY SAYS

Vault Verdict: Ranked No. 1 in the Vault Banking 50 and No. 3 in terms of prestige, TheBlackstone Group is one of the most highly respected financial employers in North America, if notthe world. It has formidable private equity and real estate businesses, one of the world’s largestcredit and hedge fund of funds platforms, a very strong restructuring practice, and a well-knownM&A advisory business. Although alternative investing might be the firm’s strong suit andBlackstone’s very well known in the PE industry, the firm has a significance investment bankingpresence on Wall Street and attracts high caliber candidates from the top schools in the country.As a result, the firm’s hiring process is extremely competitive and typically limited to a few top-

tier schools, including Harvard and Penn. Internships are offered by the firm and are said to beexcellent experiences where interns work on live deals and get exposure to senior dealmakers. Thefirm’s corporate culture has the feel of an early-stage company, with small deal teams and acohesive, collaborative workforce. The people within the Blackstone ranks are said to beincredibly intelligent, live and breathe finance, and are very willing to help each other out. Juniorbankers will get incredible learning experiences, working alongside seniors and receivingsignificant exposure to highly complex, interesting deals. Although insiders at Blackstone willwork long hours (partly due to the small deal teams, high level of responsibility, and strong dealflow), compensation is excellent, exceeding the Street average. Insiders say the firm focuses onphilanthropic initiatives but note the firm could do more in the area of green initiatives. As for itsbusiness outlook, it’s outstanding. The firm’s management team is said to be among the best andbrightest in finance, employee morale is high, and Blackstone’s business units are all at the top oftheir game and expanding.

Hiring Process

“Very rigorous interviews since we have a very technical program and expect a lot from our juniorteam members. Very professional interview process. We receive a ton of applications. Idealcandidate for our group (restructuring) is someone who is driven and has proven his or her capacityto work hard by having done well in college (SAT is not as important) and can field tough questionson the spot in the interviews. Candidates do not need to get 100 percent correct, but need to be able todemonstrate the ability to learn quickly if presented with something that they are unfamiliar with.Some technical background via previous job or internship is also ideal.”

“The process involves a lot of candidates, and the interview process is generally quick. The idealcandidates know technicals down pat, are extremely passionate about Blackstone and the activities ofthe group to which they’re applying (banking in this case), and will have a good rapport withinterviewers, as Blackstone’s groups are small and fit tends to be more important.”

“Looking for candidates who are smart, hardworking, and intellectually curious, with a strongknowledge of financial theory and its practical applications.”

“Top undergraduate and/or graduate programs; high grades; very communicative and personable; verysmart.”

Interview Questions

“Walk me through the DCF of a distressed company. What is the yield on a 10 percent bond trading at80 percent and maturing in five years? What are NOLs and how do you think about valuing them?Walk me through pension accounting/consolidation accounting (if accounting majors). Pros and consof bankruptcy? Tools a company has in bankruptcy? What can a company do to alleviate liquidityconcerns on an out-of-court basis? Opco with $x in EBITDA and $y in debt is owned by a HoldingCompany ("Holdco") with $z in debt. What do you think $z debt at Holdco is worth/what price wouldit trade at?”

“Hiring is extremely competitive. Interviews will be technical and fit-based, and candidates are

expected to know the basics of what analysts use every day (basic accounting, corporate finance, andvaluation methods: DCF, comps, LBO, and merger models).”

“Name as many reasons as you can as to why a piece of debt may be trading at a high yield-to-maturity.”

“Highly technical questions in regards to valuation, covering multiples, DCF, LBOs.”

Intern Experience

“The intern experience is fantastic. Interns are given high degrees of responsibility and have theopportunity to work closely with mid-level and senior bankers on live deals.”

“Incredible experience, great camaraderie, everyone who gets offers comes up for full time.”

“High degree of responsibility even as a summer analyst. Less training than compared to other banks,though.”

“Real experience on live deals was great, but that also meant a lot of responsibility and highexpectations.”

Career Development

“Blackstone has a wealth of talent throughout every level and group of the organization. The culture iscollaborative and supportive, and you learn from the best here. Due to the lean structure of the firm,professionals have many more opportunities to take on challenges earlier on in their career anddevelop. At the junior level, professionals develop much faster, and at the senior level, professionalsare open and work together to learn from each other’s best practices. The firm does not generallyprovide the lengthy formal training programs that other larger banks may provide, but most of this jobis learned on the job, and there is no better place to learn on the job than at Blackstone.”

“Extremely entrepreneurial firm. True meritocracy. Upward mobility only limited by yourcapabilities and performance. Strong mentorship from senior partners. People live and breath finance.If you are worried about quality of life or view finance as a job vs. a career, it’s probably not theplace for you.”

“Historically there has been little opportunity to move to other groups within the firm and lateralmovement was not encouraged; however, this is now a focus (e.g. the firm has hired a head of talentdevelopment) and the firm does more to encourage mobility across different groups.”

“I truly believe this is the best place to be as an entry-level finance professional. Huge breadth ofexperience across product and sector. Small deal teams allow for increased responsibility andmentoring among senior members. There really is not a promotion track at the analyst level inrestructuring (i.e. associates usually hired laterally for technical skill reasons) but the firm is veryfriendly and helpful if individuals want to move elsewhere in the firm.”

Quality of Life

“Although it’s cliché, face time is not important here. You work a lot, so you’re in the office a lot, butif you need to work from home we have the technology support and senior support to do so.Investment banking is a career and also a lifestyle, so we should be prepared to work a lot. This alsodepends on the group and senior management that you work for. I’ve been lucky, so my quality of lifeis great for investment banking, but maybe not so great compared to a 9 to 5 job.”

“I have manageable hours comparative to many of my colleagues while at the same time have beenable to have extensive client interaction. In fact, I have been a part of more meetings and clientdiscussions than most of my colleagues at other firms. My work/life balance is exceptional comparedto the normal balance associated with low-level banking opportunities, and I am exceptionallysatisfied with my position and my firm.”

“Mentorship is top-notch. Teams are small, and supervisors have a sense as to how busy teammembers are at any given time, thus hours are more humane. Culture is one of excellence andperfection, but colleagues are also extremely kind and considerate.”

“It is an intense job that can demand exhaustive hours, but if you’re working long hours you know whyyou’re doing it and why it’s important. Face time is not encouraged here, and no one is asked to worklate on meaningless tasks.”

Salary and Benefits

“Ability to invest in firm’s PE funds is a very nice perk.”

“Consistently paid above the highest tier of bulge-bracket banks. But not-so-flexible hours, littlevacation time, and formal dress code.”

“Great pay, and our group attempts not to tier analysts, but we’re probably not as strong on otherperks like food and 401(k) matching, etc.”

“No 401(k) matching. Matching is fairly standard for the industry and I was shocked that Blackstoneoffers none.”

Diversity, Philanthropy, and Green Initiatives

“We have few women in the group but have spent lots of time and effort in reaching out to youngwomen on campus for recruiting. Unfortunately we simply do not receive a lot of applications andcontinue to revisit our approach to recruiting. Firm puts a lot of emphasis on philanthropy, regularlyhosting firm-wide philanthropic events and sponsoring individuals’ philanthropic endeavors.”

“Great volunteer programs and community involvement. Not particularly concerned with recycling orbeing green.”

“Firm and its two founders are extremely involved in philanthropy (involved in too many programs toname).”

“The Blackstone Foundation makes significant efforts to support a culture of philanthropy across thefirm.”

Business Outlook

“Steve Schwarzman is highly regarded in finance, and our executive team/board is regularlyconsulted in high profile matters, including appointing the Presidential cabinet. As far asperformance, our restructuring group was ranked No. 1 this year in the league tables and won awardsfor performance from IFR. Other groups in the firm achieve similar accolades for being best inclass.”

“Employee morale is extremely high; people are generally happy here.”

“Top management on Wall Street; they’re actively expanding our business and positioning the firm forfuture success.”

“Very good at what we do; we’re among the top in all of our business lines.”

2. GOLDMAN SACHS & CO.

200 West Street

New York, NY 10282

Phone: (212) 902-0300

Fax: (212) 902-3000

www.goldmansachs.com

THE STATS



Stock Symbol: GS


CEO: Lloyd C. Blankfein


THE BUZZ

“Still the gold standard in I-banking; no one is close”

“Rep among juniors hurt by PE recruiting ban”

“Cream of the crop; these guys are on both sides of every deal”

“Their attitude just keeps getting worse; prestige is there, but dropping quickly due to arrogance”

UPPERS

“Working with highly motivated, smart, energetic people striving to think beyond status quo”

“Strong team-oriented culture”

“The prestige”

DOWNERS

“Insane working hours”

“High stress”

“Can be a bit bureaucratic due to high level of regulatory scrutiny”

RANKING RECAP


Best to Work For

#2 - Benefits


#3 - Philanthropy


#8 - Hiring Process





#11 - Compensation



#12 - Culture



#14 - Satisfaction


#15 - Hours

Prestige

#1 - Prestige

Diversity


#4 - Diversity


#4 - Diversity for Military Veterans

#4 - Diversity for Women

#4 - LGBT Diversity

THE SCOOP

Wall Street’s No. 1 dealmaker

Goldman Sachs provides a wide range of investment banking, securities, and investment managementservices to a substantial and diversified client base that includes corporations, financial institutions,governments, and high-net-worth individuals. Widely considered the most prestigious name ininvestment banking, Goldman is headquartered in New York, and maintains offices in London,Frankfurt, Tokyo, Hong Kong, and other major financial centers around the world. Founded in 1869,the venerable firm has many “firsts” to its credit. Goldman played a major role in establishing the IPOmarkets in the early 1900s and, five decades later, was the first firm to focus on the institutional salesmarket. Goldman was also the first investment bank to create a dedicated M&A group, negotiate atrade on the New York Stock Exchange, and use emerging computer technology to distribute itsresearch reports electronically. More recently, in the wake of the financial crisis of 2007 and 2008,the bank received some less than stellar press for some alleged dubious dealings. Even so, Goldmanis still the top dealmaker on Wall Street. The firm ranked No. 1 in U.S. announced M&A deal volume,EMEA (Europe, Middle East, and Africa) announced M&A deal volume, and worldwide announcedM&A deal volume for 2012. It also ranked No. 1 in global equity and equity-related offerings, globalcommon stock, and EMEA equity and equity-related offerings in 2012. Goldman Sachs is led byLloyd Blankfein, its chairman and CEO, and employs 32,000 people worldwide.

SURVEY SAYS

Vault Verdict: Ranked No. 1 in Vault’s Prestige Rankings and No. 2 in the Vault Banking 50,Goldman Sachs is considered to be the most prestigious investment bank on the planet. Eventhough its reputation has taken hits in recent years, Goldman remains the top bank in the world inthe eyes of its peers. It’s also hailed as the best bank on the Street by its own employees, who callthe firm a great place to launch a career. Of course, as such a prestigious firm, Goldman can bevery selective when it comes to hiring, meaning it hires top candidates from top schools. The resultis it’s very difficult to land a spot at Goldman, but if you do, you’ll get to work alongside some ofthe most talented, intelligent, hardworking people on Wall Street. The firm’s interview process isincredibly rigorous, and candidates will meet with many insiders in various rounds of interviews,in which questions range from background and fit type of questions to technical questions testinggeneral knowledge and ability. Internships are said to be excellent learning experiences as well asgreat networking opportunities, although you will work long hours as an intern. Once inside thefirm as a full-time employee, you’ll be treated to a very team-oriented culture where colleagues allwork together and help each other out. In addition, compensation and benefits are extremelygenerous, at or near the top of the Street, and the firm is a socially conscious one, doing a goodjob of hiring a diverse workforce and giving back to the community through various successfulphilanthropic initiatives. However, insiders do say that, depending on which unit you work for,work can take over your life. In other words, working hours can be grueling. Also, when you workfor such a prestigious organization and for such prestigious clients on high profile deals, thestress can be extremely high. Still, a job at Goldman is perhaps the most highly sought after oneon Wall Street. And currently, the firm is doing better than ever. Its senior leadership team isextremely strong, moving the firm in the right direction, and has the full confidence of its staff.

Hiring Process

“For undergraduate applicants, a first-round interview and then a Super Day is normal for mostrevenue divisions. The weight placed on the following attributes varies somewhat among divisions,but generally Goldman is looking for applicants with exceptional academic records at the mostcompetitive universities, an interest in finance demonstrated either through prior internships or on-campus activities, and participation and success in other areas of life. Considering the number ofapplications received for the most desirable roles, a very strong academic record is essential tosuccess in the recruiting process.”

“Our interview process is extremely rigorous. Typically, candidates will be phone screened, eitherformally or informally, by one or two people. Often they will then have another in-person interview.For summer analysts and new full-time hires, this may occur on-campus or at the office. The last stepin the process is usually a Super Day, where a candidate will come in with five to 10 othercandidates (could be more or less depending on the situation). They will then usually have about twohours of interviews. Candidates will almost always interview with two professionals at a time,generally someone relatively senior and someone more junior. They will get a series of questionsranging from background and fit type questions to very technical questions testing general knowledgeand ability.”

“The firm tends to be slow in its turnaround process with candidates. We have lost candidates tocompetitors because of our slow turnaround time. Also, the firm tends to have significantly moreinterviews for a lateral hire candidate than its competitors. Our ideal candidate has been successful intheir education (high GPA) and other pursuits (e.g. sports, music, leadership). They havedemonstrated a strong work ethic, excellent technical skills (accounting, finance, etc.), and a strongpassion for the equity and credit markets. A successful candidate will be proactive (takes initiative)and is intellectually curious.”

“I conducted many interviews across both of my teams in 2012, and so I can tell you that GoldmanSachs definitely does not have the appeal it had five to 10 years ago. Candidates are turning us downbecause 1) they don't feel they are being brought in at the right level—much of that is due to the factwe only have four levels—analyst, associate, VP and MD—and we rarely bring people in at VP; 2)they don't want to work in Jersey City; and 3) They can get more money by going and working at aprivate hedge fund (where long-term career objectives may not be met but short-term financialconsiderations can). There are also way too many internal approvals required now, with the focus oncost. As a result, we end up keeping candidates waiting for four to six weeks until approvals can bereceived. Five years ago the offer would be made within a week of the candidate having interviewed—a much better experience for the candidate and less stress for the team in getting a person on theground and working ASAP.”

Interview Questions

“Tell me about a time when you were on a team and the team experienced an unforeseen challenge.How did the team work through the challenge and what role did you play on the team? Assume youare in investor and you come across a family-owned business that is for sale; what would be the firstone or two things you would do or want to know in order to determine what you would pay for thebusiness? How would you think about valuing the business? Tell me about something you readrecently in the news that you think would have positive/negative implications for the U.S. or global

equity markets?”

“What's going on in the markets? What's the most important thing about working on a team? What aresome ways to mitigate counterparty risk? Tell us about a time where you made a mistake in either ajob or at school and how you managed through that mistake.”

“What drives your interest in the finance industry and why did you choose to apply to GoldmanSachs? Describe private wealth management and why you think you would be a good fit. How do youstay organized and manage multiple tasks at once? What is your biggest strength? What is the area youneed most significant development?”

“I want to sell you a hot dog stand; how much are you willing to pay for it?”

Intern Experience

“The internship was a great learning experience and gave me a well-rounded introduction to theindustry, analyst role, and the firm. The program was also very structured and provided everythingfrom training to networking, and from manager feedback to group projects. Overall, it was a greatprogram and great preview into what a full-time role would entail.”

“The best part was the opportunity to network with other interns and learn from senior leaders in thefirm. The worst part was the minimal assistance in relocating to New York for the summer. It wasvery stressful trying to find affordable housing with limited money to use as a deposit.”

“I found the first few weeks of my internship to be challenging given my lack of background infinance. And one of the best aspects of my internship is that I always found people to be very willingto take the time to teach me basic concepts as well as walk me through more challenging analyses. Ididn’t feel like I was being judged for my lack of previous financial knowledge, but rather I felt I wasevaluated based on the quality of the work I produced and by how much I was able to learn during thesummer.”

“Great opportunity to work on numerous large M&A deals. Intense experience with very long hours.”

Career Development

“The firm actively manages people’s careers, conducting Talent in the Pipeline reviews once ortwice a year depending on the division. Often, new opportunities, mentor relationships, orassignments come out of those discussions. The firm also has a fair promotion process, particularly atthe more junior levels. The firm could do a better job with cross-divisional mobility. It’s very easy tomove within a division, but not easy to change divisions for a new role.”

“Best parts: The amount of responsibility placed on younger folks is tremendous and atypical relativeto the rest of the Street, which is very important in terms of getting a start in one’s development. Andthe atmosphere of networking and having the ability to entertain roles in other areas of the firm (afterhaving worked at the firm for a few years) is also useful in terms of career development. Worst part:One downside on the S&T side is the possibility of becoming too pigeonholed in a role (depending

on the characteristics of that role) and not acquiring enough more broadly applicable and transferableskills.”

“Goldman makes it extremely easy to move within the firm. In fact, I have worked at a competitor andGoldman’s support and encouragement for people to try new things has been like night and daycompared to my previous employer. Goldman’s encouragement of formal and informal mentoringtruly trickles down to all areas of the firm, and I feel that I have made significant and strongconnections with senior people here, even in my first year at the firm. Goldman has extensive trainingopportunities that not only strengthen your understanding of your own business, but also help youunderstand the role of the firm and the function of other areas that you may have less contact with. Oneof the things I respect most about the firm is the openness and culture of support and acceptance. Theonly thing that matters here is the quality of the work that you do and your attitude towards gettingthings done. I have been beyond impressed with the meritocratic culture and commitment toexcellence that has been fostered by the senior people in the firm. Finally, one of the things that trulystands out about the firm is the constant striving for excellence and perfection that everyone fromthose at the top to people in less prestigious roles seem to seek. The internal systems and controls aremeticulous and people are always striving to do better. But as with any competitive environment,working at Goldman can be very stressful. At times it can feel like you are simply not cut out for therigor and demands of the job. However, I have found that over time there are ways to communicatefeeling overwhelmed, and people are very willing to try and alleviate some of the pressure whensomeone is truly overburdened. The downside is that this rarely happens without you (the person whois feeling overwhelmed) taking the initiative to get some relief. The pressure that being around somany type-A personalities and perfectionists can feel daunting, especially when you feel as thoughyou are at a breaking point both physically and mentally, and then there is someone next to youworking even harder and seemingly unfazed. What I have gotten used to while working here is thatsometimes I am working harder than any given person and sometimes they are working harder thanme. The key is to do as best as you can at all times and constantly keep others informed of your needsand other demands to manage expectations. Another con might be the firm’s emphasis on networking.It has struck me since coming here that everyone seeks out a mentor or someone to fight for them ifthere comes a time when they are seeking a promotion or in times where headcount is being reduced.The constant need to understand who is on your side and who will go to bat for you can be distractingand is a less productive aspect of the job that most people feel the need to perform.”

“It may take a fair amount of effort to transfer to other areas within the firm, but I found senior peopleat the firm to be extremely supportive and helpful when I moved internally to a completely differentdivision. There are a number of formal opportunities for training (entry-level training, Goldman SachsUniversity courses that can be taken online or in person, etc.) and these are very good. But the mostuseful training I’ve received has been informal training. Though, in most cases, you’ll have to activelypursue informal training opportunities to get the full benefit.”

Quality of Life

“To a certain extent, we have the ability to manage our own schedule to accommodate our work/lifebalance and still meet our deadlines. We have the ability to log in remotely when needed; we haveaccess to the building at any time with badge swipe; we can come in early and stay late as needed in

order to get our work done; we can take time off for appointments, etc. Given that our line of workcan be unpredictable, deadlines can sometimes change or special requests can come up they must beaddressed. So this requires extended working hours during certain times of the year, and sometimesrequires being on call or available all the time via Blackberry or remote log-in.”

“I think that the firm strives to provide the opportunity for a good work/life balance, but I find that youhave to be with the firm for a while in order to achieve the right balance. It is tough to be off of thedesk in my role, and there are not a lot of people who are able to cover, so it makes it tough to stepout during the day for an appointment. We eat our meals at our desk every day so there is not really 30minutes that you have to yourself to make calls or do anything personal. However, I do think we makea choice with our careers, and for those of us who are fortunate enough to be working here weunderstand that work will be demanding.”

“In general, team members remain cognizant of important family obligations and social engagements,and provide an excellent support system to the extent one is ill or experiencing medical problems.The firm offers programs and instruction to help optimize one's work/life balance, including classeson stress relief, resiliency, and wellness. Still, work hours are both long and demanding. While thefirm provides an excellent support system to improve resiliency, the duration and intensity of the jobcan sometimes render it difficult to achieve an appropriate work/life balance.”

“Best quality of coworkers you will find anywhere. Everyone here is an A player. For the most part,B players don’t last long or choose to leave. The atmosphere, sense of camaraderie, and energy areexcellent. However, it is also a very specific culture where mavericks are generally not tolerated, sothe work force is self-selecting over time. Everyone works incredibly hard and is available 24/7,making it very difficult to maintain a good work/life balance.”

Salary and Benefits

“Compensation is fantastic by most standards. However, there are a few things that put a damper oncompensation. Compensation can often seem inadequate compared to the work environment andoutput required to work at Goldman. This seems ridiculous to say, considering the high salaries, butthis is a classic case of diminishing returns. Due to the amount of work output requested, salary doesnot seem as good. This is especially visible in down years where half the team seems to stopworking, which can be of severe detriment to morale and productivity. Second, a large portion ofcompensation is paid as a bonus, which has higher tax demands. In practice, the effectivecompensation feels greatly reduced due to higher taxes when the bonuses are paid out and the lumpsum given out at once. The best perks are definitely the wellness perks, which include great healthcare benefits, on-site physical therapy, and a fully equipped gym. All the staff are fantastic, and theaffiliation with top-tier hospitals for physical therapy and on-site exams is excellent.”

“Goldman has some of the best benefits. My son has special needs, and the firm has been great abouthelping us get the right care and medical coverage has been great. One of the best services is howwellness helps you get the best specialist. They do all of the research for you and give you namesready to go. The back-up care facility is fantastic. I trust these people with my kid’s life—literally,since he has special, physical needs. In a crisis, the firm is there for you like family.”

“The firm definitely has a strong compensation package, and compared to other competitors it seemsto be consistently standing out as one of the best on the Street. The firm emphasizes paying fairly, andthey take compensation decisions very seriously. It seems that they aim for people to be satisfiedwithout being over paid. I have only been through one compensation cycle here, but I would say I feltthe process was done as fairly and thoughtfully as possible. Some of the perks that you come to expectinclude free dinner after a certain time, rides home in a black car, access to the state-of-the-art gym,good travel perks, corporate discounts (museums, etc.), and a decent amount of paid time off. Some ofthe worst things are that you don’t always get to take paid time off. Gym membership is not included,and I don’t feel like the RX drug coverage is anything to write home about, especially compared togovernment employees, who seem to pay very low co-pays on medication.”

“Personally I’m very happy with my bonus and overall compensation. I do wish salary was higher,but I understand this is due to challenging economic times. On-site services such as the gym, healthcenter, physical therapy, etc., are excellent. But there isn’t much in terms of non-monetary benefits(like free meals, free drinks, etc.). I also wish more junior employees/less tenured employees at thefirm would receive more vacation days.”


“Goldman is a leader in the corporate world in terms of diversity recruiting efforts, emphasis onphilanthropy, and even efforts to be environmentally friendly. Our building is LEED certified, if that’sany indication, and there is an emphasis on reducing energy usage and recycling. I have absolutelynothing to say that is bad about the firm’s efforts to be accepting and supportive of diversity. I amconsistently proud to work here because of the example that the firm sets, and the fact that it isn’tafraid to do so on a national stage. For instance, I am a huge supporter of the outspoken stance thefirm has taken in regards to marriage equality. The fact that our CEO was the first among the majorcompanies to act as a spokesperson for the Human Rights Campaign speaks volumes about the firm’scommitment to recruiting the best and brightest and making the workplace as accepting andcomfortable for people of all walks of life.”

“Goldman is an extremely diverse and socially conscious firm. The work environment is respectful,and I like the people that work with me. They care about their impact and how we conduct ourbusiness as a firm. The firm brands a few of its initiatives like 10,000 Women and 10,000 SmallBusinesses. Most of the green and philanthropic practices are not advertised, though. Most of my co-workers volunteer or donate considerable time and money to charitable causes.”

“The firm has awesome philanthropic programs, including 10,000 Women and 10,000 SmallBusinesses. In addition to funding these programs, Goldman tries to get employees involved withthese programs (e.g. by being mentors to women in business school as part of the 10,000 Womenprogram). Employees get a paid day off work to be a part of community service initiatives throughCommunity TeamWorks, and charitable gifts by employees get matched one-for-one by the firm up toa certain amount. The New York office is LEED-certified, and I love that we have composting.”

“The most giving people work here—both with their time and money. But we need more top women,and we need to make green initiatives more prominent and more highly incentivized.”

Business Outlook

“Unlike at any place else I have ever worked, the people at Goldman stand behind the firm’sleadership and maintain a positive outlook on the firm’s business prospects. Every person who workshere, it seems, believes that the firm is the best in the industry, and is the best partner and advisor forour clients. While our competition seems to be distracted and has not fared as well in the wake of thefinancial crisis, Goldman’s senior leadership seems more positive than ever about the firm’sprospects and ability to take advantage of the recovery and further increase our global footprint andstatus as a powerhouse in the financial industry. There is not another large bank that I would considerworking for; having worked at Goldman this past year, I believe it is clear that things here are justdone better than they are elsewhere, and the general morale and feeling about the firm’s capabilitiesis overwhelmingly positive.”

“Management is always thinking two moves ahead when it comes to changing market infrastructure,ability to outperform in all kinds of markets, and client perception. However, a lot of people at theassociate level are leaving the division, and lots of external hiring can weaken culture.”

“Overall outlook is susceptible to macroeconomic factors, but I believe the firm is well-positionedrelative to its competitors due to the high quality of its employee base. Having worked at otherinvestment banks, I am honestly impressed with the caliber, thoughtfulness, and diligence of the teamsI have worked with at Goldman.”

“The fate of our firm is tied to the overall strength of the world economy, which in challenging timesmeans that business performance is fickle. However, I am very confident that our leaders are thinkingabout how to make sure we are best positioned to over-perform when market conditions arefavorable.”

3. J.P. MORGAN INVESTMENT BANK

270 Park Avenue

New York, NY 10017

Phone: (212) 270-6000

Fax: (212) 270-1648

www.jpmorgan.com

THE STATS


CEO, JPMorgan Chase: James Dimon


THE BUZZ

“Continues to be a leader among the bulge brackets”

“That trading loss hurt their reputation”

“Well respected; draws great junior talent”

“Diluted by retail banking and ATMs”

UPPERS

“Social, team-oriented culture”

“Good deal experience and lots of client exposure”

“Strong exit opportunities”

DOWNERS

“Bureaucracy”

“The work/life balance leaves much to be desired”

“Trying to maintain the No. 1 spot is sometimes less fun than being the underdog bank”

RANKING RECAP


Best to Work For





#5 - Hiring Process



#6 - Philanthropy


#7 - Hours




#9 - Culture

#10 - Satisfaction

#11 - Benefits


#13 - Compensation

Prestige

#2 - Prestige

Diversity


#3 - Diversity

#3 - LGBT Diversity




THE SCOOP

The House of Dimon

J.P. Morgan offers a host of investment banking services, including M&A, corporate finance, capitalmarkets, sales and trading, research, prime brokerage, and risk management. The investment bank ispart of New York-based JPMorgan Chase & Co., a financial services firm with trillions of dollars inassets and more than 240,000 employees. JPMorgan Chase provides investment banking, financialservices, small business and commercial banking, financial transaction processing, asset management,and private equity services to clients across the globe. J.P. Morgan’s storied history, which includesseveral mergers, extends back to 1799, when the New York State Legislature chartered TheManhattan Company to supply "pure and wholesome" water to the citizens of New York City. J.P.Morgan also has European roots. When J. Pierpont Morgan established J.P. Morgan & Co. in NewYork in 1871, the bank initially served as a New York sales and distribution office for his father’sfirm, J.S. Morgan & Co., an underwriter of European securities. In 2000, the Chase Manhattan Bankmerged with J.P. Morgan & Co., and in 2004, Bank One and JPMorgan Chase joined forces, with theCEO of Bank One, Jamie Dimon, taking over the combined firm’s reins. More recently, in 2008,JPMorgan Chase famously picked up its ailing competitor Bear Stearns. Although J.P. Morganweathered the financial crisis better than most of its peers and has $2.3 trillion in assets, a 2012trading loss in excess of an estimated $5 billion tarnished the firm’s relatively clean record as of late.Today, J.P. Morgan's investment bank is headquartered in New York, and has international offices inLondon, Tokyo, Hong Kong, Singapore, Sao Paolo, and Mumbai. Some of the world's biggest firmsare clients of J.P. Morgan.

SURVEY SAYS

Vault Verdict: Ranked No. 2 in Vault’s Prestige Rankings and No. 3 in the Vault Banking 50, J.P.Morgan is one of the top investment banking firms to work for in the world. J.P. Morgan runs anefficient interview process in which candidates are interviewed by both junior and seniorprofessionals. Among junior candidates, the firm looks for leadership ability, intelligence,motivation, and the desire to specifically work for J.P. Morgan. Interns at the firm are given agreat amount of live deal experience and the ability to network and learn about all areas of theinvestment bank. From day one, interns are given the same amount of responsibility as full-timeemployees; they will also, depending on department log just as many hours as full-time employees.With respect to its full-time employees, the firm is very focused on developing junior talent, andprovides numerous career development opportunities, including the ability to move between

departments and locations, as well as top-notch training. Indeed, the firm is focused on promotingfrom within (but also provides great exit opportunities). The culture is said to be extremelyteamwork-oriented and social. Work/life balance can be achieved, but it can also be very difficultto achieve within certain groups, and vacation time is not always easy to take. Salary and bonusesare very competitive with the industry, and perks and benefits also receive good marks frominsiders. Diversity is another strong suit of the firm, and the firm’s business outlook remains verybright. The firm seems to have put last year’s London Whale controversy behind it. Employeemorale is high. Employees have a lot of confidence in J.P. Morgan’s leadership (especially CEOJamie Dimon). And the firm continues to rank at the top or near the top in all of the importantinvestment banking league tables.

Hiring Process

“J.P. Morgan generally looks for associates who have strong long-term potential (as opposed tosomeone who will make a great first-year associate). In other words, attractive candidates bring acombination of analytical skills, communication skills, and confidence. They demonstrate an ability towork well with others and have significant managerial experience. Attractive candidates demonstratestrong judgment/maturity and are expected to play a significant role in deal teams from day one.”

“J.P. Morgan is very good at getting back to candidates on a timely basis. We seek individuals whowork well on teams, are hard working, have an ability to work on multiple projects at once, payattention to detail, are smart, and have a positive attitude.”

“For on-campus recruiting at my school, the firm stood out by offering Super Days in their NYCoffices that included desk visits and various informational presentations.”

“The firm prides itself on its extensive training program, so the ideal candidate is someone who hasshown that they are able to learn quickly, inject themselves into situations effectively, and ask thecorrect questions.”

Interview Questions

“Why Finance? Why Investment Banking? Walk me through a DCF. How do you calculate aspectsinvolved in the DCF (e.g., WACC)? What are some multiples that firms trade on? Why would onemultiple be better than the other?”

“Interview questions tend to be 75 percent fit questions and 25 percent technical. It depends on yourinterviewer, but many interviews start with an overview of the candidate’s resume—questions aroundextracurricular involvement, leadership, diversity and ability to work on a team. Technical questionstend to be centered around financial statements and valuation.”

“Pitch me a stock. Why do you want to work at J.P. Morgan? Where do you see yourself in 5 years?10 years?”

“Individual interviewers have a lot of flexibility in the types of questions they ask, so some are moretechnical and some are more personality fit depending on the interviewer. I think this leads to less

cookie cutter questions that interviewees have prepped for, and more toward an interactive dialoguewith candidates.”

Intern Experience

“Great deal experience. Great care put into making sure I became a productive deal team member asquickly as possible. Fantastic firm support throughout my internship. Excellent training program.”

“Best parts were the high level of responsibility, quality of work from the start, and excellentnetworking opportunities. Worst part was the program was not rotational.”

“Best parts: realistic experience, many social events to meet other interns, good training. Worst part:tough hours.”

“Best part was getting client exposure at a very young age. Worst part was the amount of ‘grunt work’that I had to do.”

Career Development

“I honestly believe the opportunities that J.P. Morgan offers in terms of both training and mobility(group, line of business, and geographic) are second to none. In addition to the extensive new hiretraining for both summer interns and full-time analysts and associates, the firm offers an extensive IBUniversity curriculum with mandatory training requirements. Each group also offers group-specifictraining, and there are numerous other training resources that many firms can’t match. Lastly, fewfirms can compete with the lead managed deal volume that J.P. Morgan offers—that’s where youreally learn how to be a banker. In terms of mobility, both geographic and LOB mobility have becomean integral part of the firm’s culture that is highly visible at the senior levels, but is extremelycommon and pervasive at the junior levels. It’s hard to imagine someone new to the firm not having aninternational experience should they want one. Unlike most firms, J.P. Morgan is very focused ondeveloping its junior bankers into well-rounded senior bankers.”

“I’ve decided to move within J.P. Morgan, and was able to do so. I’ve been very open with mysuperiors about what I think I want out of my career, and they have been extremely helpful withproviding names of people to contact to explore various areas as well as connections to specificinterviews aligned with my career goals.”

“J.P. Morgan has made it possible for me to rise from summer analyst all the way to managingdirector, and now it is my responsibility to help new junior bankers to have a similar careerdevelopment path. Having been part of MD discussions, I don’t believe anybody will be promoted toMD at JPM without having demonstrated a real commitment to junior banker career development.”

“Promotions are based on merit; if analysts perform well, they will be promoted. If there is not anopen associate spot in their current group, the firm will find a place for them somewhere else, butthere is a big focus on not losing talented individuals. Mobility is a huge focus, with many formal andinformal ways to pursue it.”

Quality of Life

“While coverage and product groups vary to a degree, the firm generally places very little value onface time and invests highly in resources/technology that allow for working remotely. There is also ahigh level of importance placed on important personal events (weddings, children, vacations), andJ.P. Morgan’s resource managers spend a great amount of time trying to ensure personal commitmentsare respected and that project teams receive an additional resource to address any issues. Resourcemanagers are also evaluated on their ability to understand the scope of a project and minimize Fridaystaffings to the extent possible in order to allow junior resources to plan their weekends with agreater sense of confidence.”

“Too many hours, too much volatility, but is it the industry not the firm. My group does as much aspossible to keep us sane: work from home, lots of communication, treats us well, respectful commentsat all time.”

“The staffers are highly aware of the workload and ensure that if you have had weeks where youhave worked very long hours, there is a noticeable effort to reduce the workload to prevent burnout.The teams are also incredibly respectful of vacation and work as hard as possible to prevent work onholidays.”

“Long hours are the nature of the job, but remote capabilities have improved work/life balanceimmensely. Instead of having to come into the office on a weekend, it is frequently the case that I canwork from the comfort of my own home. While hours can sometimes be erratic, and planning can bechallenging at times, this is what I signed up for. Despite sometimes challenging hours, the work putin is very fulfilling.”

Salary and Benefits

“Salary and bonus are commensurate with the Street and a function of the market. I’ve never felt asthough I was paid less than what the Street was receiving. While hours are long, remote connectallows for flexible hours, particularly on the weekends. Vacation time can sometimes be challengingto take, but my experience has been that if you take it at certain seasonally slow times, you are able touse it more than what the public perception out there really is.”

“Best: Salary and bonus are competitive with the Street. Worst: Gym and other personal benefits arelimited.”

“Downward pressure on compensation has been the trend across the sector, and J.P. Morgan is notimmune. But overall package is compelling and highly competitive.”

“We pay on par with the Street. But, consistent with our teamwork culture, we do not have significantoutliers in terms of pay (at least in my area). A star performer only gets somewhat more than a goodperformer.”


“Tremendous focus on diversity in all its forms. This is one of the best parts about the firm.”

“J.P. Morgan has a strong focus on diversity. They host special programs to attract women,minorities, and gay individuals. In addition to special conferences, there are webcast seminars forrecruiting and special groups within J.P. Morgan that receive funding to host events and foster awelcoming and supportive environment.”

“Strong commitment to military veterans. We’ve also made some real progress on attracting moresenior women, although we can still improve in this category.”

“The firm converted 270 Park to a green building. Also, there are some good programs to link upemployees with volunteer opportunities in their communities.”

Business Outlook

“Financial services is becoming increasingly regulated. It’s starting to feel like the utility sector. Butwe have the best leader in the sector in Jamie Dimon and that gives the employees great confidence.”

“It’s true, we really do have a lot of confidence in Jamie Dimon. The guy is a rock star.”

“There is high employee morale, and J.P. Morgan is consistently on the largest deals currently beingdone. Strong in all groups, J.P. Morgan is able to leverage relationships across industries to continueto win deals that provide an incredible learning experience for analysts.”

“I see no indications of business slowing, outside of global trends. We’re either competitive or havean edge in every deal I've been a part of. Employee morale is relatively high. I haven’t heard anycomplaints.”

4. HOULIHAN LOKEY

10250 Constellation Blvd. 5th Floor

Los Angeles, CA 90067

Phone: (310) 553-8871

Fax: (310) 553-2173

www.hl.com

THE STATS

Employer Type: PRIVATE


CEO: Scott Beiser

2013 Employees: 900

THE BUZZ

“Middle-market powerhouse”

“They do a lot of fairness opinions”

“Strong restructuring group”

“Not that prestigious, but a very good, solid firm”

UPPERS

“Fantastic colleagues”

“Collegial atmosphere”

“Great deal experience”

DOWNERS

“Sometimes the hours can be long or unpredictable”

“Lack of recognition for certain groups”

“Not as many perks”

RANKING RECAP


Best to Work For

#1 - Benefits


#1 - Culture


#1 - Hours




#1 - Philanthropy



#1 - Satisfaction



#2 - Compensation



#2 - Hiring Process

Prestige

#20 - Prestige

Diversity

#1 - Diversity




#1 - LGBT Diversity


THE SCOOP

One of Wall Street’s top dealmakers

Founded in 1972, the 41-year-old investment bank Houlihan Lokey employs approximately 900people worldwide as of July 2013. Although it’s best known as a middle-market advisor and

restructuring house, Houlihan Lokey also serves large public corporations and small privatecompanies. Its financial restructuring division has risen to prominence in recent years—HoulihanLokey’s teams have worked on some of the world's biggest bankruptcy proceedings, including thoseof CIT Group, Lehman Brothers, WorldCom, General Motors, Enron, and Conseco. For 2012, thefirm ranked No. 1 in announced U.S. M&A deal volume for deals under $3 billion, and for the pastseven years it has ranked No. 1 in U.S. M&A deal volume for deals under $1 billion. In addition, formore than a decade the firm has ranked as the No. 1 provider of fairness opinions worldwide. And in2010 and 2011, its restructuring business ranked as both the top global restructuring advisor and thetop U.S. restructuring advisor. Led by CEO Scott Beiser, the privately-held Houlihan Lokey operatesthrough three main service lines: corporate finance (comprising mergers and acquisitions, capitalmarkets, and secondary advisory), financial restructuring, and financial advisory services. The firm isheadquartered in Los Angeles, and has additional U.S. offices in New York, Chicago, San Francisco,Dallas, Atlanta, Minneapolis, Newport Beach, Miami, and Washington, D.C. Its overseas offices arelocated in London, Paris, Frankfurt, Hong Kong, Tokyo, and Beijing. Through its investment in India-based Avista Advisory, the firm also serves clients in Singapore and Mumbai.

SURVEY SAYS

Vault Verdict: Ranked No. 4 in the Vault Banking 50, Houlihan Lokey has one of, if not the mostcongenial workplaces of any investment bank in North America. In fact, in Vault’s Quality of LifeRankings, the firm ranks No. 1 in numerous categories, including informal training, promotionpolicies, international opportunities, internal mobility, firm culture, overall satisfaction,supervisor relationships, client interaction, work hours, work/life balance, benefits, greeninitiatives, and overall diversity, among others. As for the ideal Houlihan Lokey candidate, thefirm is looking for intelligent, driven, outgoing team players who are willing to learn. The firm’sinternship program is said to be a great experience where interns will work alongside junior andsenior bankers on live transactions. Both interns and full-time employees are treated to a uniqueculture, which is highly collaborative and team-oriented. The firm focuses on developing its youngfull-time employees, offering them excellent mentoring and training programs, as well as theability to work within different departments and groups. Although hours can be unpredictable andlong, depending on the group, there’s no face time at Houlihan Lokey, and compensation isincredibly generous, with top performers getting paid higher than the Street average. The firm’sstaff is becoming more diverse, while its philanthropic initiatives receive very high ratings frominsiders. As for the firm’s business outlook, all of Houlihan Lokey’s business lines are performingwell and growing, and insiders are fully confident in the firm’s leadership. As a result, employeemorale is strong.

Hiring Process

“We look for the smartest and hardest working people we can find. We prefer to avoid cookie cuttercandidates and instead like to focus on those with diverse backgrounds, great internship experiences,and strong analytical and interpersonal skills. Knowledge of finance and accounting isn’t crucial, buta basic understanding of both will definitely assist in the hiring decision.”

“It’s typically a first-round interview on campus, with a Super Day in New York about a week later.

The New York interviews are typically four interviews of a half hour each, generally with a mix ofassociates and senior guys making up the interviewers. Generally, the interview is heavy on technicalquestions, with a focus on restructuring/distressed questions (for my group). You need to showinterest by having a good understanding of basic finance (valuation, accounting, etc.). Someinterviewers use case study or brainteaser type questions, but it really depends on each specificinterviewers’ style. When going through the six interviews, a recruit will probably see some ofeverything (fit, technical, case study, brainteaser, etc.). There is definitely a fit element to most of ourinterviews as well, and as a smaller firm with a significant focus on development of analysts andassociates for long-term careers, fit is very important in our hiring decisions.”

“We’re looking for intelligent, hungry candidates with a desire to learn who legitimately seem excitedto work in their respective group and have a passion for what they are going to do, and also areoutgoing and like to have fun and can be friends with the rest of the group to make it a better workenvironment for everyone.”

“There are typically two rounds of interviews: one on campus and one in the office or offices that youare interested in. At Houlihan Lokey, you are allowed to interview with multiple groups or locations,and the process is all extremely coordinated. Great process and very quick.”

Interview Questions

“Brainteasers, technical questions, fit questions. Tough interviews in general but we are alwaysrespectful of candidates and make them feel comfortable to try and get the best out of them.”

“Why do you want to be at Houlihan Lokey? What is your biggest weakness? Sort of classic fitquestions.”

“We try not to use standard technical questions so that people really have to think through thequestions. Also, we ask fit questions, as we really want people to be happy here and want to behere.”

“It really depends on the person. We try to not ask the same questions so a morning campus candidatecan’t fill in an afternoon candidate. We do make sure, though, to thoroughly examinetechnical/analytical abilities as well as fit for a group and the firm. We have taken very technicalpeople who are well rounded as well as sensational non-technical people that we think can grow intothe role. That being said, in New York, we take a lot of UVA and Wharton people.”

Intern Experience

“It was a great experience and without question I wanted to come back. Best parts were theexperience, full-time people, and my intern class. You go to New York for training, which was greatbecause you really get to bond with others and create a fun support system.”

“Great experience with hardworking, dedicated people. The most satisfying aspect of my internshipexperience was getting the opportunity to work on some really interesting assignments and deals. Itfelt great to know that I was able to contribute to the firm while learning so much.”

“I had no investment banking experience so it was an amazing learning experience. Our summer classwas great, and recruiting did a fabulous job organizing our internship program. Couldn’t have beenbetter.”

“Best aspects include the direct relationship I had with all team members, from analysts to managingdirectors; exposure and real deal team experience I gained; and overall culture and friendliness ofeveryone in the organization. There really was nothing bad or negative about my internshipexperience.”

Career Development

“The firm goes out of its way to mentor, train, promote, and retain talented professionals, and offersmobility within different departments and groups. Many of the firm’s most senior professionals havebeen promoted up through the ranks from analyst and associate. In addition, the firm provides itsjunior professionals with a significant amount of responsibility from day one, which yields long-termsuccess, in my opinion.”

“Training really gets you up and running in a short time and helps you bond with everyone. Our groupis really close, and we are great colleagues and friends, which is great from a development point ofview because people really care. You need to create quality work, though, and if your work isconsistently bad, this isn’t a good thing for your career. I should add that, in our group, analysts getpromoted to associates, who get promoted to VPs, which is a great motivator.”

“Houlihan Lokey really tries to develop talent from within, more so than other firms I have seen. Thesenior people make an investment in developing skills for a long-term career, even at the analystlevel. Mobility from office to office is also pretty easy. Over the years, we have had many peoplecome to the New York office from abroad, and go abroad from the New York office, either for alimited amount of time or indefinitely.”

“Best part is the mentoring by far. It’s a sensational program.”

Quality of Life

“The firm strives to ensure all employees’ quality of life is respected. We have a very collegialatmosphere, which leads to a great work/life balance both in and out of work. Senior members of thedeal team have great respect for junior members’ lives outside of work and understand that a happyemployee is a productive employee. Relaxed dress codes, office social events, and daily grouplunches all provide significant non-monetary consideration that many other banks are simply unable toreplicate.”

“While it is still a job in investment banking and requires long hours, at times, to provide the requisitework product to properly advise clients, the overall working environment is terrific. There is reallyno face time, and work is not created merely because someone appears to not be very busy. Theattitude is very straightforward; if there is a lot of work to be done, you do it, if there isn’t work to bedone, there is no reason to stay at work until late into the evening.”

“True partnership culture, combining some of the best elements of an entrepreneurial/start-up workenvironment with the hard work, dedication, and team effort of a traditional investment bankingenvironment. Make no mistake, you will work hard, but you will enjoy it and derive a great deal moresatisfaction than one would at a bulge-bracket firm.”

“I personally feel this is the best investment bank to work for if you are a woman with a child orchildren. I am able to spend quality time with my family and still be very successful and impactful. Ifeel very fortunate to work at Houlihan Lokey.”

Salary and Benefits

“Bonus payments are largely in cash. There is little bonus deferred, no claw backs, and overallcompensation is equal to or higher than what the rest of the large financial institutions pay.”

“Salary is standard. Bonuses are above the Street. Other good things include good hours, goodculture, and good vacation time.”

“Top performers are paid at or above Street level.”

“Houlihan Lokey (in restructuring at least) pays on par with the Street, although it was paying muchhigher back in the heydays of the restructuring cycle in 2009 and 2010. Compensation is generallyvery satisfactory and in line with other banks. There is a small bonus deferral for six months, butanalysts get the full amount if they leave for another opportunity on good terms with the firm.”


“The firm makes a conscious effort to recruit and retain the best and brightest regardless ofbackground. We were one of the first banks on Wall Street to eliminate plastic water bottles, and wehave implemented several other green initiatives in offices around the globe. The firm contributessignificant resources (both sweat equity and financial gifts) to charities around the world. In addition,the firm strongly encourages philanthropic activity outside of work as well including the use of acharitable matching program.”

“We are very focused on green and philanthropy and doing our very best with diversity. Chicago hasimproved in regards to women in the financial staff—and they are getting more senior.”

“Recruiting efforts to bring in a diverse group are generally very good. We try to bring in folks frommany diverse backgrounds. We have had seminars for female recruits and also have had informationalsessions for military veterans. We have philanthropy programs to take Fridays off for charitypurposes and other things of that sort.”

“The firm regularly organizes philanthropic events. In addition, senior level professionalsindependently organize events.”

Business Outlook

“Because of our unique combination of product lines, we are appropriately hedged to thrive in both

good and bad economic times. Our corporate finance group does well in strong economic markets,while our restructuring practice flourishes in periods of economic distress. The FAS and capitalmarkets groups continue to grow and find opportunity in virtually any economic environment.”

“The business outlook is good. Houlihan Lokey is growing both organically and through selectedacquisitions of certain practices. As a small- to mid-sized firm, we have new areas to exploregeographically and with new practice areas. Retention of employees is evidence of the employeemorale, which is very good and goes hand-in-hand with the work/life balance and culture here.”

“I am fully confident that our board and CEO will lead us well in the next few years. Strengths arewe’re a private company, which means our officers are the shareholders of the firm. People are happyto show up to work every day”

“We are super excited about our business. Secondary advisory is doing great. Outstanding leadership.Expanding practice.”

5. EVERCORE PARTNERS

55 East 52nd Street

New York, NY 10055

Phone: (212) 857-3100

Fax: (212) 857-3101

www.evercore.com

THE STATS


Stock Symbol: EVR


Chairman: Roger C. Altman

2013 Employees: 970

THE BUZZ

“Rolls Royce of I-banking—only doing huge, super high-impact deals”

“Hardworking, savvy, smart analysts”

“High-end boutique”

“A mini bulge bracket”

UPPERS

“Great deal flow and deal experience”

“Highly prestigious”

“Strong exit opportunities”

DOWNERS

“Not much work/life balance”

“Slightly fewer resources than bulge brackets”

“Few perks”

RANKING RECAP


Best to Work For


#4 - Hiring Process

#5 - Compensation






#7 - Culture

#8 - Satisfaction


#13 - Hours




#15 - Philanthropy

Prestige

#8 - Prestige

Diversity




#8 - Diversity



THE SCOOP

Leading boutique

Founded in 1996 by Blackstone and U.S. Treasury veteran Roger Altman, investment bankingboutique Evercore Partners went public in August 2006 with an $82.9 million initial public offering.Its public debut was astonishing: Evercore’s revenues increased 47 percent in 2006 while net incomerose 80 percent. Since, the firm has grown into an elite investment bank and investment managementfirm, employing over 950 people. In the U.S., Evercore operates from offices in New York, LosAngeles, San Francisco, Boston, Houston, Minneapolis, the District of Columbia, and Waltham,Mass. Internationally, it has offices in Hong Kong; London and Aberdeen, U.K.; Toronto, Canada; andMexico City and Monterrey, Mexico. It also has alliances in Japan, China, Brazil, India, and SouthKorea. In 2011, Evercore acquired the European advisory firm Lexicon Partners, adding about 100employees, including 65 bankers. Today, the firm’s investment banking business includes corporateadvisory (mergers and acquisitions, restructuring advisory, and capital raising), serving both publicand private companies, with an emphasis on large multinational corporations. Recent M&A dealsinclude Dell’s $18.2 billion sale to Michael Dell and Silver Lake Partners, Ally Financial’s $4billion sale of its Canadian operations to Royal Bank of Canada, Southern Union’s $9 billion mergerwith Energy Transfer, Exelon’s $11 billion merger with Constellation Energy, AT&T’s $39 billionacquisition of T-Mobile, and Lubrizol’s $10 billion sale to Berkshire Hathaway. The firm is alsoinvolved in equity sales, trading, and research. And its investment management unit provides moneymanaging services to institutional investors and high-net-worth individuals. Evercore is led by RogerAltman, its chairman, and Ralph Schlosstein, its president and CEO who previously co-founded andserved as president for investment management giant BlackRock.

SURVEY SAYS

Vault Verdict: Ranked No. 5 in the Vault Banking 50 and No. 8 in Vault's Prestige Rankings,Evercore Partners is a highly prestigious investment banking boutique with one of the bestworkplace cultures on the Street. Since it is such a highly respected firm, and a relatively smallone at that compared to its bulge-bracket peers, the hiring process is very competitive. The firmfocuses its recruiting efforts a core group of schools, though students from non-core schools areconsidered as well. Evercore is looking for extremely sharp and smart candidates who, in additionto being book smart, are very sociable, self-motivated, and are able to take on a lot ofresponsibility. The firm’s internship program is a great way gain live-deal experience as well asget hired full time. Once inside the firm on a full-time basis, you'll be treated to an excellent

culture that is very team-oriented and collaborative. Junior bankers get a significant amount ofexposure to senior bankers as well as to clients, and are able to take on as much responsibilityearly on as they can handle. Formal training and mentoring programs are improving, while on-the-job learning is top-notch; deal experience at Evercore is hard to beat. As for compensation,the firm pays its professionals some of the highest starting salaries and bonuses on the Street, butbenefits can certainly be improved. With such lean deal teams and strong deal flow, employeeswill often work long hours, but seniors respect juniors’ time, and insiders say they never engage inuseless work. Diversity hiring, meanwhile, has become a focus of Evercore’s. And business outlookgets rave reviews. Insiders say the firm is well positioned, climbing the league tables, gainingmarket share, and growing revenues. As a result, employee morale is high.

Hiring Process

“Evercore seeks well-rounded candidates who are able to perform at levels above their statedresponsibility. We receive thousands of resumes and hire a very small class (around 35 full-timeanalysts and 20 summer analysts). Generally, we recruit most of our class from our core schools,though we strongly consider and review the resumes of all non-core candidates. First-roundinterviews are held on campus for our core schools (phone interviews for non-core schools).Generally, first-round interviews are two-on-ones, including a VP or associate and an analyst. Theseinterviews are a mix of technical and fit questions, but we definitely expect our candidates to be wellprepped for the interview and polished. We will err on the side of not hiring or passing throughborderline candidates. Final-round interviews are generally a Super Day and consist of four to sixinterviews in which the candidate will meet people ranging from associate to managing director.After this, hiring decisions are generally made.”

“First round on campus, with Super Days in the office after that. At the analyst level, we are lookingfor well-rounded individuals. Priority is, of course, given to the smartest and sharpest, but you alsohave to have interests outside of work and be someone we wouldn’t mind spending endless hourswith. You have to be personable as well so that we can put you in front of clients if need be.”

“Seeking someone confident, friendly, and sharp. Very laid-back, down-to-earth culture. No one hereis really type-A.”

“The firm’s interview process is both demanding and quick. We are looking for the best of the bestcandidates, who have a desire to work in investment banking (and at Evercore specifically). It’s veryimportant to us that the candidate performs well technically and also fits in with the firm’s culture.”

Interview Questions

“Students will be asked to go through accounting and valuation questions. Final rounds tend to be verytechnical. I remember I was asked to do a paper LBO when I was interviewing out of college.”

“Typical questions include basic technical questions (walk me through the different valuationmethodologies, three-financial statement questions, LBO or accretion-dilution basics). We also use arange of fit questions in order to assess if we can see ourselves working with a candidate.”

“Explain how depreciation flows through the financial statements.”

“Extremely technical focusing on valuation, M&A, accounting, etc.”

Intern Experience

“The internship experience at Evercore was great. For the past few years, we’ve had 100 percent ofpeople who have received offers come back. That statistic is a true testament to the experience thatinterns get. The summer is a lot of fun, with plenty of events so that the interns can get to know thefirm, its people, and its culture. At the same time, they are staffed on real projects (live deals) inorder to get real exposure to the job. When I was an intern, the training program was something thatcould have been improved upon. Over the past few years, the firm has made great strides and ourtraining program is now great.”

“Great deal experience, lean teams, good modeling experience, friendly culture and atmosphere. Longhours while on live projects.”

“Best part: work experience and countless firm social events. Worst part: weekend work.”

“Best experience were the social events and opportunity to meet so many people at the firm and bondwith analysts and associates. The firm makes a real effort in creating a culture during the summertime.Worst part was that it was a slow time and there wasn’t much real work to do during the summer.”

Career Development

“Evercore has been working on improving its career development programs, but still has a ways togo. Formal training at the start of the analyst program is satisfactory (and it’s nice that they starttraining with the assumption that those they hired know Finance/Accounting 101). Promotion policiesare very rigid, though, and they would do well with an accelerated promotion policy for certaincandidates. It is a firm that wants to promote from within and it should be more lenient to support thateffort.”

“I was promoted to analyst from a very junior level research analyst position and was given extensivehelp and guidance in the process. The only bad aspect of the career development opportunities is thatinternationally there isn’t an easy opportunity to go somewhere else.”

“Evercore has improved on its formalized training programs, providing additional training throughoutthe year. The firm is flexible with transferring between offices, especially our newly built-out HongKong office.”

“The firm is developing a very strong mentoring program to align junior bankers with more seniorbankers. In addition, partners are providing regular presentations on ‘the path to partner’ that arehelpful in understanding what it takes to succeed here.”

Quality of Life

“Most of people’s time is spent on live transactions, which leads to a far more volatile lifestyle

relative to our competitors. On average my hours are better than my peers, but they are much worse atcertain times and much better at others. Basically, most people here avoid some of the useless workand tasks that are prevalent at our competition.”

“Investment banking in itself is a tough job with long hours—nights and weekends. I believe Evercoreis one of the best places to do this job because the relative quality of life is very good. People try tobe considerate of your time as well as whatever non-work commitments you may have. If you had alate night they will have you go home earlier the next day if possible to get some rest.”

“Evercore is unique in its approach to junior bankers. Across the board, there is an incredible amountof interaction with senior bankers, many of whom have storied careers on Wall Street, and most carea great deal about their junior bankers’ development and growth. Evercore is a smaller firm so dealteams are pretty lean, which comes with both great advantages and disadvantages. A lot ofresponsibility is put on to junior bankers, and you learn a lot. But there aren’t as many people tospread work across, like at the bulge-bracket firms.”

“Great, smart people—definitely the best part of working for Evercore. High performers end upgetting worked far harder than most, which creates poor incentives and burnout among those the firmshould be cultivating most and seeking to retain.”

Salary and Benefits

“Evercore’s compensation is among the best on Wall Street, but it does not match on 401(k)s orprovide dollars for gym memberships. It has some discounts with NYC gyms but the discounts are justOK.”

“The one thing that I don’t like about our benefits is our health insurance provider, as it is notaccepted by a few of my pre-existing doctors. This is a really nitpicky thing to dislike, though. Thebest part of our compensation is the fact that the firm strives to pay at the high end of our peers, inorder to keep employees happy and reward hard work.”

“We get paid above the Street. No one takes the full 15-day vacation time. Sometimes we have tocancel vacations.”

“Pay is at the top of the Street and higher than anyone else except for a couple of other boutiques.Healthcare costs have gotten more expensive as the firm has grown.”


“Senior leadership of the firm cares deeply for diversity and for philanthropy.”

“Evercore is more diverse than expected, with initiatives specifically catered to introducing morewomen and minorities into the workplace. Several employees in the firm are also military veterans.”

“At the junior level, attracting more strong women, minorities, and veterans is a real area of focus forrecruiting. The firm is developing its philanthropic programs but there is a long way to go.”

“The firm is improving in terms of racial diversity but has a ways to go.”

Business Outlook

“Evercore is well positioned relative to its peers (it’s climbing the league table, and advisoryrevenues are growing while large competitors’ revenues are shrinking). Its focus on beingindependent (purely engaging in advisory work) distinguishes it from bulge-bracket peers and allowsus to gain share as companies seek conflict-free advice.”

“Evercore has continued to grow significantly and continues to capture both market share and strongbankers from bulge-bracket firms.”

“The leaders of Evercore have excellent reputations and have held senior positions at or foundedsome of the most prestigious firms on Wall Street. With competitive compensation and minimalbureaucracy, employee morale is high and people are energized to complete projects.”

“Evercore is positioned to do very well over the next 12 months. Our leaders are respected both onand off Wall Street. The M&A market is heating up, and Evercore is well positioned to takeadvantage of that. Further, given our business model, we’re poised to continue taking market sharefrom our competitors.”

6. MORGAN STANLEY

1585 Broadway

New York, NY 10036

Phone: (212) 761-4000

Fax: (212) 762-0575

www.morganstanley.com

THE STATS


Stock Symbol: MS


CEO: James P. Gorman


THE BUZZ

“The best bulge-bracket bank—just as solid of an environment to learn as Goldman, with much betterculture and people”

“They are great, but you need to be in M&A to get the best experience”

“Made out like bandits on the Smith Barney deal; investment bank remains strong”

“Have lost their luster following the crash and are in search of an identity”

UPPERS

“Extremely intelligent and able coworkers”

“Still one of the top two most prestigious places to work on Wall Street”

“Great culture with emphasis on teamwork”

DOWNERS

“Work/life imbalance”

“Deferred compensation”

“Unpredictable hours”

RANKING RECAP


Best to Work For




#7 - Philanthropy

#9 - Hours



#12 - Hiring Process



#13 - Culture



#13 - Satisfaction

#14 - Benefits

Prestige

#4 - Prestige

Diversity

#7 - Diversity


#7 - LGBT Diversity




THE SCOOP

The firm that Henry and Harold built

New York-headquartered investment banking giant Morgan Stanley is divided into three mainbusinesses: institutional securities, which includes M&A advisory, restructuring, real estate, projectfinance, capital raising, equity and fixed income sales and trading, and corporate lending; assetmanagement, which includes institutional investment products and mutual funds across a range offixed income, equity, and alternative investments; and global wealth management, which providesfinancial planning and wealth management services, annuities and insurance, and brokerage andinvestment advisory services that cover a wide range of investment alternatives. The bank's historycan be traced back to 1854, when Junius S. Morgan, an American banker from Massachusetts, beganworking in London for a British banker named George Peabody. Morgan's son, J. Pierpont Morgan,learned the banking business at his father's side, but eventually returned to America to found the firmthat would become J.P. Morgan & Company. In 1935, J. Pierpont's grandson Henry Morgan andfellow J.P. Morgan partner Harold Stanley left the firm to start their own company: MorganStanley. Today, more than 75 years later, Morgan Stanley is known as one of the leading investmentbanks in the world. It regularly works on the most high profile deals on Wall Street, and has one ofthe top financial advisor sales forces on the planet (its retail advisors operate under the MorganStanley Smith Barney name). The bank is led by James Gorman, its chairman and CEO. It employsmore than 55,000 employees.

SURVEY SAYS

Vault Verdict: Ranked No. 4 in Vault’s Prestige Rankings and No. 6 in the Vault 50, MorganStanley is one of the most prestigious financial institutions in the world. As such, it can hire thebest and brightest from top-tier schools across the country. Ideal candidates are thoughtful,bright, humble, and intellectually curious. The firm offers an outstanding internship programwhere interns are given a lot of responsibility and will get to work on live transactions; they’llalso receive access to senior leaders at the firm. Full-time employees are treated to strongtraining programs, mentoring opportunities, and the opportunity to move to other parts of thefirm. Morgan Stanley has a highly regarded, collaborative, team-oriented culture. And althoughinsiders, depending on group, will work extremely long hours, the work is challenging andrewarding. Benefits and perks are adequate, whereas compensation has been a sore spot withinsiders in recent years, as many believe it needs improvement. The firm is fairly diverse, though itcould improve in this area as well. As for Morgan Stanley’s business outlook, the firm has beenfocusing more on its wealth management business as opposed to its sales and trading business,and, for the most part, insiders support the strategy.

Hiring Process

“The interview process is robust and on par with the rest of the industry. First-round interviews areusually on campus and last 30 minutes; these are usually one-on-ones and sometimes two-on-ones.Second-round interviews are Super Days and usually involve four to six 30-minute interviewsconducted by more senior people. The ideal candidate is intelligent, sociable, a quick thinker, andhardworking, and thrives in groups but is also a leader. A good sense of humor and interests outsideare also important.”

“Overall, I think the interview process is comprehensive and appropriately rigorous. Sometimes, Ithink that perhaps very good candidates who lack a traditional finance background are overlooked infavor of those who studied finance but may actually be less qualified in the long run.”

“For equity derivatives, we do first rounds at school, second rounds at the firm, and have chatsbetween interviews. My desk looks for technical candidates (math, physics, engineering majors), andwe don’t care at all if they have any background in finance.”

“We are seeking thoughtful, bright, and humble individuals who are intellectually curious and focuson getting to the right answer rather than just the quick answer in anything they are asked to do.”

Interview Questions

“What is the most recent book you have read on the financial services industry/economy/globalmarkets? What makes you most interested in pursuing a career in financial services? What arerelevant past experiences/activities that have helped you to developed applicable skills necessary inthe financial services industry?”

“How do you handle time management and task prioritization? What is a quality of yours that youthink needs improvement? Give an example of when you worked in a team and the project wentsuccessfully, and an example of when you worked in a team and there were issues and how youhandled that. How do you follow the financial market? Why Morgan Stanley?”

“Why do you want to work in finance? Explain to me what ‘quantitative easing’ means and what doesthe Federal Reserve hope to achieve with this? What is a stock that you watch? What is it doing? Andwhy?”

“Why are you interested in investment banking? What concerns do you have about being ananalyst/associate at Morgan Stanley? How can I help you think through your career options? Once youreceive offers from a number of places, what will be the most important factors to you as you thinkthrough which one to accept?”

Intern Experience

“Morgan Stanley has the best summer IBD associate program on the Street. Associates are placed in apool and have the opportunity to work across various products and industries. Equally important,associates develop relationships with each other and senior management over the summer; these

relationships last well beyond the summer and are the basis for one’s career network at MorganStanley. The breadth of exposure is invaluable and demonstrates the investment that the firm makes inincoming associates.”

“One of the best aspects was the senior speaker series where we were able to hear about differentparts of the firm or a specific focus from senior leaders. It was a great way to learn about the industryand Morgan Stanley as a whole. The worst aspect was that there was not enough direct feedback aftereach rotation; there’s only one formal feedback session in the middle of the internship.”

“I learned about different desks that I would otherwise not have interacted with if I had just startedhere full-time. I met people throughout the division and gained mentors who I still talk to today.However, adjusting to each desk was a little difficult due to the two-week desk rotation program. AndI could not participate in some social events because I was under 21 at the time.”

“I was given a lot of responsibility. You’re truly thrown in so you can leave the 10-week summerunderstanding what it would be like to work full time. There are a lot of social and networking eventsso that you really get to know the culture and people.”

Career Development

“Morgan Stanley puts a lot of emphasis on career development. I have witnessed this both in myinternship and current analyst role. The firm has offered extended formal training, ongoing networkingand development, and continued follow-up to ensure things are going smoothly.”

“It’s possible and encouraged to advance without an advanced degree. And there are internationalopportunities for those who desire them. But inter-departmental transfers are rarely openly discussedpast the internship level.”

“Strong analyst training program that adequately prepared me for entry into the industry. Very goodSeries 7 and 63 preparation for analyst class. A lot of bureaucracy concerning promotion allocation.Poor ability at lower levels to visit other offices (at least on my specific desk). I have not traveled tomeet our counterparts on my desk in London, Tokyo, or Hong Kong. The firm put a temporary freezeon traveling to regions if not seeing clients/for specific events.”

“You’re encouraged to explore all options internally as your career begins to pick up momentum.However, now there’s an environment of zero to low attrition. Thirty-year vets of the firm can’t leavebecause deferred compensation is locked up; they would rather be part of a round of layoffs,receiving their deferred comp and a severance package. This creates spiraling effect where layoffsare almost regularly required, and puts a cap on what rising stars and up-and-coming juniors are ableto do. It hamstrings the natural evolution.”

Quality of Life

“It’s demanding lifestyle since this is a client service business. That said, there’s good management ofdeliverables and sensitivity to timing and conflict issues. Also, there’s more efficient use of juniorresources here than at other firms—leaner, more skilled teams with more guidance and involvement

from senior people at each stage of the business. Many senior partners were juniors and understandthe cadence of the business and impact on quality of life.”

“Employees are held to a very high standard. You are expected to work hard and play hard. Thissometimes eats into your work/life balance, though the general feeling among employees is that thework hard, play hard environment is enjoyable and worthwhile if you’re happy with your job.”

“My hours are very reasonable. There’s a focus on work/life balance and being involved inextracurricular activities, and a lot of charity work and MS-sponsored programs (i.e. Big Brother BigSister). I think that the culture has weakened after the crisis. The resulting bank culture is a bit of amelting pot, as MS has taken employees and even portions of desks from competitors over the pastyears. The bank feels a bit bigger than it did when I first joined. I think the culture is more looselydefined. I feel that MS is still searching for its identity post-crisis.”

“The job is demanding at all levels. I like to say the most difficult year in my career is whicheveryear I am currently in because it does not get easier. If it does you’re not doing your job and worryingenough about business. But Morgan Stanley has an amazing culture: brilliant people, collegial, teamwork. It’s fantastic place to have a career in a very demanding business.”

Salary and Benefits

“The firm is very friendly to working moms; however, there can be more support programs for newmoms coming back to work after maternity leave. The leave itself (the duration) is sufficient, though.In addition, the firm should provide more food/beverages as so many hours are spent in the office andthese perks go a long way to providing employees with a sense of comfort.”

“Salary and bonus have declined considerably over the past several years, eroding advantagesrelative to the finance industry and other industries. Painful and expensive commutes, very high cost-of-living, and decreasing prestige and perks have all contributed to a more disadvantagedcompensation package relative to competitors inside and outside of the industry. However, this year,below a certain cutoff, bonus was not deferred, helping many in the organization.”

“In the last two years, it’s been very difficult to point to positive items, but in years past the totalcomp was adequate. The medical coverage is fine as well. I appreciate the use of the gym at areasonable price. But the last two years, total compensation being down substantially combined witha substantial deferral element (much more than any of our competitors) has been a disappointment.”

“Salary is pretty much in line with the rest of the Street. Bonuses stink. I’ve had a flat bonus for threeyears. It is roughly 40 percent below what other traders are getting at other shops both on the buy sideand sell side. The firm may not be losing people at these distressed compensation levels, but they sureare losing productivity. Pay your producers. Pay the people on the desk. Pay the people in thetrenches. Then the firm will make more money. You cannot expect us to work hard, deal with all ofthe structural changes both internal and external, and then tell us, ‘Oh you did a great job, but we can’tpay you.’ I think deferred comp is fine. Just pay me. I don’t care how and when. I think deferred comppromotes two-way loyalty (loyalty being something the firm is seriously lacking). Job security ishuge. I would be willing to accept less pay if there was some level of job security without this

arbitrary and random slicing and dicing that has come every January. Health insurance is out ofcontrol. I’m in my twenties and paying $2,300 in annual premiums plus a $500 deductible, for what?My annual physical?”


“Very strong philanthropy and very important, committed, visible, contributor to the community. Verystrong encouragement for philanthropic endeavors among the organization. Diversity program isstrong and well delivered but stands in the way of recruiting. Too few open intern and traineepositions for promising candidates from all walks of life due to being filled by diversity targets. Toomany limited resources chasing diversity candidates, who are so heavily recruited by competitors thatwe struggle to land them. We also fail to pay as much attention to non-diversity candidates with ourrelatively small recruiting budget.”

“There is an effort to recruit women, though I do not think there are enough women in sales andtrading. That said, women are generally treated very well in terms of maternity leave, etc. In terms ofethnic minorities, there are not many African Americans, and I think MS needs to do a better jobrecruiting and retaining these individuals. My office has a number of Hispanic/Latin Americanindividuals who focus predominantly on that region out of New York. There is adequate East Asian(Chinese/Korean/Indian) representation. The firm is decently accommodating to LGBT individuals,and I think there is a decent LGBT population, but the atmosphere is not necessarily conducive to onebeing openly out. I do not think that disabled individuals are well represented across the firm.”

“Based on my experiences and what I’ve heard, Morgan Stanley is among the top, if not the top bulgebracket bank on Wall Street when it comes to diversity. However, I think the banking industry as awhole has much farther to go when it comes to diversity, particularly in sales and trading. Based onmy experiences at other firms, I believe Morgan Stanley could push the envelope more on greeninitiatives, such as encouraging more recycling and composting and providing more recyclableresources. While one could always be more involved with their community, I think Morgan Stanley’sphilanthropic efforts are satisfactory for a major corporation.”

“Lots of philanthropic practices but they’re very forced. Senior level people can see who donated andhow much is donated. Teams compete to see who can donate the fastest and the most. This twists thespirit of charity and is very perverse. You are forced to donate every time. It becomes ratherannoying.”

Business Outlook

“Great brand with leading positions in several products. Clients respect our judgment. Weaknesses:macro issues impacting business, and we need to be careful about the next cycle’s comp structure sowe don’t impact morale in a negative way.”

“MS is transitioning to more of a broker/asset manager/money manager and away from sales andtrading, particularly fixed income. This will help remove volatility from earnings/equity, etc., butsales and trading is also the part of the firm that I would like to see bulked up and regain marketshare. I would like to work at an institution with a focus on ramping up sales and trading revenue as

opposed to one focused on low-margin fee-based revenues. Our CEO is very much focused on thelatter as opposed to the former. I completely understand this approach, but it is not as sexy orinteresting.”

“I think the firm is obsessed with the Smith Barney acquisition and neglecting the other units. The firmis doing better with recognizing long-term costs of running certain businesses. However, the firmneeds to recognize that we do have to do business, open up the pipelines, and lend, lend, lend. That’swhat banks do! We need solid new business. The firm needs to be more transparent. The marketthinks that we are still one gigantic black box of legacy problems. We have to open up and prove thatthose problems are gone. Otherwise the stock will never break $30. It’s just that simple.”

“CEO has a great vision for the company and we have seen solid improvement of late. Banking is achallenging industry so people worry about the future, but we seem well positioned to succeed.Employee morale was somewhat low a few months ago after some layoffs in the division, but thosedays seem to be over.”

7. CENTERVIEW PARTNERS

31 West 52nd Street

New York, NY 10019

Phone: (212) 380-2650

Fax: (212) 380-2651

www.centerviewpartners.com

THE STATS


Co-Founding Partners: A. Chinn, B. Effron, J. Kilts, R. Pruzan

2013 Employees: 150

THE BUZZ

“These guys are on fire right now”

“Small team”

“Great pay, good culture, best boutique”

“Newer firm, strong boutique”

UPPERS

“Working on high-profile and challenging assignments”

“Extremely competitive compensation”

“Great colleagues”

DOWNERS

“Long hours at times”

“Resource constraints”

“If you are positive that you want to stay in banking for one to two years and then move to PE, it’sprobably not the place for you”

RANKING RECAP


Best to Work For


#1 - Compensation




#2 - Philanthropy



#2 - Satisfaction

#3 - Benefits

#3 - Hiring Process


#4 - Culture



#6 - Hours



Prestige

#16 - Prestige

Diversity


#2 - LGBT Diversity



#5 - Diversity


THE SCOOP

Small size, big business

In 2006, UBS Vice Chairman Blair Effron had dinner with his friend Robert Pruzan, a veteraninvestment banker and former CEO of Wasserstein Perella. The two men decided to capitalize on thelucrative M&A boom by going in to business together, opening a boutique they dubbed CenterviewPartners (the name came from the view at their new office on the 19th floor of Rockefeller Center; thefirm has since moved to larger offices). At Centerview, there are just two lines of business: M&Aadvisory and restructuring, with both businesses addressing strategic, financial, and operationalissues for its clients. Its two subunits are M&A and restructuring. (An affiliated private equity groupfocuses on the U.S. consumer middle and upper-middle market.) Since Effron and Pruzan's vision wasrealized, Centerview has added several additional high-powered bankers and brought total headcountup to more than 150. Though small in size, Centerview has worked on several huge deals, includingAltria's $113 billion spin off of Philip Morris, Kraft's $22 billion acquisition of Cadbury, PepsiCo's$21 billion acquisition of it bottlers, Pfizer’s $12 billion sale of its Pediatric Nutrition business,Motorola Mobility’s $13 billion sale to Google, H.J. Heinz’s $28 billion sale, Alliance Boots in its$27 billion two-step acquisition of Walgreen’s, ResCap on its $15 billion Chapter 11 restructuring,and GE’s $18 billion sale of its remaining interest in NBC Universal. Overall, during the course oftheir careers, Centerview's partners have advised on more than $2 trillion in transactions, includingmore than $500 billion worth since Centerview was formed.

SURVEY SAYS

Vault Verdict: Though Centerview is a newer firm compared to most of its investment bankingpeers, it is one of the best firms to work for in the industry. It’s also one of, if not the highestpaying firms in the industry. In fact, Centerview ranks No. 1 when it comes to compensationsatisfaction on Wall Street. It also ranks No. 1 in business outlook and firm leadership, and ranksamong the top three investment banks in benefits, informal training, promotion policies, internalmobility, overall satisfaction, client interaction, supervisor relationships, female diversity, LGBTdiversity, and philanthropy. As for the type of candidates Centerview is looking for, the firmrecruits at top schools for intelligent, thoughtful, creative, personable people who are strategicthinkers and have excellent quantitative skills. The firm’s culture is extremely collaborative, andinsiders rave about their kind, helpful, talented coworkers. Centerview bankers will work hard—the firm works on some of the largest, most high profile deals on the Street—but seniorsunderstand the concept of work/life balance and are accommodating when it comes to

commitments outside of work. Centerview is said to be among the best on the Street for analystswho want to stay and become associates; the firm promotes from within and focuses on its youngprofessionals’ career development. Along with great pay, the firm offers very good benefits. Anddiversity, philanthropy, and green initiatives are a focus of the firm. As for Centerview’s businessoutlook, the bank is gaining ground in the M&A market and is quickly becoming one of the mostrecognized dealmakers on Wall Street.

Hiring Process

“We generally hire undergraduates from top U.S. universities for our New York and San Franciscooffices, and from top U.K. and European universities for the London office. First-round interviewsare generally done on campus, after a resume screening process. Final rounds are a half-day SuperSaturday or Sunday in which candidates interview with five to six people, including several MDs orpartners. We are seeking someone who is intellectually curious, interested in financial advisory anddeal-making, possesses raw intelligence/analytic horsepower, and the strong work ethic required tobe successful in client service.”

“We are looking for the all-around athlete who can crunch the numbers and explain themselves to theclient. Our bankers must be savvy financially, as well as top 1 percent strategic thinkers. It’s the waywe differentiate ourselves and the way we win. Very competitive process. We look for very brightand intellectual candidates who can also be placed in front of a client early on in one's career.”

“We’re looking for somebody who is quick on their feet, smart, willing to engage deeply on strategicthinking, looks forward to working on all aspects of a client relationship, looks forward to transactionexecution, and is financially numerate—people who are willing to push themselves out of theircomfort zone.”

“Ideal candidates are intelligent, thoughtful, and creative, with good quantitative skills, and can serveas a senior counselor to our clients and have good judgment to give the right advice.”

Interview Questions

“We ask a variety of questions that test everything from financial knowledge and critical thinking(brainteasers) to business thinking (cases) and fit and integrity (hypothetical and behavioralquestions).”

Intern Experience

“Significant deal exposure and responsibility, small teams, close-knit / fun culture, great chance tomeet senior bankers and discuss career development.”

Career Development

“Centerview is the best firm on the Street for analysts who want to stay and become associates. Athree-year analyst program means that the partners invest more time to develop their analysts, whichincludes taking them to meetings with long-term clients and staffing them on lean deal teams.

Historically more than 50 percent of the analysts stay to become associates after their third year, andfrom what I can tell, most of them found the transition quite smooth. I understand a similar dynamic isat play for the associate to principal transition. Finally, although the firm is growing quickly, severalpartners each year are internally promoted, in addition to the high-profile external hires Centerviewhas made.”

“Best aspect is the extent to which one can learn at an early level a broad range of skills for andextensive knowledge of all parts of any transaction or strategic advisory process. Worst aspect maybe the fact that one may feel limited to only pursuing an investment banking career and not have acomplete set of exit opportunities.”

“Developing professionals is a major focus of the partners here, in both formal ways (reviewprocess, frequent guest speakers and continuing education sessions, annual global offsite) andinformal ways (mentoring and staffing system focused on giving people a wide range ofexperiences).”

“Best internal development on Wall Street. Very strong culture of internal promotion. Expectation isthat if analysts are tracking well they will be given associate offers.”

Quality of Life

“Fantastic firm culture. Far and away better than the bulge bracket bank I interned at last summer.Without exception, all the junior bankers are smart, friendly, and supportive of each other. There’s agreat sense of camaraderie because it’s still a pretty small office. Senior bankers are for the most partnice, accessible, and genuinely interested in the junior bankers’ career development. Overall we haveno real D-bags at the firm, which is pretty rare in finance. Best aspects: great people absolutely zeroface-time required. Worst aspect: Long hours, but that’s a given in banking.”

“Hands down, this is the best investment bank to work for. There are absolutely no people that youwouldn’t want to be friends with, which is very different from firms I've worked at in the past. Verycollegial environment among junior and senior bankers. We work exceptionally hard, top to bottom.”

“The work environment is excellent, with a tight-knit group of junior bankers and long-term focusedsenior bankers that generally improve the quality of life. The worst thing is that we have outgrown ouroffice space; however, we have leased another floor (66 percent increase in total square footage) andwill move into it once it has been renovated for our needs.”

“Not as brutal hours as at bulge-bracket banks. They seem to care about quality of life here. You’llwork on big projects and have a high level of involvement.”

Salary and Benefits

“The company believes that the individual should be allowed to choose how he/she wants to spendtheir bonus. As a result, there’s less emphasis on non-monetary perks (although I don't quiteunderstand how 401(k) matching is non-monetary). Also, everyone loves snack time. There’s reallyno downside to compensation.”

“Overall comp is excellent (both salary and bonus). Health and dental benefits are comprehensive.The firm also provides overtime meals and transportation, and filing for these expenses is verysimple compared to other places.”

“Comp is far higher than the Street.”

“401(k) matching would be nice, but we get paid so well it doesn't really matter.”


“Our firm is extremely philanthropic, with virtually all of the partners and senior bankers involved inmajor charitable organizations, often as board members. Additionally, many of the junior bankers areinvolved with various charities and causes, both local and global, as volunteers and/orfundraisers/donors. In the aftermath of Sandy in NYC this year, Centerview had a team of individualsin the Rockaways every day for a month, handing out necessary supplies as well as helping peopledemolish drywall and rip out carpets damaged by the storm. I personally spent two workdays helpingout, and other spent four or five, as well as their weekends. As far as diversity, while we have asmall absolute number of women and minorities, it is a high percentage relative to firm size. This istrue at all levels, including the partners. Diversity recruiting and hiring is generally encouraged byCenterview. From an environmental perspective, we have a green footprint, with shredding/recyclingprograms for paper being the most visible, and the choice of LEED certified office space being themost impactful.”

“The firm believes in philanthropy not only in terms of donations, but also in terms of time—employees do several off-sites a year for various volunteer opportunities, including a several-weekrolling presence in Sandy Relief efforts—all on weekdays and counted as ‘paid time’ by the firm.”

“Extensive charity involvement, not organized by HR but spearheaded by the bankers themselves.”

“Several days a year of community programs. Senior people are actively involved in all aspects ofNew York and national civic life, and encourage that among juniors. Diversity is prized, both in termsof people and thought. Culture embraces anyone of talent.”

Business Outlook

“While the future of the M&A market is still anybody’s guess, Centerview has grown quickly in oneof the worst M&A markets in history and is well positioned regardless of where the market goes.Morale is extremely high, possibly the highest of any firm in the industry, due to a good workenvironment, high job security, professional development opportunities, and competitive pay/bonus.We continue to take market share and client mindshare from the competition, advising on the largestand most complex transactions.”

“We are very well respected on Wall Street and have been doing tremendously well. While I believewe are expanding quickly, I think we will still maintain a lean culture. Our partners do an excellentjob of keeping up engaged with monthly meetings and a yearly company offsite. The combination ofgreat partners and a strong product will drive future business.”

“We’re an emerging boutique doing very well and working on major deals. We’re expanding as well,and recently moved onto another floor. On a negative side, we have maybe a shortage of associatesand principal level.”

“The age of independent advisory firms has begun, and Centerview leads the pack among them.”

8. GREENHILL & CO., INC.

300 Park Avenue 23rd Floor

New York, NY 10022

Phone: (212) 389-1500

Fax: (212) 389-1700

www.greenhill.com

THE STATS


Stock Symbol: GHL


CEO: Scott Bok

2013 Employees: 324

THE BUZZ

“A very good boutique”

“Some people have been unhappy there compared to some peers”

“Good in M&A”

“Heard good things”

UPPERS

“Awesome culture”

“Great exit opportunities”

“Blue-chip clients and thus blue-chip transaction experience”

DOWNERS

“Lean deal times”

“Mediocre benefits”

“Not as well known as some of its competitors”

RANKING RECAP


Best to Work For

#3 - Culture

#3 - Hours




#5 - Satisfaction


#6 - Hiring Process


#8 - Compensation






Prestige

#9 - Prestige

Diversity




#13 - Diversity



THE SCOOP

Unique and focused

Greenhill calls itself “a unique investment firm,” and to be sure, it follows a model quite unlike thestructure of its behemoth competitors. At Greenhill, independence is the guiding philosophy; becauseit’s not part of a larger financial institution, the firm avoids the conflicts of interest inherent in thosefirms. Greenhill's second rule is focus. It has no research, trading, or lending divisions to distractfrom its advisory work, which includes mergers, acquisitions, restructurings, financings, and capitalraisings. The firm is a relatively young one by Wall Street standards: about 17 years old. In 1996,Robert F. Greenhill, former head of Smith Barney and former president of Morgan Stanley, struck outon his own and founded an eponymous boutique firm. He led the company for 11 years beforestepping down as CEO in October 2007, but he remains chairman of the board and continues to workon deals. Today, Scott Bok is the firm’s CEO. Although Greenhill went public in 2004, it’s stillclosely held by its managing directors, many of who worked with Bob Greenhill during his 30-yeartenure at Morgan Stanley. Greenhill is headquartered in New York, with additional offices in London,Frankfurt, Stockholm, Sydney, Tokyo, Toronto, Chicago, Houston, Los Angeles, Melbourne and SanFrancisco. It employs approximately 325 people.

SURVEY SAYS

Vault Verdict: Ranked No. 8 in the Vault Banking 50 and No. 9 in Vault’s Prestige Rankings,Greenhill is one of the most highly respected, well-known investment banking boutiques in NorthAmerica. Since the firm is so prestigious (and small compared to its bulge-bracket competitors),competition is fierce for the relatively few available openings the firm has each year. As for itsnew recruits, Greenhill is looking for well-rounded, inquisitive candidates with strong technicaland analytical capabilities who will fit well into the firm’s collegial culture. Interns with the firmwill work on live deals and get exposed to senior bankers, including MDs and management atclient firms; there are also many social events, providing interns with additional networkingopportunities. Full-time professionals are treated to a highly collaborative, team-like culture;relationships between junior and senior bankers are said to be very open and congenial. Exitopportunities after the firm’s analyst program are excellent, with senior bankers providing muchassistance in this regard, going as far to call potential employers to make recommendations. Thatsaid, depending on department, the firm does encourage analysts to stay on for a third year. As forhours, they can certainly be long, but there’s no face time at Greenhill; if your work is done youcan leave for the day. Compensation, meanwhile, is in line with the market—slightly better thanbulge-bracket peers and on par with other smaller firms. Benefits, though, could use someimprovement, according to insiders. The firm’s workforce is not terribly diverse, but Greenhill is

trying to hire more women and minorities at the lower levels. And despite the difficult marketenvironment, Greenhill’s business outlook is very bright. Its advisory-only model insulates it froma lot of the problems its bulge-bracket peers are experiencing, and it has been gaining marketshare.

Hiring Process

“First-round interviews on campus with two people (associate and VP/principal). Then callbacks forfinal rounds, usually three to four people per school from core schools. Non-core schools are handledon a much more ad hoc basis. Ideal candidate is one with prior banking experience who knows theindustry and the procedures necessary to get work done on a daily basis, and someone who can thinkfor themselves and will fit well into our collegial culture.”

“Looking for well-rounded, inquisitive individuals from top schools.”

“Candidates need to have very strong technical and analytical capabilities.”

“Cultural fit is very important.”

Interview Questions

“For analysts: How would you value a company with many different lines of business? How wouldyou value a coffee shop? Do you have a portfolio?”

“Every interview is different. Fit interviews are equally as important as technical interviews.”

“Walk me through a DCF. Walk me through your resume.”

“More focus on qualitative and less on the typical and expected I-bank questions. Intense focus on fitfor more senior hires.”

Intern Experience

“As a summer analyst, I really enjoyed the culture, people, and exposure to senior management at thefirm. The CEO, Scott Bok, takes all of the interns out for lunch. There are also weekly social eventswith analysts and associates throughout the summer, which integrate you with the rest of the firm.Greenhill makes you feel like they care about you and really want you to learn.”

“Best parts were the structured training, hands-on experience, interaction with senior management andsenior management at leading PE firms. Worst part is it was very self-starter-oriented.”

“Best parts: senior exposure, lots of responsibility, great culture.”

“Great mix of live deal experience and ability to lead and work with analysts on less importantprojects. Great social events that allowed me to get to know people at the firm. Low pressureenvironment that places an emphasis on setting interns up for success and allowing them to show theirskills.”

Career Development

“Ability to work with a lot of different people and ability to shape your own career per your desires.But you don’t have the ability to work on different products; it’s pretty much all M&A orrestructuring, and other assignments are rare.”

“For analysts, the firm is very encouraging of career aspirations on the buy side after two years. MDsand Principals will actively recommend their analysts to friends in PE and at hedge funds. They’realso willing to discuss staying on at the firm.”

“For M&A analysts, it is mostly a two-year program. You have to interview for new opportunitieswhile simultaneously completing your work, which can be very stressful.”

“Fairly lockstep in terms of promotions. Increasingly open to retaining analysts for a third year and/oras associates versus sending them to business school.”

Quality of Life

“Since we run pretty lean, hours are lumpy. On one hand, there isn’t a lot of required face time here,so it is fine to leave at a reasonable hour if you finish your work. However, if you are staffed onmultiple deals at once and they are both blowing up, there isn’t really anyone to help you manage theworkload. All in all, sometimes it’s great (60 hours a week or so), while other times it’s much moredifficult.”

“No face time; it’s a high trust environment. That doesn’t mean hours aren’t extensive, but it meansyou can manage your schedule a bit better than other firms.”

“Fantastic culture of cooperation among colleagues. Hours improve dramatically as you gainseniority.”

“Analysts are expected to take on a lot of responsibility for projects—very infrequently is there morethan one analyst on a transaction—but they’re also given some free reign to get their work done andleave when finished.”

Salary and Benefits

“Pay is in line with Street average. But there’s no desire to pay people extra given extraresponsibilities and duties, or given small size of class. Increasingly, there’s a heavier focus on stockas compensation.”

“Very good pay versus peers analysts at other firms. First years get their bonus after first year (June)rather than as year stub (December).”

“Comp levels are very competitive to the Street. Far better comp structure than at bulge brackets andgenerally in line with other smaller firms.”

“New York office has an on-site gym for Greenhill employees only, which is well kitted out. Medical

coverage is expensive, and the company does not provide much 401(k) matching.”

Diversity, Philanthropy, Green Initiatives

“The firm makes a very strong effort with respect to diversity hiring, but is definitely looking toimprove its effectiveness here.”

“Greenhill tries to be a diverse place and will give lots of groups opportunities to interview. Theoffer tends to go with the most qualified candidate, whoever that person is.”

“Incredibly open culture. Ideas, people, and backgrounds are diverse.”

“Very few women in senior levels. Globally, only one MD in M&A/restructuring is a woman, and weonly hired her in 2013.”

Business Outlook

“By far the best business model in the M&A and advisory business. Difficult market environment, butwe continue to take market share.”

“We are somewhat constrained by the overall M&A market, and I am not particularly bullish on thatfor the next year. Employees can sense this, too, and therefore morale is not high. The last 12 monthsseemed a lot better than they actually ended up being in terms of financial results and thereforecompensation. However, because the culture is strong, there is little turnover. People rarely leaveGreenhill to go to other banks. Leadership is strong, and I wouldn’t second-guess any of their moves.I agree with their philosophy of being deliberate and thoughtful.”

“M&A focus insulates Greenhill from unclear outlook for bulge-bracket banks. Greenhill will thriveas it keeps its independence and continues to attract top advisors from dwindling offices at MorganStanley and Goldman Sachs.”

“Firm has been gaining significant market share over the past few years, which makes it wellpositioned for the future.”

9. PERELLA WEINBERG PARTNERS

767 Fifth Avenue

New York, NY 10153

Phone: (212) 287-3200

Fax: (212) 287-3201

www.pwpartners.com

THE STATS


Chairman & CEO: Joseph Perella

2013 Employees: 415

THE BUZZ

“Good boutique that works on some mega deals”

“Good team but small”

“Strong”

“Solid reputation”

UPPERS

“Small-firm culture allows for a lot of interaction with clients and senior bankers”

“Amazing people”

“Compensation”

DOWNERS

“Long hours and large responsibility as an analyst—high exposure can be stressful”

“Lack of multiple offices; it’s New York or London if you want to be a serious banker”

“As a smaller firm, we don’t fully cover all industries”

RANKING RECAP


Best to Work For

#5 - Benefits


#6 - Compensation

#6 - Satisfaction




#9 - Hiring Process


#10 - Culture

#10 - Hours






Prestige

#12 - Prestige

Diversity



#11 - Diversity




THE SCOOP

Morgan and Goldman alum team up

Founded in June 2006 by Joseph Perella, Peter Weinberg and Terry Meguid, Perella WeinbergPartners has two businesses: advisory and asset management. Its advisory business includes mergers,acquisitions, restructuring, private capital, pension advisory, independent special committeeadvisory, and government services advisory, while its asset management unit focuses on alternativeinvestment products (as of June 2013, the firm had more than $9 billion in assets under management).Perella Weinberg Partners’ launch in 2006 was one of the most closely watched debuts in bankinghistory. Today, the firm consists of over 415 employees, who work out of offices in New York, SanFrancisco, Denver, London (U.K.), Abu Dhabi (United Arab Emirates), Dubai (United ArabEmirates), and Beijing (China). Founder Joseph Perella made his name as a pioneer dealmaker atFirst Boston in the 1980s, then left to create Wasserstein, Perella & Co. with Bruce Wasserstein (theformer chairman and CEO of Lazard). Perella’s last gig before founding PWP was as vice chairmanof Morgan Stanley, where he became close with some of America’s top M&A talent. A shareholderrevolt at Morgan Stanley-the ruckus that led to the 2005 resignation of chairman Philip Purcell-prompted Perella to leave the firm, sparking rumors that he would open his own boutique. Indeed hedid, and several Morgan Stanley advisors jumped ship to join him, becoming Perella Weinberg's firsthires. Prior to founding Perella Weinberg Partners, Peter Weinberg was the CEO of Goldman SachsInternational and an accomplished banker as well, and Terry Meguid was Head of WorldwideInvestment Banking at Morgan Stanley. In its short existence, Perella Weinberg Partners has workedon some monumental M&A deals, including Thomson Corporation’s $18.3 billion acquisition ofReuters Group, Continental’s $35 billion sale to Schaeffler, Qwest’s $22.4 billion merger withCenturyLink, Kabel Deutschland’s recommended voluntary public takeover by Vodfone Group for€10.7 billion, and NYSE Euronext’s $10.2 billion sale to IntercontinentalExchange. The firm alsoserved as an independent appraiser of Morgan Stanley Smith Barney in connection with MorganStanley exercising its option to acquire an additional 14 percent stake in the entity. In addition,Perella Weinberg Partners also has worked on several high-profile restructuring engagements,including advising the equity committee on Calpine’s $23 billion restructuring, advising certaincreditors in connection with Delphi’s $22 billion restructuring, advising Edison Mission Energy onits $5.0 billion chapter 11 restructuring, advising Hawker Beechcraft on its $2.4 billion restructuring,and advising Hostess Brands on its $1.4 billion restructuring. Today, Joseph Perella is still the headof the firm, serving as its chairman and CEO, and Peter Weinberg and Terry Meguid are foundingpartners and respectively serve as head of the firm's advisory and asset management businesses.

SURVEY SAYS

Vault Verdict: Ranked No. 9 in the Vault Banking 50 and among the top 12 investment banks interms of prestige, Perella Weinberg Partners is considered to be one of the best investment banks

to work for on Wall Street. The firm is a relatively small one compared to many of its bulge-bracket peers, so its interview process is competitive—the firm typically recruits at top-tierschools for top-tier candidates. Interviews are said to be highly technical, but behavioral fit is ofhigh importance, and candidates need to be able to interact with clients. Interns at PWP will get towork on live deals and work alongside senior bankers; they even might be able to go to a Yankeesgame with one of the firm’s founders. Full-time professionals, meanwhile, will be privy to anextremely congenial work environment where bankers help each other out (rather than competewith one other). Junior bankers will work closely with senior bankers, gaining significant dealexperience and client contact. Although hours can be long and unpredictable (largely due to thegreat deal flow and lean deal teams), the pay at PWP is excellent—the firm pays competitivelywith the Street average and pays in cash (no stock). The firm is said to have a highly diverseworkforce, and the firm’s business outlook is extremely bright. Employee morale is high,employees speak highly of the bank’s management team, and the firm continues to land some of thelargest M&A advisory assignments on Wall Street.

Hiring Process

“Small class size allows PWP to be highly selective. For target students, there’s a standard firstround on campus plus a final round Super Day. Post Super Day discussions can last six to eight hours.People are very passionate about hiring the right candidates. Feedback from candidates is that thetechnical component of the PWP interview is more difficult than at other banks.”

“Looking for technically savvy but extremely polished candidates; analysts travel and must be able tobe put in front of clients.”

“Ideally, candidates are team players, good with clients, technically strong, and understand the bigpicture.”

“The firm values quantitative skills, above all others, in analyst and associate positions.”

Interview Questions

“Typical interviews are a mix of fit questions and technical questions. While technicals are veryimportant (you won’t get hired if you fail the technical interviews), fit is equally important due to theimportance placed on firm culture. There is no room for those who aren’t team players.”

“Some technical questions, but almost no case questions or brain teasers.”

“What could be the reasons for two companies operating in the same industry trading at differentEV/EBITDA multiples?”

“Why do you want to do banking? Why our firm in particular? Any recent deals that you’ve heard ofor are following?”

Intern Experience

“Overall, it was a great experience. I felt like I was doing very relevant work on a major deal. Ithoroughly enjoyed working with the people in my firm, which is why I returned. I never felt like Iwas doing work for the sake of doing work. It was always work that mattered, and I always learnedsomething new.”

“Best aspects: Took on responsibility from the very beginning and the team made me feel at homefrom day one. Worst aspects: Working on a transaction with the London office, which madecoordination difficult.”

“Really enjoyed being on real live deals as well as the social events the company organized. There isgreat camaraderie at the company, and I really was looking forward to coming back full time.”

“Unparalleled access to senior management, but did not get a ton of technical experience during thesummer.”

Career Development

“The firm offers plenty of formal training, including regular lunch-and-learn sessions in addition tothe typical analyst/associate training programs. Each analyst and associate is assigned a mentorwithin the firm and receives informal training/mentoring from industry cluster leaders. The firm’spromotion policies are fair and equitable—not everyone is promoted, only those who deserve it. Thefirm does have a handful of international offices, and people have been known to switch offices nowand then. Internal mobility between industry clusters is very good. There is somewhat less mobilitybetween advisory and asset management functions, as one would expect.”

“Best: Part of the restructuring team, I am given access to clients and my supervisors are alwaysgetting me engaged and encouraging me to take the lead on projects. Worst: I’m not staffed on multipletransactions, which is narrowing the breadth of my experience.”

“Still a bit taboo to discuss exit opportunities as an analyst within the firm, though people aregradually growing to accept it.”

“You have the ability to take on extreme responsibility early on, but structural promotions are veryrigid.”

Quality of Life

“Firm culture at PWP is extremely strong, with Joe Perella and Peter Weinberg leading by example inthe advisory business. Junior team members get countless opportunities to interact with the founders,including dinners, social events, and sporting events. The firm has a strong sports culture, withpartners often sharing event tickets with junior bankers. The culture among the junior bankers is verycollegial, with analysts and associates looking to help each other and bond, rather than compete witheach other. This is a true differentiating factor vs. larger firms full of junior bankers looking to getahead at the expense of their colleagues.”

“Best: Better quality of life than other investment banks; face time is not important. Worst: Expected

to be on call all the time even on vacations and weekends.”

“Elite boutique hours are expected, but compensation reflects the incremental effort. Many analystchoose to settle for a Street-level bonus by working fewer hours.”

“Very understanding about weekends and trips. Encouraged to take time off when off intenseprojects.”

Salary and Benefits

“Pay is all cash, which is a huge plus over our competitors. Best non-cash perk is an on-site gym(renovated within the last six months) with beautiful locker rooms. This type of perk is unheard of fora firm this size.”

“For highly-ranked employees, our compensation is well above Street. The rumor is that bonus bandsare very wide.”

“Salary is slightly above market and the bonus is all cash. However, vacation time is not realvacation if you are required to be on call. Also, some other perks are being reduced such as medicalcoverage, gym, and free water.”

“Unfortunately the company has a strict business formal dress policy. Also, the firm has taken anumber of cost-cutting steps this year. This is the first year the company started charging for themedical coverage (it was free in the past). Also, the company has a poor 401(k) matching policy. Andthe firm discounted its discretionary profit sharing contribution to 401(k) accounts. It also startedcharging for using the gym.”


“Very diverse office. More international/minorities than other firms I am familiar with.”

“Firm has excellent diversity, among the best on Wall Street. Lots of female and minority bankersmake this a fantastic and accepting place to work.”

Business Outlook

“Great business outlook as the company is steadily growing every year and always adding partners.The firm routinely punches above its weight, landing assignments on some of the most prestigious andlucrative deals each year (look no further than the recent NYSE sale). Leadership is very strong withJoe Perella and Peter Weinberg being extremely active in day-to-day business. They are both visibleand accessible to all employees (including junior bankers). Due to the positive business outlook andstrong leadership, PWP’s morale is very strong among employees. Analysts recognize the amazingexit opportunities that are available to them, with mentoring and guidance from some of the topbankers in the world. Associates benefit from growing responsibility in a growing firm and findthemselves contributing meaningful work on some of the largest M&A assignments each year.”

“Deep bench of experienced partners. Given the small deal-team structure, junior bankers maintain

personal relationships with partners (including Peter Weinberg and Joe Perella). Yankees games withJoe and one-on-one dinners with Peter are common.”

“Strengths: the firm reputation is great on the Street. Weaknesses: Significant steps need to be taken totransform the firm to the next level. We need to build solid industry expertise, and partners need to bemore active in sourcing deals.”

“Strong business model due to M&A and restructuring capabilities.”

10. CREDIT SUISSE

11 Madison Avenue

New York, NY 10010-3629

Phone: (212) 325-2000

Fax: (212) 325-6665

www.credit-suisse.com

THE STATS


Stock Symbol: CS


CEO, Credit Suisse Group: Brady Dougan


THE BUZZ

“Good shop; they seem to be doing well”

“Solid platform and top 10 player, but have had some layoff and compensation issues”

“Good leveraged finance unit, strong energy and power practice”

“Perceived to have unfavorable comp practices”

UPPERS

“Outstanding culture: friendly, team-oriented workplace”

“Lots of responsibility given to employees early in their career”

“Extremely intelligent and hardworking people”

DOWNERS

“Compensation could be better”

“Long hours”

“Investment banking has taken a downturn in terms of public opinion”

RANKING RECAP


Best to Work For





#7 - Benefits

#8 - Philanthropy








#14 - Culture

#14 - Hours


Prestige

#6 - Prestige

Diversity

#2 - Diversity





#5 - LGBT Diversity

THE SCOOP

International player

Credit Suisse Group is one of the largest financial institutions in the world, operating in more than 50countries and employing more than 46,000 people. Its two primary business divisions are PrivateBanking & Wealth Management and Investment Banking. Credit Suisse's investment banking businessencompasses equities, fixed income, prime services, the advisory services, and research. Theadvisory services department delivers a full range of corporate finance solutions, including M&A,leverage finance, equity and debt financings, IPOs, and financial restructuring. Credit Suisse's historydates back to 1856; nearly a century later, as World War II raged in Europe, the bank opened its firstinternational branch (outside of Switzerland) in New York City in 1942. In 1978, the bank began apartnership with The First Boston Corporation in the U.S., acquiring a controlling stake in the firm 10years later (after which the bank was renamed Credit Suisse First Boston). In 2006, Credit SuisseGroup rebranded to create an "integrated bank," and its investment bank dropped the First Bostonaffiliation and became known as simply Credit Suisse. Unlike many of its competitors, Credit Suissemanaged to stay out of (negative) headlines during the worldwide credit crisis and did not need torely on government funding to stay afloat. In fact, the firm emerged as one of the handful of big banksrelatively unscathed by the crisis and, in 2010, was named the "Best Global Bank"by Euromoney magazine. Come 2011, like many of its competitors, it was also forced to reduceheadcount in the face of souring markets worldwide. But, unlike many of its competitors, morerecently it has avoided being embroiled in scandal. Today, Credit Suisse is led by CEO BradyDougan, who has held the chief executive position since 2007. The firm’s investment bank is jointlyoverseen by Eric Varvel and Gaël de Boissard.

SURVEY SAYS

Vault Verdict: One of the most prestigious investment banks in the world, Credit Suisse is lookingfor intelligent and self-motivated individuals with leadership potential. Ideally, candidates willhave excellent analytical, communication, leadership, teamwork, and quantitative skills. Thefirm’s internship program is a great learning experience where interns receive a lot of trainingand get to work on live deals, experiencing what it’s like to work as a full-time employee. Ingeneral, the firm takes a strong interest in its full-time employees’ career development, offeringsolid training programs and informal mentoring opportunities. The firm’s culture is a verycollaborative one, and Credit Suisse attempts to provide a good work/life balance for itsemployees. Face time is frowned upon, in general, and the firm provides several morale-building,

team-oriented events. That said, depending on department and business line, hours can be longand unpredictable and work/life balance not always easy to achieve. As for compensation, thebank pays in line with the Street but definitely not higher. However, the firm receives good marksfrom insiders with respect to diversity, and philanthropic initiatives are a focus of the firm. As forthe bank’s business outlook, it is rather bright. Credit Suisse has done a good job of reorganizingand refocusing its strategy. It has avoided being embroiled in scandal (unlike some of its peers).And its recent earnings statements have been strong.

Hiring Process

“On my campus, first-round and second-round interviews were two consecutive days, with a dinnerin between to meet the campus recruiting team. I really liked that we got to meet in a more intimategroup and in an informal setting—definitely made me feel more comfortable going in the next day.Also, I appreciated that it was quick. I think the ideal candidate is smart and driven, not necessarilywith a lot of finance background but who has clearly done their research, is sociable, and hasleadership qualities and potential.”

“We are seeking smart people who have the commitment to work hard in finance. They need to beself-motivated and appreciate that they will face an extraordinary learning curve when they start.However, the experience and exposure to high-level corporate executives at a junior level isunparalleled.”

“Credit Suisse looks for self-motivated, intelligent leaders. Whether hiring directly from school(either undergraduate or graduate school) or lateral hires, we have the same criteria. We have astrong ‘grow your own’ program so each hire is evaluated not only on his or her near-term potentialbut also on his or her long-term potential.”

“Our ideal candidate is strong in five areas: analytic thinking, communication, leadership, teamwork,and quantitative skills.”

Interview Questions

"We look for candidates strong in five areas: analytic thinking, communication, leadership, teamwork,and quantitative skills. Our interviews aim to be straightforward assessments of candidates' abilitiesand experiences in these areas. We try to avoid trick questions or puzzles, and instead focus on how athe candidate presents him or herself."

“Walk me through your resume. How would you value company X in the Y industry if I told you it hadZ percent of the total U.S. market share?”

“We try to spend time on campus well ahead of the interviewing process. It is far better to get toknow candidates before the formal interview than to try to first choose the candidates to interviewand then make decisions based on a 30-minute interview.”

“I interviewed for a summer analyst position; it was mostly focused on fit, with a few technicalquestions (basic financial statements, three valuation methods, DCF, etc.). ”

Intern Experience

Best parts: Senior management is very committed to the program. Everyone on the trading floor isavailable and ready to help you. And there are lots of social events during the summer with thedifferent desks and groups. Worst parts: It’s an intensive summer with long hours. And there are nogeneric full-time offers, only desk-specific ones. This means you need to find a desk that wants youduring the internship.”

“I had the opportunity to gain exposure to a thoroughly interesting project on state and local pensions.The culminating presentation to the entire department at the end of the department was challenging andrewarding. They had a volunteer event as well as a summer travel event. One of the key benefits ofthe intern program at CS is the integration of training for equity and fixed income participants acrosssales, trading, and research, which allows you to build relationships with a lot of people in differentareas.”

“The company takes stock in its interns, giving them opportunities to learn about other parts of thebank and plenty of networking opportunities. The downside of the internship is that you are expectedto hit the ground running after a short training period. At times, this can leave you feelingunderprepared, but really, everyone feels the same way, and most of the time they end up performingjust fine.”

“Got great training, saw lots of activity, and experienced actual deal flow. The people in the groupwere really glad to have the interns during the summer. I participated in live transactions and closedone deal during the internship. Worst aspects: not many, other than the fact that the internship is shortand thus you have to leave during the middle of a transaction/deal, which is not great.”

Career Development

“I think that they take an enormous amount of time to train us. I had 11 weeks of training this pastsummer. People in my group are very approachable and are always willing to help. I’ve worked withrelatively few teams, and so have had the opportunity to be informally trained by the same people,which I think is a good thing, as I feel comfortable asking them questions and for help. The formalmentoring program is not very strong, but I think that I have more than enough informal relationshipsto fill that void and would prefer it this way. Also, CS goes out of its way to accommodate liberalarts majors during training, which I really appreciated.”

“Credit Suisse offers excellent internal mobility and the way teams from different offices worktogether makes it very easy to understand what opportunities are available and how attractive thoseopportunities are. I transferred from Australia to New York approximately 10 years ago.”

"In strong markets, there seems to be numerous opportunities to move/advance your career. But inweaker markets, this is extremely difficult."

“Great experience. In general, mentorship is done informally at the group level, so group culture iscrucial. I would have appreciated more opportunities to reconnect with my banking class in a formalsetting, and to get access to training beyond the summer program. The firm is placing a greater

emphasis on promoting from within, so third-year offers are readily available.”

Quality of Life

“I think that my group has the best quality of life out of any investment banking group at CS. It’s afunction of the work that we do and the culture that the senior people promote. Since I’m in aleveraged finance/financial sponsors group, a lot of what we do depends on the debt markets, and wework a lot with the debt capital markets team, which typically leaves around 6 p.m. As a result, weonly stay late if we are waiting on our clients to send us something. I also think that the MDs in ourgroup understand that everyone wants to have a life outside of the office and thus limit the amount ofunnecessary work. We also don’t work on pitches as much as the other groups; we do far moreexecution work and our deals are generally quick to market. My friends in other groups generally staymuch later because they work on more pitches and have to make more turns before finalizing adocument. I think CS as a whole is much more laid-back than some of the other banks. The fact thatwe are business casual actually matters a lot and people aren’t as stuffy. Every group has some sort ofhappy hour event at the end of the week and some groups go on retreats together.”

“The firm as a whole tries to promote work/life balance, but obviously it is more difficult to put thatinto practice than policy. Within my group, it varies pretty widely among the senior people, but Iwould say that most of them are very understanding and generally do what they can to make our workhours more manageable. In terms of culture, I really do think that CS has great people and a wonderfulcompany culture—very collaborative and not nearly as competitive as I’d expected. My group does alot of morale-building events, whether it’s our weekly beer and snacks on. I think that these are prettywell appreciated by the junior people.”

“Our culture in IBD emphasizes sustainability, meaning the need to preserve our group’s energy andenthusiasm for the long run. We take a practical approach to staffing and workload, where face-timeis shunned (putting in hours simply for the sake of being seen rather than actually producingmeaningful work). We understand that a good manager or group head is someone who looks todevelop the talents of each team member, rather than one who tries to maximize the appearance oflong hours.”

“This is investment banking, so the hours are long. Relative to other banks, Credit Suisse is culturallymore relaxed—business casual dress, lower key people (as much as is possible in IB), etc. Quality oflife is primarily driven by group culture, so to the extent that senior bankers get to know juniors,quality of life can improve. Most events are therefore group-specific and dependent on the group’scommitment to quality of life/morale. That commitment has fluctuated, in my experience, betweengood and nonexistent as group management shifted and sentiment adjusted.”

Salary and Benefits

“My salary is in line with what every other first-year analyst gets paid with a few outliers. Themedical benefits at CS are amazing and my monthly premium (for medical, drug prescription, dentaland eye care) is about half of what my roommate (who works at another bulge-bracket bank) pays forhers and we receive comparable benefits.”

“Gym is nice; salary is fine.”

“I'm very happy with my firm’s compensation package. I’m making more than any of my friends out ofcollege, but I also work the most hours.”

“There is a lot of variance between departments in pay, regardless of performance.”


“I think CS does a great job of hiring women at the junior level—about half of my analyst class iswomen. Obviously there are fewer women at the senior level but this is a phenomenon that is commonin the entire financial industry. We hire lots of military veterans, mostly at the post-MBA level.”

“Philanthropic commitment is good—lots of exposure to our volunteering opportunities, both formallyand informally. I’ve gotten involved in two different organizations through senior people, and it’sbeen a great way to build relationships.”

“CS is very philanthropic. Employees can get one day off per year to support a cause of their own.”

“The firm is strongly committed to diversity, and there are a lot of strong networks at the firm thatchampion diversity, such as the women’s network.”

Business Outlook

“CS posted very strong first quarter earnings as a result of strong performance in our trading platform.One of the best things about CS is that we have stayed out of the media and are usually never involvedin any of the scandals that other banks are caught up in. Our CEO has remained in his spot throughoutthe recession and has done a great job making sure CS holds up and meets all of the regulatoryrequirements. As a result, I don’t have to worry about the stability of my job or my compensation.”

“The firm’s strategy is to remain client-focused and capital-light, with a commitment to the universalbank model (providing a relatively full suite of investment banking products to our corporate,institutional, and high-net-worth clients). I think it’s fair to say that Credit Suisse is a leader/firstmover in the post-Basel 3 universal bank industry. The firm is extraordinarily well positioned toprosper in a global market recovery.”

“The industry is obviously changing, but CS has done a great job of reorganizing and refocusing thebusiness to solidify its traction in the space.”

“Credit Suisse has aggressively positioned it business for the changing regulatory environment. Thisincluded shrinking the balance sheet, particularly in fixed income, and significant cost savings. Goingforward, we are extremely focused on growing the business.”

11. PETER J. SOLOMON COMPANY

1345 Avenue of the Americas

New York, NY 10105

Phone: (212) 508-1600

Fax: (212) 508-1633

www.pjsolomon.com

THE STATS


Founder & Chairman: Peter J. Solomon

2013 Employees: 71

THE BUZZ

“Strong boutique”

”Past its prime

“Good, old school consumer shop”

“Who?”

UPPERS

“Analysts get a lot of responsibility and direct contact with MDs”

“High compensation for the hours worked”

“The collegial culture”

DOWNERS

“Exit opportunities for PE/hedge funds not as good as at bulge brackets”

“Lack of a production team/not as much administrative support”

“No international presence”

RANKING RECAP


Best to Work For

#2 - Culture

#3 - Compensation



#4 - Satisfaction

#5 - Hours




#7 - Hiring Process




#12 - Benefits

#12 - Philanthropy

Prestige

#40 - Prestige

Diversity


THE SCOOP

Ex-Lehman Brother branches out

Peter J. Solomon opened his eponymous Manhattan firm in 1989. Before striking out on his own, theHarvard-educated Solomon had spent many years at Lehman Brothers. As of March 2013, the firm's

upper crust included the founding chairman, Peter J. Solomon; Frederick M. Seegal and Marc S.Cooper, vice chairmen; Kenneth T. Berliner, president; Kenneth D. Baronoff, managing director andchief operation officer; 15 managing directors; and four senior advisers. Peter J. Solomon Company(PJSC) offers strategic and financial advice to owners, chief executives, and senior management ofpublic and private companies. The firm's industry expertise includes retail, wholesale catalogdistribution; e-commerce, branded and unbranded consumer products; health care; mediaentertainment; technology and communications; energy, financial and industrial sectors. Since itsfounding, PJSC has completed more than 500 advisory assignments.

Business at PJSC is divided into five primary divisions: mergers and acquisitions; recapitalizations,refinancings and restructurings; financing advisory services; the special committee practice (whichprovides counsel to corporate boards and renders fairness opinions); and the family business advicepractice. But don't mistake this last division for something out of Norman Rockwell; PJSC advisesfamilies like the Fortunoffs, the Comers (who owned retail giant Lands' End), the Rabbs (formerowners of the Stop & Shop grocery chain) and the Wylys (who owned the Michaels craft supplystores, and entered into a $5.6 billion leveraged buyout agreement with Bain Capital and theBlackstone Group).

PJSC is a well-known powerhouse in retail deals—it advised on Phillips-Van Heusen's acquisitionsof Warnaco Group and Tommy Hilfiger and Walgreens' acquisition of New York drugstore chainDuane Reade—and from the beginning of 2009 through May 2010, the firm advised on a highervolume of M&A deals than any other investment bank, according to Bloomberg. During the period,PJSC advised on $5.6 billion worth of total merger and acquisition deals, which was more thanGoldman Sachs, Morgan Stanley and Credit Suisse, among others. In late 2012 through early 2013,the firm advised McKesson on its acquisition of PSS Worldwide Medical, and Office Depot on itsmerger with Office Max.

SURVEY SAYS

Vault Verdict: Ranked No. 11 in the Vault Banking 50, Peter J. Solomon is one of the top advisoryboutiques on Wall Street. As such, it recruits from a select group of top schools and is looking forintelligent, personable, hardworking candidates with strong quantitative skills. The firm has ateam-oriented collegial culture, and lean deal teams mean young bankers receive a lot ofresponsibility and a lot of interaction with seniors and clients. Compensation is said to beexcellent given that insiders work fewer hours, on average, versus most of its peers. Face time,meanwhile, is not required, and the firm offers generous benefits. As for diversity, the firm hasbeen focusing on increasing the number of female employees it hires, though it still could use somework in this area. With respect to business outlook, the firm’s consumer group has been a leadingone on Wall Street for many years and is well positioned to continue to land significant deals. Inaddition, the firm’s leadership is said to be very strong.

Hiring Process

“We usually conduct on-campus interviews and then sometime in the next week call back candidatesfor a Super Day in New York. The ideal candidate is smart and willing to learn. Additionally,candidates need to fit within our culture and that can be a huge deciding factor. We believe that we

can take anyone and teach them how to do the job, but not everyone can fit within our culture.”

“First-round interviews are done on campus at eight to 10 universities, and much of recruiting isfocused on these select top schools; there may be phone interviews with candidates from otherschools that are qualified. Second and final rounds are in NYC at PJSC’s office. Ideal candidatesshould have strong academic background, have finance experience (or at least be able prove theirinterest in finance), be able to answer basic technical questions correctly, and be able to fit into thefirm culture well.”

“PJSC typically looks for well-spoken candidates that fit in with the collegial culture and are strongquantitatively. Typically we do not hire from non-target schools. Candidates are usually notified of anoffer within one to two days of coming to NYC for a final-round interview.”

“Ideal candidate is smart, personable, and willing to work hard.”

Interview Questions

“Walk me through your resume. Why investment banking? Why PJSC? What other banks are youconsidering? Tell us about a deal that we have done that interests you.”

“Stronger emphasis on fit since we are a small firm, but also there’s emphasis placed on technicalquestions. Brainteasers are used less frequently than at other firms.”

“Very fit-focused and the standard valuation questions.”

“Typical investment banking interview questions about accounting and finance as well as personalquestions.”

Intern Experience

“The internship was great—a solid preview of the full-time program. It definitely influenced mydecision to return.”

Career Development

“Very lean deal teams—often an analyst, associate (or VP), and an MD—allow for analysts andassociates to take on high levels of responsibility. On the negative side, somewhat inconsistent dealflow and occasionally unbalanced staffing tendencies can result in lack of deal experience for someanalysts and associates.”

“PJSC has a great reputation in the retail space, which is one of the main reasons that I sought out thefirm. The best part about working here is the commitment of the partners to continue to grow the retailpractice and ensure that analysts play a significant role in the deals that we execute within that space.There are clearly certain groups that the firm is focused on, while other verticals may not get the samelevel of attention. It can be difficult if you are staffed on a project within one of the ‘less important’verticals since that is not where the partners’ focus lies.”

“Best: a lot of experience early on, interaction with clients, excellent exit opportunities Not the best:long hours.”

“You’re given the ability to work in a variety of groups and gain diverse experience, ranging fromreal estate to retail and consumer products to coal power plant restructuring.”

Quality of Life

“Firm culture is extremely collegial since it is composed of only about 47 bankers and we are a one-floor office. All the analyst cubicles are located in the same section and analysts usually eating lunchand dinner together in the office kitchen promote conversations, building of friendships, and groupsolidarity. Working directly with managing directors and getting to know them personally is a bigplus. Work/life balance is much better than at larger firms, particularly for second-year analysts, whousually have a first year staffed under them on projects and often have increased flexibility for beingout of town on weekends. However, a few senior bankers have little regard for junior bankers’ time.Otherwise, relative to bulge brackets, there’s not much to say negatively about PJSC in terms ofquality of life.”

“The firm makes an effort to build a strong, sustainable culture through events such as our annualsummer outing, ski trip, and the occasional happy hour. Additionally, the staffer knows which peopleare the busiest and will try to staff projects so that no one is too overwhelmed at any given moment.Furthermore, face time is not as important at PJSC, meaning that analysts could leave around 8 or 9p.m. if there is no work to be done. One particular challenge (which probably occurs at most places)is that at times it can be hard for first-year analysts and second-year analysts to contribute equally onprojects. Most times a second-year analysts will push all the work to the first-year analyst, and ittakes the first-year analyst six hours to do the work that the two of them could have done together intwo hours. I am sure this is a systematic problem, but I have noticed it here at PJSC.”

“Great work/life balance for an investment bank that does the size of deals we do. In general, wework selectively on assignments to most efficiently utilize resources. I find I have significantly moreof an out-of-office life than peers at other banks, yet I’m still able to get a superior experience.”

“Minimal face time required. Analysts are generally allowed to leave town for the weekend if dealflow is slow and they aren’t on any projects with a deadline early the next week or over the weekend.Negative is the lack of a production department and many resources that larger banks have. Thisresults in analysts having to engage in mundane tasks with regularity.”

Salary and Benefits

“The base salary is extremely competitive, and the signing bonus is on par. The free meals are a greatperk. Some of us are concerned that since we moved to a new building this year that analyst bonuseswill be down due to the costs associated with moving.”

“Analyst bonuses are good despite not working bulge-bracket hours. $25 dinner meal allowance isnice, as are free cabs on late weeknights and during weekends and on holidays. PJSC also covers halfof NYSC/Equinox gym membership.”

“Very high average bonus, and corporate membership package to Equinox and other gyms in thecity.”

“Ample and flexible vacation time but they do not match 401(k) contributions.”


“Although the large majority of the firm is male, PJSC, for the past several years, has actively soughtto hire more female analysts. Every year the firm interviews a larger proportion of female candidatesthan currently at the firm, but it has a hard time securing acceptances of offers, perhaps due to thecurrent male-majority workforce that turns women off. The firm can do a better job hiring peoplefrom more diverse ethnic backgrounds. PJSC does not sponsor international workers.”

“We make a strong effort to hire women. Although we try to hire more women, it does not seem to beworking. There is also a noticeable lack of minorities here. There is a ton of unnecessary printing andwe don’t have a very strong recycling initiative. We did do a charity event last year where we paintedplayground equipment, though.”

“The firm is very receptive to analyst interests in philanthropic efforts. Whenever analysts orassociates have wanted firm assistance for a philanthropic activity, the firm has been very supportiveand other coworkers have participated.”

“Very philanthropic. But not that green.”

Business Outlook

“Strong relationships with high profile clients and a very strong presence in retail and apparelsectors. Negative to the current state of the business is that a vast majority of deals are sourced fromhistoric relationships, and bake-offs are not commonly won.”

“We are so strong in retail that there always seems to be business. It is concerning that some of ourother verticals are not performing as well. Additionally, there were quite a few deals in the last yearwith some of our best clients, and some of us are concerned that the pipeline may be drying up.”

“Well positioned due to emergence of boutique banks as leaders in the merger market. Solid pipelineof new business and large transactions.”

“Tremendous leadership with lots of new senior level MDs and tremendous momentum around thefirm. We just doubled our office size.”

12. WILLIAM BLAIR & COMPANY

222 West Adams Street

Chicago, IL 60606

Phone: (312) 236-1600

Fax: (312) 368-9418

www.williamblair.com

THE STATS


President & CEO: John R. Ettelson


THE BUZZ

“Best of the mid-market”

“Chicago focus”

“Their research is good”

“For the Midwest, very interesting”

UPPERS

“Smart, hardworking, fun, good people”

“Compensation—the actual cash that ends up in your account, rather than the inflated multi-year stockdeals that NYC firms are peddling—is superior to that of similarly sized and even some of the largerfirms”

“Opportunity for extremely high levels of early responsibility”

DOWNERS

“Review process and performance evaluation procedures could be structured better”

“Lots of hours”

“Behind the curve on internal technology and operations”

RANKING RECAP


Best to Work For


#6 - Benefits


#7 - Compensation

#7 - Satisfaction


#8 - Culture



#8 - Hours



#9 - Philanthropy






Prestige

#33 - Prestige

Diversity


#15 - Diversity





THE SCOOP

Beyond Chicago

William Blair & Company is an employee-owned investment banking and asset management firmfounded in 1935 and headquartered in Chicago. In total, it has 12 offices on five continents in citiessuch as Boston, Frankfurt, London, New York, San Francisco, Sao Paulo, Shanghai, Sydney, andZurich. Recently, it expanded its presence in Asia, taking an ownership stake in BusinessDevelopment Asia, which has offices in Beijing, Hong Kong, Mumbai, Seoul, and Tokyo. WilliamBlair’s investment banking unit focuses on the middle market, executing mergers and acquisitions,public equity offerings, private capital raises, special situations and restructuring, and generaladvisory projects. Cross-border transactions are a hallmark of William Blair’s M&A practice;approximately 35 percent of the firm’s M&A transactions have been cross-border since 2010. In2012, the firm was named “Investment Bank of the Year” by Mergers & Acquisitions magazine, andin 2013, it was named the “Mid-Market Financial Advisor of the Year” by the Financial Times andmergermarket. In addition, William Blair regularly receives M&A and restructuring deal of the yearhonors, working for household-name clients such as Tumi, Pandora, Dunkin’ Brands, and CaribouCoffee. The firm is also known for its equity research unit, which earned three honors in The WallStreet Journal’s 2012 Best on the Street Awards, and six honors in the 2012 Financial Times/StarMine Analyst Awards. William Blair is led by its CEO, John Ettelson, and of the firm’s more than1,100 employees, 174 are principals.

SURVEY SAYS

Vault Verdict: One of the more prestigious investment banks in the middle market, Chicago-basedWilliam Blair is looking for hardworking, intelligent, motivated, confident yet humble candidateswho have a strong academic record and are eager to take on a lot of responsibility. The firm runsa high quality internship program where interns receive formal training, are treated like full-timeprofessionals, and get to work on live deals alongside senior bankers and clients. The firm’scorporate culture is extremely collegial and collaborative and is called a true meritocracy; earlypromotions are definitely a possibility for exceptional performers. Although insiders will worklong hours depending on department, seniors respect juniors’ time and a healthy work/life balancecan be achieved (many bankers have families and are able to spend time with them). As forcompensation, it is very generous. Insiders are paid in line with the Street average, with the added

benefit of receiving their compensation in cash (that is, not in deferred stock like some of itspeers). Diversity hiring is improving but could still use some work; insiders say more women atthe higher levels are needed. The firm’s philanthropic initiatives receive good marks, as does thefirm’s business outlook. William Blair is widely considered the best middle-market bank in theU.S., and it’s increasingly working on larger and larger transactions. As a result, employeemorale is very strong and turnover is low.

Hiring Process

“First and foremost Blair wants people who can perform, who are able to work intelligently, quickly,and with appreciation of the big picture. Blair also places a premium on personality fit. While thefirm is very hardworking, it also has a culture of politeness and consideration across all levels. Thesequalities are also necessary for the high level of client interaction that most projects entail.”

“Typical process begins with an on-campus interview and is followed by a Super Day of interviews.Ideal candidate is a highly intelligent, confident yet humble, self-motivated person who can thrive in aless-structured environment. There is a low tolerance for unacceptable social behavior withcolleagues. Everyone is treated with respect.”

“Looking for intelligent, hardworking candidates with high integrity who are able to interact withclients on their own and are excited to get deals done.”

“You need to be extremely motivated and hardworking, a self starter, have excellent judgment, theability to handle high amount of responsibility, and a strong ability to learn quickly.”

Interview Questions

“Standard interview questions that are relevant to banking with an emphasis on understanding Blair’sposition in the market.”

“Explain the concept of a DCF. How would you go about choosing a discount rate? How would youproject out the future years? How would you think about valuing a company? What is EBITDA? Whyis it important?”

“Discuss the three financial statements and how they interact. What is the significance of WACC?Why are leverage ratios important?”

“Candidates need to clearly articulate that they understand the job and what it takes to succeed.”

Intern Experience

“Best aspects were definitely the close interaction with senior bankers and the group camaraderie,which is unmatched anywhere else. Small deal teams afford flexibility for interns to gain exposure tosubstantial M&A execution work. Interns are able to partake in multiple deals at different phases ofthe process, so by the end of summer all interns will have a solid understanding of the execution ofdeliverables, strategic considerations, and diligence work that underlie the M&A process.”

“Best aspects were that it was an accurate portrayal of the full-time job (for the most part) and thatBlair’s approach to intern classes yields a more collaborative group dynamic with little competitionor tension between interns. The worst aspect was the technology: Blair is regularly behind the curve,particularly in the way they equip interns (and analysts).”

“Best: live deal experience, being treated and granted responsibility as though you were a full-timeassociate, close relationships built with senior bankers. Worst: steep learning curve.”

“Best: autonomy and ability to manage my schedule and work. Worst: it was a new program so theorganization of the program was not the best.”

Career Development

“They really take the time to talk to you about what you are looking for in a long-term role, both at thefirm and moving elsewhere. They will work hard to get you to a position that fits best for you.Mentorship is a big thing, and there is a solid understanding of work/life balance. Of course, thatdepends on the person you are working with, but I’ve had a great experience where my managers willbe flexible with me as long as I get the work completed and communicate with them in advance.”

“True meritocracy; early promotions are a realistic possibility for top performers. Broadly dispersedprivate partnership ownership structure provides attractive career path to equity ownership in thefirm on a much quicker timeline than public companies or closely held partnerships.”

“Even at the analyst level, there are opportunities to switch to the Boston, San Francisco, or Londonoffices if you really want to.”

“At Blair I have seen promotions happening at a regular pace. Between the end of my intern summerand the beginning of my full-time stint, multiple associates were promoted to VP, which wasreassuring. However, I do have some apprehension regarding the lockstep approach that still seems toprevail, and I am not confident that the leaders in my class will progress more quickly than thestragglers in a meaningful way. Moreover, I think the third-year analyst position is not managed well;it is supposed to be a job for the best of the best, but sometimes you also see people get third-yearoffers who are just hanging around after their first two years.”

Quality of Life

“Best aspect is people value performance over face time. Thus, there’s less pressure to spendunnecessary hours at the office or produce work for the sake of appearing to work hard. Worst aspectis William Blair is still a competitive place so all the typical banker pitfalls (long nights, weekends,challenging client demands, etc.) are still in play. There’s a good culture so at least you’re workingwith people you like, but that doesn’t mean the work isn’t tough to manage.”

“People will look out for you if you plan a commitment in advance, and if you are really good at thejob, people will look out for your personal life more because they want you to stick around. Worstaspect is that if you work with the wrong banker who likes to create a lot of work that is unnecessary(which you will get that anywhere), your life is terrible.”

“Long hours, which are to be expected in banking, but what is not typical is the amount of time/workable to be done from home. I have two kids and so in the evenings it’s important for me to be withthem. At least a couple nights a week, I am able to get home, eat dinner with the family, and put mykids to bed, then log back on from home to keep working.”

“The spirit of the place seems to aspire to promote a healthy work/life balance, but frequently thataspiration is not achieved, or it is achieved by some in such a way that puts a very heavy load onothers (especially on analysts). I have seen good analysts turn sour on the firm and/or leave muchearlier than expected, which is a symptom that they are being pushed too hard and which then makes iteven harder on the rest of a group. As Blair continues to grow and move into a different part of themarket with larger-sized deals, the firm needs a reality check on what it is asking of its people, and italso needs to recruit more effectively so that its analysts and associates are less hit-or-miss in theirquality and ability to do work. Bringing low performers in the door in the first place makes it harderfor the decent performers who have to pick up the slack.”

Salary and Benefits

“Highly competitive bonus packages, structured as all-cash up front with no deferrals, restrictedstock/options, or vesting periods. Base salary is on market I believe. Early promotion and partnertrack provide opportunities to accelerate compensation ramp more quickly.”

“Salary is in line with the Street, but little upside for strong performance.”

“Salary and bonuses are in line with the Street, with less cost of living in Chicago. We have arelatively lax expense policy compared to bulge-bracket banks.”

“Standard benefits. I’m disappointed that there’s no 401(k) company matching, but there is profitsharing after working here for a number of years.”


“Blair is not the most diverse workplace, but the firm is moving in the right direction in the context ofthe overall demographics of the industry. The firm is getting better on its paper usage—a lot of deckreview happens on iPads, which is better and more efficient. The firm takes service and philanthropyseriously and is a meaningful donor of time and financial resources.”

“There has a been a notable uptick in the diversity of new hires in corporate finance. The departmentand the firm still have a lot of work to do relative to diversity (both race, gender, etc.) amongst themore senior professionals. In terms of philanthropy, the firm and its principals and employees have along history of being generous and being involved in the community. In recent years, the firm hasstepped this up with some larger gifts and with more organized employee volunteerism. This has beengreat.”

“I think they really need to pay attention to having more women in senior roles. I know they areworking to get more people in junior roles, but when I look to other banks, there are a lot of womenon the deal teams and not just in a more administrative roles. I think they should work to either

promote more women from within or hire more women from other banks.”

“Extensive philanthropy firmwide, and the company is also very willing to contribute to employeesoutside philanthropic interests.”

Business Outlook

“I am very satisfied with Blair’s business outlook in both the short and long term. Our department’smanagement is very transparent with respect to our goals and performance and I feel we arepositioned well in the market.”

“Employee morale is generally very high and people enjoy coming to work. Turnover is low as aresult. Management takes an interest in each individual.”

“Blair’s prestige in Chicago is unmatched. Consistently delivers outstanding outcomes for clients.”

“Blair has grown substantially and in particular captured a much larger market share coming out ofthe recession. Management’s decisions so far have kept the firm on a strategically good track; thechallenge will be reconciling the ‘old’ smaller-deal mid-market culture with the needs and realitiesof where the firm is now and where it aspires to be.”

13. ROBERT W. BAIRD & CO. (BAIRD)

777 East Wisconsin Avenue

Milwaukee, WI 53202

Phone: (414) 765-3500

Fax: (414) 765-3633

www.rwbaird.com

THE STATS


Chairman, President & CEO: Paul E. Purcell


THE BUZZ

“Great research”

“Regional player with some relationships”

“Mid-market, Midwest-oriented”

“Nice guys; rely heavily on their fleet of brokers”

UPPERS

“Best corporate culture in investment banking”

“Deal flow/market momentum”

“Leadership and talent of management team”

DOWNERS

“Hours”

“Fighting against client biases to go with the bulge bracket”

“Training”

RANKING RECAP


Best to Work For


#5 - Philanthropy

#6 - Culture



#8 - Benefits



#9 - Satisfaction


#10 - Compensation





#11 - Hours



Prestige

#36 - Prestige

Diversity

#6 - Diversity


#6 - LGBT Diversity




THE SCOOP

M&A and more in Milwaukee

Milwaukee’s Robert W. Baird & Co. (better known as Baird) offers wealth management, capitalmarkets, asset management, and private equity services to clients worldwide. The firm has more than$104 billion in client assets, and during 2012 it advised on 166 M&A and financing deals with a totalvalue of over $43 billion. The firm’s history dates to 1919, when Robert Wilson Baird, one of thefounders of the National Association of Securities Dealers, was named lead partner of the FirstWisconsin Company, the securities division of the First Wisconsin National Bank. Baird rose tobecome president of the division, which was later spun off and renamed the Securities Company ofMilwaukee Incorporated. By 1948, the firm had obtained a seat on the NYSE and assumed its currentname, Robert W. Baird & Co. Baird, the firm, gathered its strength in Wisconsin in the 1980s,becoming the state's top investment bank before embarking on a strategic expansion in the 1990s. Thisled to the opening of dozens of new offices in the U.S. and Europe. Today, the firm has more than 100offices in the U.S., Europe, and Asia, and is owned by its employees. In 2013, Baird ranked No. 14on Fortune's 100 Best Companies to Work For list, the bank’s 10th consecutive year on the list. Bairdis led by Paul Purcell, the firm’s president, CEO, and chairman. The firm employs more than 2,800people.

SURVEY SAYS

Vault Verdict: A well-known middle-market investment bank based in the Midwest, Baird islooking for hardworking self-starters with excellent communication skills, a strong understandingof finance and accounting, and the ability to work in a collaborative environment. The firm runs avaluable internship program where interns work on live deals and get to interact with seniorbankers and clients, basically working as full-time employees. The firm’s culture is highlycollaborative; Baird is filled with extremely friendly people who are very willing to help eachother out. Since Baird is a well-known, successful firm, deal flow is strong. As a result, juniorbankers will work on many live deals. This means they’ll get a lot of deal experience and are givena lot of responsibility. However, work/life balance can suffer as a result. Even so, the firm is veryunderstanding of outside commitments, especially events such as weddings and births.Compensation, meanwhile, is in line with the market and paid in cash; another plus with respect topay is the relatively lower cost of living in the Midwest as compared to the East and West Coasts.Benefits, meanwhile, also receive good ratings; the firm provides very strong medical coverage, agood 401(k) matching plan, and a nice profit sharing plan. Diversity hiring practices receive no

complaints from insiders, and the firm has several diversity-related affinity groups that are active.As for the firm’s business outlook, it receives excellent ratings. Baird is well positioned in themiddle market and poised to continue to grow. In fact, insiders note that Baird has a very fullbacklog of deals.

Hiring Process

“A typical entry-level candidate will be interviewed informally via phone or in person by one to twomembers of the team. If acceptable, they will be invited to a formal Super Day—a process with adozen or so other candidates in which you are all interviewed by six to 10 people. Following thisSuper Day, we make a decision and extend an offer or not. This is the typical process for associatesand analysts. The process for senior bankers differs.”

“Baird targets people committed to working hard with none of the drama or self-obsessed qualitiesstereotypical of Wall Street and the industry in general. Wanting to be at a Midwest-based bank andfitting with that culture are key qualities.”

“Phone interviews, sometimes preceded by an online video montage, and then usually an in-officeSuper Day. We are looking for someone that knows what they’re getting into, is hardworking, andshows good judgment and common sense.”

“We always look for independent, self-starters that can integrate into a team quickly and assume a lotof responsibility. The firm’s interview and callback process is one of the best and most efficient I’veseen.”

Interview Questions

“Primarily focused on quality of education and prior experiences, aiming to answer the question, ‘Canthis person do the job?’” If the answer’s yes, we’ll interview them and really focus on cultural fit.Questions are in line with these two focus areas.”

“Key focus on cultural fit and ‘Why Baird?’ Technical questions will focus mainly on valuation,basic corporate finance, and accounting.”

“Walk me through a DCF analysis. Writing sample. LBO model for associate candidates.”

“At 3:15 p.m., what is the angle between the hour and minute hands on an analog clock?”

Intern Experience

“I had a great experience as an intern at Baird. I actively participated in multiple live transactions,which provided me the opportunity to develop my accounting, valuation, communication, andworkflow management skill sets, as well as gain a good understanding of the banking business. Also,Baird did not sugar coat the experience. By summer’s end, I was playing the analyst role on multipletransactions.”

“Best parts: loved the people, got a great experience working in a wide variety of industries, given

real responsibility, the firm made sure that I had exposure to the MDs, and the one-on-one lunches andother events. Worst part: long hours, as expected, but nothing unreasonable.”

“I was given a lot of responsibility, and the internship provided a realistic view of theresponsibilities of a full-time analyst.”

“Best part was the immediate exposure to live deals with real responsibilities.”

Career Development

“Baird offers entry-level employees the opportunity to have a long-term career with the firm—Bairdoften promotes analysts to associates, which is not the industry norm. Baird also offers multiplecareer development opportunities. Most notable is the Baird Scholar program, whereby the firm paysfull MBA tuition for top performing associates if they decide to return to school (includes full-time,two-year programs).”

“Baird is one of the few banks that continues to fund MBAs for high performing bankers that wish toreturn to the firm after business school. Additionally, it is one of the few banks that encourages andwants its analysts to continue on in the firm and be promoted. The degree of loyalty that results fromthis among employees is incomparable to anything else out there.”

“The training program is light on actual on-the-job training and is more of a ‘welcome to the firm’event. The best aspect is the ability to transition to other teams, offices, or departments within the firmto best suit an employees changing needs.”

“Substantial opportunities to work in international offices. Weak mentoring and training infrastructureonce one gets passed the orientation phase.”

Quality of Life

“Baird’s ‘no [jerk]’ policy definitely impacts the type of people we bring in. Everyone I’ve interactedwith has been courteous and professional. We don’t have any screamers, and most people understandthat sometimes mistakes happen. There is not a lot of pressure to put in face time. If I can take a longweekend or a vacation, my superiors are happy for me. The job, however, is very demanding, andthose opportunities are very limited.”

“In investment banking at Baird, you will work very, very hard. I do not know any analysts at anyother bank that have worked as many hours this year as my analyst class in Milwaukee at Baird. Thatsaid, the culture is so encouraging and team-focused that it makes the hours much more tolerable.Management likes hardworking, happy people and has found the right formula to make that result.”

“The firm goes out of its way to make sure that staff are able to make major family/life events. You go‘off the grid’ entirely for weddings, honeymoons, births of children, deaths of family members. Thefirm understands this is still a client-focused business but they make every effort to ensure you getmaximum flexibility with life events occur.”

“As a junior and mid-level banker you typically get great access to the client and senior leadership.The hours are very long, and the work/life balance is nearly nonexistent.”

Salary and Benefits

“Best thing is the opportunity to become a shareholder. Baird’s stock has increased 200 percent in thelast decade, which has made my ownership in the company worth a great deal. But it is not only aboutthe financial benefit of being a shareholder; it is also the mentality we all have that this is ourbusiness and we are the ones who can make it better. We don’t have to rely on outside sources ofcapital to succeed. Being in that kind of private partnership is what investment banking should reallybe all about.”

“The best part is that in Milwaukee the cost of living is, on average, one-third of what it is in NewYork. So in real dollar terms, I make three times what my counterparts in New York make, eventhough our gross salaries are fairly standardized industry-wide.”

“Very good and fair compensation. Very generous profit sharing and 401(k) match programs.”

“The company offers a good benefits program, with strong medical coverage, market employer 401(k)match, and a nice profit sharing plan. Compensation is average, but the fact that all comp is paid incash is a very nice perk.”


“Baird has an expressed commitment to building a diverse workforce. The firm has three resourcegroups focused on women, individuals of color, and gay and lesbian employees. All of the groupshave (and are encouraged to have) members who do not fit the specific target of the group. Forinstance, several male employees are members of the women’s resource group, and severalheterosexual employees are members of the LGBT resource group. One of the greatest champions forthe firm’s diversity efforts is our CEO. And it just so happens that the chief operating officer for theinvestment banking group is an openly gay, African-American male. So if that is not the firm showingsupport for diversity, I’m not sure how much better it could be.”

“We do a lot of philanthropic activities, but not a lot of green initiatives.”

“Baird is extremely active in community endeavors, both in terms of volunteering and monetarysupport, primarily focused on the United Way and Milwaukee’s UPAF organization. The BairdFoundation and multiple associate resource groups support these efforts, as well as dozens upondozens of other efforts spanning communities where our associates work.”

“Every other week there is an optional donation pool to some local or national charity. If you donate,you can participate in ‘casual dress’ day. This program is widely participated in. This makesemployees like me who work all the time feel like they can still contribute to the broader good.”

Business Outlook

“There is tremendous momentum in the business, which means a very high level of deal activity andflow. On the positive side, that means a lot to work on and learn from. On the negative side, it meansthat we are nearly reaching capacity and that can lead to dampened morale. We are very wellpositioned in the middle market and continue to take share.”

“Baird provides great transparency in terms of how the company is performing and our futurebusiness strategy.”

“We have a global platform that operates on a unified basis. There are no individual P&Ls for sectorteams, individual offices, or different geographies. As a result, teamwork is encouraged andrewarded. This has allowed us to win several high profile mandates while also maintaining a corefocus on our target middle-market clients. I feel really good about the prospects for Baird and ourdepartment in the future.”

“Baird has a lot of very strong relationships in the middle market. We have a very full backlog. Ourbiggest worry is having enough bodies in the office to take on all the work we have—a very goodproblem to have.”

14. LAZARD

30 Rockefeller Plaza

New York, NY 10020

Phone: (212) 632-6000

www.lazard.com

THE STATS


Stock Symbol: LAZ


Chairman & CEO: Kenneth M. Jacobs


THE BUZZ

“One of the best on the Street”

“They used to be better”

“Strong team”

“Tough to work there; elitist culture; not good people”

UPPERS

“Highly prestigious firm”

“Incredible deal flow—deal exposure is unrivaled”

“Fantastic exit opportunities”

DOWNERS

“Hardest working shop on the Street—work/life balance can be tough”

“Competition among your peers”

“The people”

RANKING RECAP


Best to Work For



Prestige

#5 - Prestige

Diversity


THE SCOOP

M&A masters

Called the “Granddaddy of M&A,” Lazard has advised on some of the most significant mergers andacquisitions in Europe and the Americas since the mid-19th century. The firm's modern history can betraced to 2002, when dynamic dealmaker Bruce Wasserstein (whose negotiating skills earned him thenickname “Bid ‘Em Up Bruce”) took over the helm of the firm, becoming chief executive.Wasserstein (who died at the age of 61 in October 2009) had a plan when he took leadership of thecompany: to expand the firm's business so that the Lazard name would be known throughout theworld. The firm went public in 2005, and today, Lazard's influence indeed reaches almost everycorner of the globe. At Lazard, there are two main business units: financial advisory and assetmanagement. Financial advisory accounts for approximately 55 percent of the firm's revenues, whileasset management accounts for about 45 percent. A couple of Lazard's latest high-profile M&Aassignments include advising Barclays PLC on its $13.5 billion sale of Barclays Global Investors toBlackRock, and advising InBev on its $52 billion acquisition of Anheuser-Busch, the largest cashdeal in history. Lazard’s asset management business is mainly comprised of equity products (almost85 percent), but it also offers fixed income and alternative investments. Lazard's principal executiveoffices are in New York, London, and Paris, but it has offices in 42 cities across 27 countries. Itemploys approximately 2,466 employees and is led by its chairman and CEO, Kenneth Jacobs, whohas been with the firm since 1988.

SURVEY SAYS

Vault Verdict: Ranked No. 5 in Vault’s Prestige Rankings, Lazard is one of the most prestigious(and oldest) names in investment banking. As such, the firm only recruits top-tier candidates fromtop-tier schools. Ideally, candidates are highly intelligent, motivated, and mature, and willing towork exceptionally hard. Interns will work on live deals and interact with senior bankers—and

will work very long hours. Full-time professionals will work on some of the largest, most highprofile and interesting deals on the Street, gaining unrivaled deal experience. Work/life balance issaid to be difficult to achieve, if not impossible; hours are called brutal, especially in M&A, wherejunior bankers regularly work 90-hour weeks. However, the learning experience gained at Lazardis perhaps unmatched on Wall Street, and the firm’s compensation and benefits are on par with theStreet average. Diversity and philanthropy, though, receive low marks from insiders. As for thefirm’s business outlook, although employee morale is said to be low, Lazard is in a good positioncompared to several of its peers that fell out of favor post-financial crisis, and the firm shouldcontinue to thrive.

Hiring Process

“Looking for intelligent and motivated individuals with a strong work ethic.”

“On-campus recruiting and the in-office Super Day were fairly straightforward. I believe the firmseeks to hire smart people who are willing to work exceptionally hard.”

“Firm seems to stress intellectual strength.”

“Interview process typically runs efficiently. Ideal candidate would be someone who comes off asmature and professional.”

Interview Questions

“All the standard Vault Guide finance questions ($10 depreciation flowing through the threestatements, accretion/dilution in cash versus stock deals, etc.). Fit questions tend to ask about one’smotivation for pursuing banking, long-term career goals, and assessment of relevant characteristics.”

“Basic technicals such as methods of valuation, walking through the effects of transactions/eventsthrough income statements, etc.”

“Accretion/dilution questions. Explain valuation concepts (DCF, comparables, etc). Questions onunlevered and levered returns.”

Intern Experience

“Best parts were level of responsibility and exposure. Interns will be able to run their own books forsmaller projects and pitches, and will get staffed with full-time analysts on industry-leading mega-deals. Worst part is intern pay is not hourly like it is at a number of other leading banks across theStreet. So while you will be paid more than almost every other possible internship one could have incollege, you will have friends at certain other top banks making double what you are because they arebeing paid overtime.”

“Best experience is that you get to work with different groups. Worst aspect is that you getcoddled/protected to a certain extent from the actual work environment since you deal primarily withanalysts, which means the full-time experience/culture is very different from the internship.”

“Very real experience driven by sophisticated analysis of complex situations. Everything I worked onwent to a client (and not into some internal file).”

“Best aspect was the level of interaction and roles on live transactions. Worst part was the quality oflife issues associated with working 100-hour weeks.”

Career Development

“The firm takes initial training fairly seriously, and always made Training the Street resourcesavailable. It further offered continuing development classes during the first six months. My group inparticular is especially interested in analyst development and provided additional initial modelingtraining, as well as a lot of informal mentorship. Mid-level bankers have been genuinely helpfulanswering technical questions and providing day-to-day advice to analysts. However, I cannot thinkof a single analyst who anticipates staying beyond the end of their two-year program. I think this isdue more to the firm’s approach to promotion than to the experience on the job. Until very recently,we heard almost nothing about staying on for a third year, let alone direct promotion to associate.Almost all the associates at the bank are MBA campus hires. Accordingly, most everyone beganpreparing for buy-side interviews in earnest. Then, just as recruiting kicked off, HR shared its plan toask for direct associate promote nominees from each group head/staffer, with the timeline forapplying precisely overlapping with buy-side recruiting. In addition, the bank is discontinuing thethird-year analyst position. Given the previous lack of promotion prospects, most analysts have beenrelatively transparent about their recruiting efforts, and mid- to senior-level bankers have been knownto go to bat for their analysts. Now, none of the analysts has a credible claim to seeking an internalpromotion.”

“Robust and well-designed process of internal promotion. New analyst program features a directpromotion to associate after two years as an analyst (removing the third-year analyst role). For moreexperienced employees, if you are not successfully promoted after three years (when put up forpromotion), you are generally let go.”

“Lazard typically does not promote analysts to associates, but recently they have started an initiativeto hire from within. This entails going through an internal Super Day in order to be considered for apromote.”

“A politically charged environment makes international opportunities and any group-transferringpossibilities difficult. Frequent over the phone (or in person in the HQ) knowledge sessions serve ashelpful reminders on financial modeling and issues. But lack of formal mentorship program and focuson individual development is concerning.”

Quality of Life

“There have been a couple individuals who specifically went out of their way to openly discussquality of life, work/life balance, and employee development, and those members of the firm haveserved as unofficial teachers to the junior bankers in the office. The individuals I work with are apleasure to be around, and we learn much from each other on a daily basis. However, few mid- orsenior-level bankers really look back down the chain to make sure that their employees are being

developed. Culture is not conducive to success in and outside the work place, as those working aboveyou have a very different agenda than other constituents in the group. The most difficult element beingthat working outside the HQ is difficult, as those in other offices are forced to make assumptionsabout the quality and development of employees they have minimal to no interaction with.”

“In certain groups, face time is less relevant than completing the work with a high degree of quality.In other groups, face time is extremely important.”

“Workload is brutal. Work/life balance is nonexistent. Can be a painful experience.”

“My group culture is very strong and supportive of analysts, and there is a meaningful level ofopenness among junior and senior bankers. There is also very little face time in my group. However,the groups are very siloed and interact relatively little with each other. When a client asks foranything, there is no stopping the relevant MD from assigning three times as much work as requestedand expecting it to be completed in half the time reasonably required. That is, life is often stressful,and hours are often long. But the time is spent (or wasted) on work product, rather than face time.”

Salary and Benefits

“I expect my bonus this summer to be on par with Street. Seamless allowance and cars/cabs at nightand on weekends are clutch. We have a pretty good health plan as well. But I would like a gymmembership reimbursement.”

“Competitive medical and 401(k) benefits. Difficult to identify and reward top performers away fromHQ (they have less exposure and must break false perceptions of satellite offices lacking in employeequality). Very little transparency on compensation process and very little legitimate feedback makeyear-end period more frustrating and stressful.”

“Pay is—and always has been—highly competitive. Benefits could be more fulsome (for example,there’s no on-site gym).”

“Pay is below the Street.”


“Firm tries to promote diversity, but the pool of candidates that applies is very small. I have neverseen a firm or company that does not even talk about philanthropy or helping the community aroundthem—until I came to Lazard. Not saying this is positive or negative, but it is different.”

“All white/Asian. All male. No philanthropy of note.”

“There is a relative shortage of women in my analyst program (two women among 20 analysts in NewYork) and across the advisory divisions more broadly. Otherwise, racial/ethnic/sexualorientation/background diversity is acceptable.”

“Lazard does not have a charitable matching program.”

Business Outlook

“Our advisory division does well in an economic acceleration (when M&A is active) as well as adownturn (when restructuring is active). I think the emphasis on our asset management platform maybe misguided, but assets under management continue to grow, bringing fees along with them. I dobelieve that the firm’s managers are smart, competent people who are invested in the long-termsuccess of the bank.”

“The general market in which we operate looks to be improving, but there are significant cautionsigns that worry me as an employee. Morale is at an all time low, and there is a lack of professionaldevelopment and direction. The firm must do all it can to identify and retain top talent from the junior-level upwards. Lack of senior banker focus on issues at the mid- and junior-banker level is veryconcerning.”

“Unbiased advisor that doesn’t need a balance sheet to get engaged. The Lazard model will gain sharegoing forward.”

15. RBC CAPITAL MARKETS

Royal Bank Plaza 200 Bay Street

Toronto, M5J 2W7

Phone: (416) 842-2000

Fax: (416) 842-8033

www.rbccm.com

THE STATS


Stock Symbol: RY

Stock Exchange: TSX

Co-CEOs: Doug McGregor & Mark Standish


THE BUZZ

“I’ve heard good things”

“Canadian-focused”

“Decent bank”

UPPERS

“Great people”

“Good pay”

“Leader in Canada, growing rapidly in U.S.”

DOWNERS

“Extremely rigid promotion policy”

“New talent coming in leads to uncertainty”

“Still relatively small compared to the top investment banks”

RANKING RECAP


Best to Work For



#11 - Philanthropy

#12 - Compensation


#12 - Hours

#12 - Satisfaction




#15 - Benefits



Prestige

#23 - Prestige

Diversity



#12 - Diversity



THE SCOOP

Royalty in its blood

RBC Capital Markets provides investment banking products and services to institutions, corporations,governments, and high-net-worth clients around the world. It has more than 6,700 employees whowork out of 70 offices in 15 countries and serve clients throughout North America, Europe, and theAsia-Pacific region. RBC Capital Markets is part of the Royal Bank of Canada, which was foundedin 1869 and has $810 billion in assets. The Royal Bank of Canada has one of the highest credit ratingsof any financial institution, and by market capitalization, it ranks among the 15 largest banks in theworld and top five in North America. Until 2001, RBC Capital Markets was known as RBCDominion Securities. The former Dominion Securities was created in 1901 and purchased by theRoyal Bank of Canada in 1988. More recently, RBC Capital Markets held on during 2008 when theworldwide recession hit. In 2008, the bank also hired nearly a dozen former Bear Stearnsemployees. Since then, RBCCM has added more than 100 high-profile bankers and traders from otherbulge-bracket firms. In addition, it has not one but two co-CEOs: Mark Standish and DougMcGregor. For many years, the firm has had a leading presence in Canada, consistently topping theinvestment banking league tables in the country. It has also been gaining ground in the U.S. and globalleague tables, ranked in recent years among the top 15 firms in U.S. as well as worldwide M&A dealvolume.

SURVEY SAYS

Vault Verdict: Widely considered the top investment bank in Canada, RBC Capital Markets is alsoa growing I-bank in the U.S. Its hiring process is competitive, and though the firm recruits fromnon-core schools, it can be more difficult to land an interview if you don’t attend a top-15university in the U.S. or Canada. The ideal junior candidate is passionate about finance,entrepreneurial, humble, hardworking, smart, and personable. The firm’s internship programreceives good marks from insiders—interns will receive a lot of hands-on experience and get towork on live deals; they also work long hours. Full-time employees report that formal training isimproving at the firm, and say that there’s a decent amount of focus placed upon juniors’ careerdevelopment. RBCCM’s culture is said to be very collegial, and as for working hours, they vary bydepartment but, on average, are less than what you’d find at bulge-bracket banks. Salaries andbonuses are on par with peer firms, and perks are standard. The firm is said to focus on creating adiverse workforce, although some insiders note that white males still predominate the employeeranks. Philanthropy is another focus of the firm, and as for RBCCM’s business outlook, it’s verygood. The firm has been hiring while peer firms contract, and it’s poised to continue to grow in theU.S., leveraging its No. 1 standing in Canada.

Hiring Process

“We have ramped up hiring through our internship program over the past few years and look to fill themajority of the incoming class through it. Getting an interview at certain core schools (Columbia,Cornell, Duke, Michigan, NYU, Penn) is very competitive, with hundreds of applicants competing foronly 14 or 15 interview slots and two to three offers. Top candidates at non-core schools who standout from the pack are valuated as well, and account for a significant portion of our incoming class.”

“The ideal candidate is passionate about finance and the markets. She is entrepreneurial, a self-starter, and reasonably aggressive in that she will go out and get what she wants. The ideal candidatehas an opinion about the markets and is able to voice that opinion. She is also a hard worker who ishumble, exhibits humility, and understands that on any team there are rolls to be filled. The mostsuccessful people on the desk are those who are genuinely interested in the financial markets, arepersonable, smart, and work hard with the right attitude (no ego).”

“We will notify all interviewed candidates if they are not selected for a final round interview. We arelooking for smart, hardworking, interesting, personable, competitive people with a track record ofsuccess in all areas of life. They should be down-to-earth, humble, eager, and an overall good andethical person.”

“Very difficult to get into the process for students at non-core schools and for students who are not inthe New York City metropolitan area.”

Interview Questions

“Where are you investing your money? Tell me about a company you are following. Where do you seeinterest rates going”?

“Tell me a joke. What is going on in the economy? Do you think Apple is a good buy?”

Pick one of the following—gold, oil, U.S. 10-year interest rates, or the S&P 500—and tell me whereit has been, where it is, and where you see it going in the next six months and why. Talk to me aboutthe shape of the yield curve. So you think WACC is appropriate for all investments? What wouldhappen to your DCF valuation if you discounted FCFE by WACC? Do you believe in the EfficientMarkets Hypothesis? How do you value a mining company? What multiples are most appropriate?Can you think of any good reasons why a gold company would trade above its P/NAV?”

“Walk through the three financial statements. Where is the world headed?”

Intern Experience

“I was given the opportunity to work in a variety of roles in the capital markets business fromcorporate finance to equity and credit research. I really have nothing negative to say about myinternship experience.”

“Best aspects were the lifestyle and access to senior bankers—lots of responsibility and freedom.Worst aspect was that it was a relatively slow summer and deal volume was low.”

“You have the ability to experience the overall feel of a trading floor as well as sell-side aspects ofthe industry. Having to stay on one desk for the entire summer is both good and bad.”

“Best parts: increased responsibility by the end of the summer and working as the sole analyst onprojects. Worst part: constantly given work by junior bankers at late hours of the night with littlerespect for my time.”

Career Development

“There is some effort placed on career development for certain individuals, which would lead one tobelieve the opportunity could exist for all employees. The management team does, on occasion, hostinternal training sessions to assist in technical skill development. There does not seem to be any clearpolicy on how or when employees are promoted; verbal explanation of the process seems to changeaccording to current situation.”

“There is very little formal training that can be done in preparation for a career on a trading desk.Aside from basic technical knowledge, all of your learning is done on the desk. There are so manydifferent desks and people to learn from that it is really up to you to learn as much as you can. All ofthe information is there for you to learn, you just have to go out and get it. Highly motivated self-starters do very well here and move up fast.”

“Formal training has improved but still lags behind some other peers. On the flip side, our analystsand associates ramp up much faster than at other banks and are working on live deals very early intheir time at RBC. RBC will promote those deserving of it and does not have quotas. It tries very hardto develop people internally and place them in positions to succeed.”

“I transferred internally last year. It took six months from the time when I got an offer from one groupuntil I actually started. For that reason, I would say it is difficult to transfer to other areas within thefirm. It would have been quicker to transfer externally, which should not be the case.”

Quality of Life

“Maintaining a work/life balance is always a challenge in finance. In my current role, I’m in at 6 a.m.and usually done before 6 p.m. (weekends are free). There is still work to be done after hours, bothwith clients and on your own, but it’s up to you to manage that. With a bit of discipline and foresight,you can maintain a very healthy work/life balance without sacrificing career progression. The hourson the desk are fewer than those in other aspects of finance (i.e. investment banking, research), butthey are intense hours. While you’re at the desk, you typically do not leave. It’s a sprint.”

“Work hours tend to vary by industry group, with product groups generally working heavy hours.Given the good deal flow, hours in the office are typically well spent, working on deals and not doingbusy work. Face time is not very important at RBC.”

“Quality of life will always be a trade-off when working in investment banking, especially if youwant to be working on high quality, live projects. However, I have always received a lot ofappreciation from senior bankers and acknowledgement of my hard work from clients. RBC has donea great job of hiring, and I have not encountered any bad personalities. There is also a strong sense ofteamwork and understanding to help others keep their personal commitments.”

“Highly volatile and depends on capital markets. I would say every group goes through atransformation from legacy RBC to bulge-bracket culture, which will undoubtedly bring in additionalhours. Because of our strengths and weaknesses, I would say we have better hours than most bulge-

bracket shops. As we bring in free agents from other firms such as Barclays, hours have increaseddramatically. Talent has as well, which is great, too.”

Salary and Benefits

“Best aspect is I guess the bonus. Base salary and benefits/perks aren’t the greatest.”

“It has taken me five years to earn a base salary that’s somewhat comparable to what most enter thefield make; this has been frustrating, but a recent adjustment has helped. The bonuses that I havereceived have been generous, but I am completely in the dark as to how bonuses are allocated andwhat metrics are evaluated to determine bonus amounts.”

“Total compensation is very competitive at the analyst through VP level as it relates to other banks.RBC never had a bad compensation year during the entire financial crisis; unlike peers at nearlyevery other bank, RBC never had a ‘donut’ (zero) bonus year.” Having a transparent compensationstructure goes a long way to keeping people happy.”

“Medical and long-term compensation such as 401(k) matching is far better than at bulge brackets.Very cheap on cell phones.”


“There is a strong focus on diversity, sometimes even in favor of hiring the best possible candidates.RBC supports various environmental causes, but our energy and paper usage in the office couldcertainly be reduced. RBC supports a variety of community events.”

“There are several initiatives, meeting groups, and programs that are aimed at highlighting diversitywithin the firm, but the employee footprint still appears to be white, male, heterosexual dominated.The firm seems to spend a good amount of time and dollars on green initiatives and philanthropicinitiatives.”

“RBC is very active in the NYC community, sponsoring Big Brothers & Big Sisters and RonaldMcDonald House, among others. RBC is also the lead sponsor of RBC Decathlon, which is afinancial services-wide event in which athletes compete in events and raise a significant amount ofmoney for Memorial Sloan Kettering.”

“Focus on diversity hiring. Special initiatives are ongoing to ensure we attract the best and brightestfrom all backgrounds. Big marketing push with RBC Decathlon.”

Business Outlook

“Best parts: Our growth trajectory, the stable employment, and we’re a growing franchise,particularly in leveraged finance and M&A. Worst part: We need to continue to push up-market;we’re still working on smaller deals.”

“Our business outlook is one of the top reasons to work for RBC. I have full confidence in theleadership and the direction of our investment banking division and the firm overall. We have had

town hall meetings where the global head of investment banking sits in the same room as everyone inour division, and we actually have a conversation. Because we are lean, we know that all employeesare important and have an impact. I do not have any of the concerns of some of my peers atcompetitors, where investment banking is being downsized.”

“The market in my specific work area is facing some challenges; the management team has spent agreat deal of time helping us to feel comfortable that we can overcome those challenges. We do nothear how we are performing against our competition, which could be an issue. Our leadership teamhas made some recent decisions which have had a negative impact on morale, but I don’t think there’sbeen a big enough impact to get any attention.”

“Best regarded franchise in Canada and top 10 globally. Recent high profile hires from bulge bracketsposition us well for continued growth. But growing headcount means there are lots of mouths to feed.”

16. CITI INSTITUTIONAL CLIENTS GROUP

388 Greenwich Street 38th Floor

New York, NY 10013

icg.citi.com

THE STATS

Employer Type: BUSINESS_SEGMENT

Co-President, Citi & CEO, Institutional Clients Group: James Foresee

2013 Employees: 257,000

THE BUZZ

“Big name”

“Hiring freeze has hurt them”

“Large team”

“Can be broken up”

UPPERS

“Compensation”

“Smart coworkers”

“Level of responsibility”

DOWNERS

“Hours and unpredictable schedule”

“It’s a large corporation, which means many levels of management”

“The culture”

RANKING RECAP


Best to Work For




#9 - Benefits


#13 - Philanthropy

#14 - Compensation





Prestige

#19 - Prestige

Diversity


#9 - Diversity

#9 - LGBT Diversity




THE SCOOP

Big Citi

Citi Institutional Clients Group, the investment banking arm of global financial services companyCitigroup Inc., offers a full range of strategic advisory and financing products, services, and solutionsto multinational and local corporations, financial institutions, governments, and privately heldbusinesses in more than 160 countries and jurisdictions. With a history that dates to 1812, parent

Citigroup Inc. was rebranded as simply “Citi” in 2007. Prior to its rebranding, Citi was revered as the world’s largest banking and financialservices group. However, the financial storm of 2008 and 2009 was not kind to this global giant,which saw a decrease in market value and severe reduction in headcount. It also received $45 billionin assistance from the U.S. government (which Citi has since paid back with interest). Since that time,Citi has completed more than 60 asset divestitures and today is one of the better capitalized globalbanks in the world. Citi employs approximately 257,000 people and is led by its CEO, MichaelCorbat, a 30-year veteran of the firm who, before taking over for Vikram Pandit in 2012, had beenserving as CEO of Citi’s Europe, Middle East, and Africa operations.

SURVEY SAYS

Vault Verdict: One of the most well-known investment banks in the world, Citi's ICG is lookingfor energetic, highly motivated candidates who want to make a career at Citi, not just use it as astepping stone. The firm runs a very good internship program where interns work on live deals andget good exposure to seniors. Citi also runs a top-notch training program for its full-time analystsand associates. For its full-time staff, Citi offers the ability to transfer to other areas within thefirm, and since Citi is so large and has operations throughout the world, employees are givengreat internal mobility opportunities. The pay is competitive at Citi (in line with the Streetaverage). However, bonuses could be higher, according to insiders. Work hours can be longdepending on which division you work for. As for diversity hiring, it is something that Citi focuseson; the firm is said to be very diverse. With respect to business outlook, Citi has been gainingmarket share in investment banking, it seems well positioned, and insiders believe it is finishedmaking layoffs, for the time being.

Hiring Process

“The interview and callback process is generally pretty fair, and definitely open to motivatedcandidates from target and non-target schools. There is a huge emphasis on fit and culture at Citi. Wewant people that are motivated and smart, but also are looking for candidates that fit into the cultureof the firm, which tends to be a little more laid-back and friendly than some of the other firms on theStreet.”

“The callback for my Super Day was a disaster. After I thought that I had aced the interview, Ireceived a call from HR saying that I would not be extended a Super Day offer. Ten minutes later HRcalled back to say that they were reading off the wrong list. It was traumatic. I believe that the firm, asa global bank, is looking for candidates that take an interest in more than what exists inside the UnitedStates.”

“We assume everyone knows the basics so we look more for a personality fit and drive. We loveenergetic people and we give extra points to people who did not get nervous during the interviews.”

“Looking for highly motivated employees that will make Citi a career. I am confident Citi would passover top candidates looking to use Citi for their own career trajectory, and take candidates that wantto make Citi a career.”

Interview Questions

“Why Banking? Why Citi? What are some differences between debt and equity and why would acompany choose to raise one over the other? Walk me through a DCF.”

“Can you walk me through how the financial statements flow into each other? If depreciationincreases, what is the effect on the financial statements?”

“Very tough market-focused questions. Will gauge interest and ability to form own opinion. The firmrealizes the job is an apprenticeship and gives the support needed to succeed if you are smart andhardworking (a finance major is not absolutely necessary).”

“What are some of the steps in a sell-side process? What would be the strategic rationale behind amerger of two public companies in the same industry?”

Career Development

“The firm gives plenty of opportunities and responsibilities to young employees, which is great foraggressive and motivated people. But career development requires more than just being good at yourjob. It also requires being involved in other parts of the company culture, such as recruiting, diversity,cost reductions, etc. In other words, to excel it’s not just about being good at your job but also being agood overall employee to the firm.”

“No internal mentorship. The analysts rely on one another to learn what they need to know to get by.The formal training course before we start in July is stellar, but if you do not learn everything youneed to know about the job before then, it is sink or swim. No seniors (from associate up to MD)want to teach an analyst how to do anything. There is a figure-it-out culture that wastes time, money,and resources. I’ve been told IBD used to be an apprenticeship business. All I know is that that couldnot be farther from the truth now. If you know you want to be a banker these days, you are best suitedto go get an undergraduate business degree and go brush up your excel and accounting skills.”

“Citi is definitely focused on providing the career opportunities that their employees are looking for.The best aspect is the unmatched global presence of the firm and ability to explore and pursueopportunities with the firm around the world. Citi certainly functions as a meritocracy and promotionsare certainly open to those who earn them.”

“There are opportunities abroad and in other groups should you want to make these changes, but theonus is on you to make it happen. You can’t rely on your current team to help you and what HR can dois limited. There is no formal mentoring system at Citi and given the degree of change that takes placeand the sheer size of the bank, this is unacceptable.”

Quality of Life

“Some days I crank from 9 a.m. to 4 a.m., while other days I come in at 11 a.m. and have nothing to do—both of which I am fine with. However, it is the weekend unpredictability that is most difficult.Seniors treat Saturdays, Sundays, and major holidays as if they are normal Monday mornings. There

is no acknowledgement that you could be relaxing with friends or family, and they are unapologeticabout pulling you into the office on an off day to say the least. It is painful to cancel consecutivevacations or long weekends that you have planned weeks and sometimes months in advance. Theunpredictability is the one factor that makes IBD not worth it.”

“There is an effort to make sure that junior employees get some time off given the long hours theywork, but there can be a double standard present in that taking time off is still viewed as aninconvenience even if you’re told you should take time off. There definitely is an effort to reduce thehours as you become more senior even if you’re in a junior level position.”

“Very intense and thorough formal training process for analysts and associates. Very large and activealumni network. Great brand name. Good mobility within firm. Consistently one of the top banks onthe Street in most league tables. Long hours in most I-banking groups.”

“Quality of life is poor. The culture of sales and trading is not supportive or understanding of errors,even when these errors are commonly made by senior people. There is little in the way of support foremployees and the mentorship programs are weak. Support for diversity is nonexistent, and theculture is extremely inflexible in terms of allowing people to have a personal life/take care ofpersonal things.”

Salary and Benefits

“Very competitive salary and bonus packages. Pays better than most of the Street. Values talent, and ifyou perform you will get paid.”

“Overall the pay is good. But bonuses are too low relative to the hours worked. People are beginningto question the opportunity cost of working here. But it is hard for bankers to leave for otheropportunities since they know the economy is bad.”

“Strong 401(k) matching, and salary is always in line with the rest of the bulge bracket firms. Bonuseshave been low compared to other, smaller shops on the Street, which has been upsetting at the juniorlevel (especially as the firm has continued to show a return to strong quarterly financialperformances). There is definitely room for improvement with bonus packages.”

“The best parts are the $25 dinner allowance and free admission to museums across New York.Worst is that the corporate banking analysts were surprised that bonus figures were not higher thisyear. Dental and health coverage seem high, too.”


“As a Latin female, I believe the firm puts a great deal of emphasis on attracting diverse employees,but little to none on retention. In terms of green efforts, the firm has a big picture emphasis; it pays forour garbage to be sorted and recycled, but does not push to get employees to be less wasteful withpaper. The same can be said about philanthropic practices: no employee push.”

“Citi actively markets and pursues programs in all of the key diversity and philanthropic areas. There

is a very visible push and awareness around diversity within the firm and Citi constantly has eventspromoting these areas. Citi is definitely focused on green initiatives (it was just named the greenestbank in the world) and the building I work in was just LEED certified.”

“We participate in philanthropic activities but it would be nice if donations were matched. Thecompany doesn’t seem super green, but it would be hard to make small ‘green friendly’ changes insuch a big company. Diversity is promoted well.”

“Great LGBT and military diversity.”

Business Outlook

“Citi is in a better position than any other bank in terms of capitalizing on the rebounding economy inpretty much every significant geographic location. The firm has an unmatched global footprint thatshould serve it well in the coming years. While there has been a fair amount of cost reduction(layoffs), the general sense is that most of this is behind us and the firm is streamlined and ready tocapitalize on a recovering economy.”

“I see Citi being in a difficult position with the new capital requirements and limited ability to lend atthe rate previously. In addition, Citi is most successful in transaction services and it seems thatcompanies, in an effort to address counter-party risk, are taking this large part of business and puttingit with other banks. This seems to be particularly bad for Citi relative to other banks because Citi isnot the go-to bank for M&A unless there is a balance sheet need. Employee morale is low. People areupset with compensation levels, and there no longer seems to be the ‘I'm grateful I have a job’mentality. In addition, the firm is undergoing seemingly constant change internally that results in shiftin job responsibilities. This begins to wear down morale.”

“Citi is gaining market share in I-banking (among the top five in 2012), which is reflective of thecontinuous investments. Personally, I would like to see it in the top three alongside Goldman andMorgan Stanley within two years (where the firm was before the crises). However, we need to bemore stringent and selective in hiring, getting people only from top 10 schools and only those with theright soft skills.”

“Citi is the world's most global bank and the most improved bank over the last few years. This firmhas great growth potential and strong revenue and profit numbers. I feel lucky to have been able to‘buy’ (join the firm) it at a recent low.”

17. ROYAL BANK OF SCOTLAND GROUP PLC

36 St. Andrews Square

Edinburgh, EH2 2YB

Phone: +44-0-131-556-8555

Fax: +44-0-131-557-6140

www.rbs.com

THE STATS


Stock Symbol: RBS

Stock Exchange: 72,206

CEO: Stephen Hester

2013 Employees: 123,000

THE BUZZ

“Messy risk management”

“Was not sure they survived the crisis”

“Not relevant anymore”

“Uncertainty hurts morale and reputation”

UPPERS

“The people are fantastic”

“The culture”

“Ability to work with senior level people and gain responsibility early”

DOWNERS

“Long hours”

“The commute/location in Stamford, Conn.”

“The bank isn’t performing well financially and instability affects morale”

RANKING RECAP


Best to Work For


#4 - Hours





#10 - Philanthropy

#11 - Culture


#11 - Satisfaction

#13 - Benefits

#15 - Compensation


Prestige

#29 - Prestige

Diversity


#8 - LGBT Diversity


#10 - Diversity


THE SCOOP

Royal in name and lineage

The Royal Bank of Scotland (RBS) serves more than 40 million individuals and institutions through30 different brands. Its main divisions include: U.K. Corporate Banking, U.S. Retail and Commercialbanking (which offers services through the Citizens and Charter One brands), U.K. Personal Banking(through the NatWest and RBS brands), and Markets and International Banking, which is thewholesale banking business of RBS Group. This business provided RBS’s global client base withdebt financing, risk management, and transaction services The Markets business provides RBS’sglobal client base with fixed income offerings across asset-backed products, rates, currencies, credit,and debt capital markets. The International Banking unit works with clients to execute debt financing,risk management, and transaction banking services. Markets and international banking operates fromfour key trading hubs: Stamford, Conn.; London; Singapore; and Tokyo. Truly a royal bank, RBS waschartered by King George in 1727. For the first 50 years of its existence, RBS operated from a singlelocation in Edinburgh, but in 1783, it opened a branch in Glasgow. By the 1870s, it had set up shop inLondon, and from there it grew rapidly, acquiring a number of English banks and opening a New Yorkoffice in 1960. More mergers followed, and it celebrated Britain's biggest bank takeover with the2000 acquisition of National Westminster Bank (NatWest). In 2007, RBS led a consortium to acquireABN AMRO, marking the world's biggest bank takeover. In its 2008 fiscal year, RBS set a record(but not a pretty one): the bank's annual loss of over £24 billion represented the biggest annual loss ofany corporation in British history. One week after dropping that bombshell, RBS became the firstbank to join the British government's asset protection program for troubled institutions, eventuallyaccepting funds from a £50 billion bailout plan, a move that left the British government with a 70percent stake in the bank. Today, RBS is still majority-owned by the British government. Led by itschief executive Stephen Hester, RBS employs approximately 123,000 people worldwide.

SURVEY SAYS

Vault Verdict: The U.K.-based RBS might not be a household name in investment banking in theU.S., but it does have a formidable I-banking operation in the States. The firm recruits at a groupof core schools as well as some non-core schools. The firm’s interviews are focused on cultural fit,with some technical questions as well. Internships provide a good snapshot of life as a full-timebanker at RBS, and interns will get to interact with senior members and learn about differentareas of the bank. Interns and full-time bankers alike rave about the firm’s culture in which seniorbankers respect juniors’ time and work/life balance can be achieved. The firm’s compensationpackage is competitive with the market. One thing that many insiders don’t like is the commutefrom New York City to Stamford, Conn., where the firm is based in the U.S. As for diversity, someinsiders say the firm focuses on hiring a diverse workforce, while others say RBS isn’t terriblydiverse. Meanwhile, some insiders note that employee morale is low due to negative publicity thebank has received.

Hiring Process

“The interview and callback process is very structured. The process was streamlined, and I learnedvery quickly that I got the internship and was informed on the last day of the internship that I receiveda job offer. I feel RBS is looking for people who are hardworking and willing to learn and will fitinto the culture here.”

“I believe our firm looks for very intelligent candidates.”

“The firm’s interview process seems to be geared toward picking personalities that the interviewerswould get along well with. While only bright candidates are given interviews, the personality seemsto matter most once you’ve made it to the interview. I was interviewed on campus for the internship,received a callback that evening, and was informed that the final-round interview would be thefollowing day. There was a dinner reception that evening to meet previous interns and representativesfrom the firm. Following the final-round interview, I was notified a week and a half later with thedecision.”

“The process has been improving.”

Interview Questions

“Fit questions.”

“Market, technical, and brainteaser questions.”

“Please tell me the three greatest factors that influence the state of the global economy.”

Intern Experience

“The internship led to my full-time employment with the bank. It gave me a preview of the bankingindustry. I would have liked to have had more exposure to different product groups, though.”

"The internship was a wonderful opportunity to quickly learnabout the firm. We were able to rotatethrough four different departments, which was a positive as well as a negative. We only had two tothree weeks within each group, so although it was very helpful to see many different areas of thebusiness, we were unable to get much substantial work completed. There were great events to helpthe interns meet many people throughout the firm including upper management.”

“Best parts were working with highly intelligent people, the intern events, and undertaking realresponsibility.”

“Rotational program encouraged the learning of multiple products. But I didn’t get a full overview ofthe desk as a whole, just the three desks I rotated through.”

Career Development

“The 10 weeks of formal training prior to beginning of the analyst program are fantastic. However,formal training ends as soon as you hit the desk, and many of the skills you learned throughout trainingare lost, as they simply do not apply. My line manager (and others on my team) work to make sure the

projects I work on and the roles I take within those projects constantly move me forward. Theylegitimately care about my development not only for the benefits it will have for the team, but also formy career.”

“Small group of graduates in my group means plenty of personal attention from not only the team youare working with but senior management as well. But there are certain challenges to working at aregional office as opposed to the global headquarters of the company.”

“Great developmental program; people really want you to get up to speed and learn so you cancontribute. Unfortunately we did training before finding out what desk we would be on full time,which was frustrating.”

“Truly a meritocracy. Will be given more responsibility quickly if shown you can handle it. Moreearly involvement in actual deal experience than similar level colleagues at other banks. Worst part:three-year analyst program versus two years at many other banks.”

Quality of Life

“Best part: bosses don’t try to keep you at work for no reason; they’re happy to see you have a lifeoutside of work. Worst part: reverse NYC-Connecticut commute back-and-forth everyday, including a5:55 a.m. train every morning.”

“Best aspect is flat structure/access to management.”

“My team is typically the last in the office at the bank, however little recognition or appreciation ofthis is made. The firm’s hours are certainly better than many other banks, but they also arrive later inthe morning and receive far better compensation. Overall, the work/life balance at my firm isreasonable, though I still have to cancel plans (including weekends) far more often than I wouldlike.”

“Very little wasted time: in the absence of meaningful work, nobody expects analysts to hang around.Thus weekends are generally available for personal time and not rigidly structured. The downsidefrom a quality of life standpoint is that most analysts live in NYC and work one hour away inStamford, Conn., which has negative effects on our finances and sleep.”

Salary and Benefits

“RBS remains competitive with similar firms across the Street, but RBS does not pay above theStreet average.”

“Good job managing expectations; pays comparable to Street on salary but bonus is typically lowerthan rest of Street. They do not comp train passes or offer alternative travel.”

“Compared to other firms, RBS does not have compelling corporate discounts.”

“No 401(k) matching in the first year.”


“You are given 24 working hours of volunteer time during or outside of work time.”

“The firm makes a great deal of effort to maximize its philanthropic practices. But it would be great tohave more team-building charity exercises that are organized by the bank to help the community.”

“Great focus on diversity: I just haven’t seen anything with respect to disabilities or militaryveterans.”

“Not very racially diverse.”

Business Outlook

“Lots of reputational risk around RBS. Generally, the market is bearish toward the name right now.”

18. COWEN GROUP, INC.

599 Lexington Avenue

New York, NY 10022

Phone: (646) 562-1000

www.cowen.com

THE STATS


Stock Symbol: COWN


Chairman & CEO: Peter Cohen

2013 Employees: 571

THE BUZZ

“Very strong healthcare franchise”

“Middle market and middle of the road”

“Good research on small- to mid-cap firms”

“Mediocre”

UPPERS

“Great culture: small company where everyone knows each other”

“Strong senior leadership”

“Good work/life balance”

DOWNERS

“Not a lot of deal flow”

“Weekend work”

“We never seem to have a really big revenue year”

RANKING RECAP


Best to Work For





#15 - Culture

#15 - Satisfaction

Prestige

#41 - Prestige

Diversity


THE SCOOP

Growth sector gurus

Cowen Group, Inc. is a diversified financial services company with two main business units: Ramius,which provides alternative investment management products; and Cowen and Company, whichprovides investment banking services. Cowen and Company focuses on small and midsized publiccompanies as well as private companies in aerospace and defense, energy, health care, technology,industrials, consumer goods, transportation, metals and mining, and media andtelecommunications. Investment banking services include M&A advisory, equity and debt financings,private placements, and restricted security sales. Cowen and Company also operates an institutionalsales and trading unit that serves equity and fixed income clients and is a market maker in 1,500 U.S.equity securities. In addition, the firm has a research unit that covers more than 375 companies. Thefirm's history can be traced back to 1918, when Harry Cowen and Arthur Cowen Sr. opened a smallbond brokerage business in New York City. By the 1920s, the Cowens' firm had joined the NYSE,and began offering clearing and execution services for correspondent clients. Research andinstitutional sales were added in the 1960s, and the firm's expertise in technology and health caredates to 1976, when Cowen bought Boston-based institutional research firm G.S. Grumman. Cowen'sreach went beyond U.S. borders in the 1980s with the opening of offices in London, Tokyo, Paris, andGeneva. The investment banking unit debuted in 1986, and just over a decade later, in 1998, Cowenwas acquired by France's Societe Generale. But the marriage didn't last long; by 2006, Cowen was an

independent company once again, as SocGen agreed to spin off the investment bank. Cowen issued itsIPO in July 2006, and in 2009, it agreed to merge with the hedge fund Ramius. Today, Cowenemploys approximately 571 people. It is led by Peter Cohen, the firm’s chairman and CEO.

SURVEY SAYS

Vault Verdict: Cowen’s interview process focuses more on fit than technical questions, and thefirm is more willing than other investment banks to hire outside of the major target schools. Still,candidates must be hardworking, very bright, and highly motivated fast learners. The firm has arelatively flat organizational structure that allows strong candidates an opportunity to rapidlyadvance their careers (an MBA is not necessary to move from the analyst to associate level, forexample). The firm’s insiders rave about their colleagues and their senior leadership, and workinghours are said to be lighter than at bulge-bracket firms. Indeed, work/life balance can beachieved. Deal flow could be better, say insiders, although the firm’s health care group is doingvery well and is one of the best on the Street. Cowen typically pays on par with the Street, but thefirm could do better when it comes to diversity hiring; insiders say there aren’t many femaleprofessionals and the firm is largely made up of white males. Overall, though, insiders aresatisfied with their jobs at Cowen and very much enjoy the small-firm culture where everyoneknows their face and name.

Hiring Process

“Cowen typically interviews later in the cycle than most of our peers. We, just like everyone else, arelooking for hardworking, bright, and motivated candidates that can come up the learning curve in shortorder. Winning mandates at Cowen is all about being scrappy and fighting for business; we’re lookingfor candidates that fit that profile.”

“Pretty rapid process from start to end. Looking for a well-rounded candidate that is able to learn andthink independently. We do not try to hire a ton of business school numbers people, but focus more onpeople with broader backgrounds that we think could easily learn the business.”

“For analysts and associates, we don't generally target the prime schools, as we find quality talent atnon-core schools who really appreciate the opportunity, which translates into strong work ethic and astrong team atmosphere.”

“The firm is committed to finding smart individuals who are driven and want to work here. There is ahuge emphasis on fit because if the person is smart and a fit, they can pick up the technical skills onthe job.”

Interview Questions

“Strong focus on fit and less emphasis on technical questions, especially at the analyst level.”

“Technical questions regarding valuation and the connectivity of financial statements. Occasionalbrainteasers and case studies. Large focus on ‘fit’ type questions.”

“Walk me through a DCF. Walk me through an LBO. Why Cowen?”

“At the junior level, typically more questions about fit than technical expertise.”

Intern Experience

“First-hand experience of what work would be like as a full-time employee. Responsibilitiesrewarded upon merit. Serious about hiring interns for full-time opportunities.”

Career Development

“Cowen has a relatively flat structure and allows strong candidates an opportunity to rapidly advancetheir careers. Promotions from third-year analyst to associate are common for the best candidates.Once in the associate ranks, career advancement and promotion are largely driven by individualperformance. As compared to larger bulge bracket competitors, junior/mid-level bankers areencouraged to engage and take on significant responsibility early in their careers.”

“Training, both formal and informal, is on par with that of other bulge-bracket firms. Cowen takes ahands-on, apprenticeship-style approach to career development.”

“Lots of exposure to senior executives. In the last 10 years, I've been all over the U.S. and donebusiness in Asia (Korea and China mainly). They promote on schedule; it’s hard to get an earlypromote.”

“Because it is a small firm, everyone knows your business and is aware if you make a moveinternally, which can sometime cause awkward situations.”

Quality of Life

“The head of my group stated it was his goal for each analyst in my class to get hired by a privateequity firm or another client. It was exciting to hear that the senior level people care about yourcareer development. This echoed the message sent by our CEO who told us during one of our firstweeks of training that we will have many opportunities for career advancement both within andoutside of the firm.”

“Cowen generally respects employees needs for a work/life balance. Weekend work is common, butthe schedule is generally flexible around other commitments. Just get the job done and no one will askany questions.”

“Work hours are in line with bulge-bracket peers when you are very busy on a mandate. But if thingsare light, or you are not staffed heavily, the hours can be quite good.”

“Groups are small enough that people respect each other’s personal lives, but large enough that thereare people who can ‘pinch hit’ when possible. This makes for a work/life balance that is tough to findin investment banking.”

Salary and Benefits

“Over the past several years, Cowen has shifted to a very aggressive deferred compensation plan(deferred stock and cash components) and a long vesting period (approximately five years). This doesnot apply to analysts who are typically paid 100 percent cash bonus. You must be committed to along-term stint to reap the benefits, and you will always be leaving money on the table if you leave.”

“Salary is certainly good; insurance coverage could be better.”

“The compensation methodology has varied over the years, which can be frustrating.”

“The education reimbursement was really helpful to make sure we had all the necessary GMAT prepmaterials and courses.”


“Front-line employees are generally white male with some exceptions. Very open to hiring acrossdifferent ethnic backgrounds and gender, but it just hasn't worked out that way over past few years.”

“I don't believe Cowen's diversity or green practices are markedly different from any otherinvestment bank. Though, our philanthropic endeavors could use some work.”

“Not many women in my offices.”

“Not diverse at all—overwhelmingly white males.”

Business Outlook

“Largely dependent on the success of our health care banking group, which has been remarkablysuccessful and is one of the premier groups on the Street. The other groups seem to be havingtrouble.”

“Health care is as strong as ever. Those in other groups, however, are feeling the heat of a roughcouple of years. Morale in the non-healthcare verticals is very low.”

“Employee morale can be low at times.”

“Cowen leadership is very high quality.”

19. SUNTRUST ROBINSON HUMPHREY

3333 Peachtree Street NE

Atlanta, GA 30326

Phone: (404) 588-7711

Fax: (404) 332-3875

www.suntrust.com

THE STATS


Stock Symbol: STI


CEO, SunTrust Robinson Humphrey: Hugh S. Cummins III

2013 Employees: 910

THE BUZZ

“Good research”

“They seem okay”

“Regional”

“Small cap”

UPPERS

“Great people, collegial culture”

“NYC salary in Atlanta”

“Given a significant amount of responsibility early on”

DOWNERS

“Lack of prestige”

“Resources aren’t great”

“Lateral opportunities in finance/banking in the region”

RANKING RECAP


Best to Work For

#9 - Compensation

#10 - Benefits





#14 - Philanthropy

Diversity


THE SCOOP

Deep in the heart of Georgia

SunTrust Robinson Humphrey is a full-service investment bank that offers its corporate, institutional,and wealth management clients a number of integrated services, including debt and equity capitalraising, strategic advisory services, and financial risk management, as well as equity and fixedincome research, sales, and trading. SunTrust Robinson Humphrey is headquartered in Atlanta,Georgia, and has other offices throughout the U.S. in cities such as Boston, Charlotte, Chicago,Houston, Memphis, Miami, Nashville, New York, Orlando, Pittsburgh, Richmond, San Francisco, andWashington D.C. It employs approximately 910 people. The investment bank's parent firm is Atlanta-based SunTrust Banks, one of the nation's largest banking organizations, with more than $172 billionin assets. SunTrust offers consumer banking, commercial leasing, mortgage banking, credit-relatedinsurance, asset management, brokerage, and investment banking services to consumer, commercial,corporate, and institutional clients. Through its network of companies, SunTrust has a significantpresence in the southeastern U.S., with nearly 1,600 branches primarily in Alabama, Florida,Georgia, Maryland, North Carolina, South Carolina, Tennessee, Virginia, and Washington, D.C.

SURVEY SAYS

Vault Verdict: Headquartered in Atlanta, SunTrust Robinson Humphrey is looking for

hardworking, entrepreneurial, thoughtful candidates who will fit with the firm’s Southern culture.The firm runs a highly valued internship program where interns will learn what it’s like to work asa full-time banker while working alongside senior bankers on live deals. Once inside the firm on afull-time basis, employees will be treated to a great culture where people help each other out.Since the firm is relatively small compared to its bulge-bracket peers, interaction between juniorand senior bankers is quite frequent. Another plus is the work/life balance that, in general, can beachieved. Many insiders report that hours are less than the industry standard, although there aresome who report working rather long, bulge-bracket hours, depending on department.Compensation, meanwhile, is generous, especially considering that insiders are paid nearly whattheir peers make in New York and that Atlanta has a lower cost of living. In fact, the location inAtlanta is one of the things many insiders most appreciate about working for the bank. However,insiders also note that there aren’t as many exit opportunities as there are in larger cities such asNew York and Chicago. With respect to diversity, STRH is said to have a fairly diverse workforceand focuses on retaining women and minorities. And as for the firm’s business outlook, STRH’sreputation is improving, and employee morale is strong.

Hiring Process

“SunTrust is seeking someone that can do the job and fit in with the culture. After interviewing withother financial institutions (and winning offers), I accepted with SunTrust because this is where Ibelieve I fit in the most. I saw the other banks’ culture as toxic and arrogant.”

“Looking for someone who is capable of being in a New York investment bank but willing to live inAtlanta and receive a slightly smaller bonus.”

“SunTrust struck a middle ground in terms of ease/challenge in the hiring process. You need to beprepared, but don’t expect to need to rattle off an LBO model line by line as an entry-level analyst.”

“Hardworking, entrepreneurial, thoughtful candidates.”

Interview Questions

“How would you value a firm? How do you think about leverage? How would you think aboutdeciding to lend to another firm? Tell me a company you follow. How would you value it? What’s thefirm's cost of capital?”

“You take out a $100 million loan to purchase an acquisition; explain the impact on the balance sheet.Other generic personality questions. What industries do you follow? Explain something interestingabout it, or recent deals you read about.”

“Explain how the three financial statements are linked. How would you determine the value of acompany? When was time you had to overcome adversity?”

“Some technical questions but focused mostly on fit. They start off by making sure you know your stuffthrough the generic Vault guide questions. Then focus on fit and culture.”

Intern Experience

“The best aspect was that I got to work on live and relevant deals so I learned about all aspects of thedeal process, not just pitching/marketing. There weren’t really any bad aspects to the experience; thelong hours and hard work were expected.”

“The internship was fantastic. I worked in the M&A group and was able to work on a fairnessopinion with one of our associates. Within M&A, the bankers do a great job of ensuring that you get towork on various projects across all of STRH’s industry groups.”

Best parts: exposure to many people within the bank at all levels through networking opportunities;ability to shadow members of other groups; sense of structure to the program; group presentation atend of summer. Worst part: fetching lunch for my group every day (I was on a trading floor).”

“Gave me a good feel for what it would be like to work here and allowed me to meet the people Iwould be working with. Gave me a good idea of what I would be responsible for as a full timeemployee and helped me decide if I wanted to continue in the industry or not.”

Career Development

“From seeing where people are ending up after STRH it seems that there are plenty of exitopportunities: anywhere from corporate finance at a Fortune 500 companies to PE. In addition, if youchoose to stay at SunTrust there are plenty of opportunities, and if you’re good, they will want you tomove around to different groups/functions.”

“In my particular field, the analyst/entry-level program is a two-year program with a potential third-year analyst offer. After that, promotion is unlikely for many industry-specialized groups and stilldifficult in more product specialized groups. I do not feel like I have much job security in the currentprogram, but the pressure to perform as an analyst during your brief time here is very limiting tocareer development conversations within many groups at this firm. However, it is fortunate that thebank seems to be realizing this sentiment and has begun initiating dialogue about post-analyst careeropportunities.”

“Given the rotational nature of the entry-level investment banking programs, there is not a tremendousamount of career development opportunity, other than having the job on your resume and what youtake away from being on the job, which even by itself is a tremendous value.”

“Small firm so not a lot of openings as you move higher up. However, this results in less internalcompetition. VPs, directors, and MDs are approachable and encourage networking with them.”

Quality of Life

“Some weeks you work more than 90 hours, and some weeks you work around 60. On average, Iwork in the upper 60s/low 70s. This is banking; one should expect to work long hours often. Theworst aspect is the technology. If SunTrust were to update the technology platforms, I would say thatthis would be the best bank to work for. It’s very frustrating losing an hour of work time due to system

failures. Especially when it’s the difference between staying until 1 and 2 a.m. That hour counts, andknowing that the reason you’re staying late is because the technology is dated can be particularlyfrustrating. Like I said, besides the technology, everything else at SunTrust is great.”

“Pros: hours are very fair, and the opportunity for good quality deals present themselves throughoutyour time here; one of the best paid middle-market banks; access to some larger bulge-bracket clients;New York attitudes and horror stories are only things I have read in books. Cons: management nickelsand dimes all aspects of operations; and if you don’t like credit or corporate banking, it may not bethe best place for you, since syndicated and leveraged finance permeates about 60 percent of thegroups’ business (although M&A and equity is growing).”

“As an analyst, I do not feel entitled to take my vacation days and am often uncomfortable being out ofthe office for personal appointments/errands. I have also missed or worked through planned tripsbecause of deals that have arisen and work that needs to be done. I am fortunate that I work for agroup that is more understanding than others about larger vacation and family time, though.”

“Living in Atlanta on a New York salary is great, but the hours continue to increase and the culture isdeveloping into that of a bulge bracket as the firm continues to expand and increase its footprint.”

Salary and Benefits

“While base salary lags some of STRH’s competitors, the annual bonus is top-notch and makes up forany shortcoming in base salary.”

“Benefits and perks could be increased. We should focus on a healthier lifestyle. Employees shouldreceive steep discounts on health care memberships to gyms or health clubs (if not fullreimbursement). Banks should not be afraid to promote healthier lifestyles.”

“Bonuses are mostly in line with the market, but adjustments to salary are not. Benefits and perks arealmost nonexistent. The only non-monetary perk offered is 401(k) match, which is decent but notgreat.”

“Free dinner every night you stay after 8 p.m. (which is always). Bonus seems to be lower than atcompeting firms, though most employees are based in Atlanta where there is a lower cost of living.”


“Seems to be a fair amount of diversity. Company is far from being green based on what I have seen.Philanthropic activities are frequent and are pushed on employees.”

“Real focus on hiring and retaining women and minorities, as well as much flexibility exerted formilitary veterans and reservists.”

“Could place more emphasis on corporate responsibility in regards to being environmentallyfriendly/aware. Women are commonly promoted.”

“No recycling options.”

Business Outlook

“Leaders of STRH are strong and have a vision of where we’re going. The leadership of STI alsoseems to really understand the importance of investment banking, all of which is important. Moralecan wane at times, as successes don’t seem to be celebrated as much as they should.”

“STRH is well-positioned to succeed in the next twelve months.”

“We have a strong niche middle-market position, and there’s high company morale and drive.Sometimes we lose opportunities due to firm size compared to other large banks.”

“There’s a growing awareness that SunTrust’s reputation is getting better, and this is being leveraged.But management is hesitant at times to go up against bigger competition.”

20. BARCLAYS (INVESTMENT BANKING)

745 Seventh Avenue

New York, NY 10019

Phone: (212) 526-7000

www.barcap.com

THE STATS


Stock Symbol: BARC

Stock Exchange: LSE

Chief Executive, Barclays plc: Antony Jenkins


THE BUZZ

"The best in fixed income"

"Layoffs; reducing focus on investment banking"

"Up and coming; starting to make waves in the US"

"Lehman integration has been challenging"

UPPERS

"Upper management is strong"

DOWNERS

"Destructive politics"

RANKING RECAP


Prestige

#7 - Prestige

THE SCOOP

Debt masters

Known as a powerhouse in the fixed income marketplace, Barclays investment banking division(formerly known as Barclays Capital) is an arm of Barclays PLC, a venerable London bank that datesback to 1690. The investment bank was created in 1997 to provide strategic advisory, financing, andrisk management services to corporate, government, and institutional clients around the world.Although it’s younger than many of its peers, the investment bank's relationship with Barclays PLCallowed it to grow at an astonishing rate: today it has offices in over 30 countries and employs morethan 25,000 people. The firm has expertise in a wide variety of products and services, includingbonds, commodities, convertible bonds, credit products, electronic trading, emerging markets, equityderivatives, equity origination, foreign exchange, fund-linked derivatives, fund solutions, indexproducts, inflation-linked products, interest rate products, leveraged finance, loans, M&A, marketmaking, municipal finance, prime services, private equity, research, restructuring, securitization, andstructured investments. In September 2008, the investment bank increased the scope of its offeringswhen its parent acquired Lehman Brothers’ North American investment banking business for $1.75billion. The deal, struck just one day after a struggling Lehman had filed Chapter 11 bankruptcy,included Lehman’s equity, fixed income, and M&A advisory units, as well as approximately 10,000Lehman employees. The deal also included Lehman’s trading assets, which had an estimated value of$72 billion; liabilities worth $68 billion dollars; Lehman’s New York City headquarters; and twooffices in neighboring New Jersey, with a combined market value of about $1.5 billion. Barclaysexpressed delight at the acquisition, making clear an ambition to increase its presence in the U.S.Barclays investment banking division chief executive at the time, Bob Diamond, confirmed the joywhen announcing the Lehman deal, stating, “This is a once in a lifetime opportunity for Barclays.” Afew months after the Lehman buy, in January 2009, Investment Dealers’ Digest named Diamond itsBest Banker of the Year. Diamond eventually became CEO of Barclays PLC. But in mid-2012, lessthan 18 months on the job, Diamond was forced to resign his post amid an interest-rate manipulationscandal. The scandal also resulted in Barclays' chairman and COO resigning.

SURVEY SAYS

Vault Verdict: As a very prestigious bank, Barclays Capital runs a very selective interviewprocess. The bank is looking for talented candidates from top-tier schools whose personalities fitin with the firm's culture. Management is said to be very supportive of junior bankers, alwayswilling to help out. And, with respect to minority employees, the firm is rather diverse for a WallStreet firm, and women are said to hold several very important positions at the bank. Internshipsare rated highly and, of course, are a great way to get hired on a full-time basis. Although hourscan be long, they aren't too bad: insiders say that they still have lives outside of work.

Hiring Process

"The interview process is a very selective, very difficult one, but you can expect very friendlyinterviewers.”

“The firm puts candidates through a relatively long and challenging selection process. Only once a

candidate has passed through several rounds of scrutiny can he or she expect to receive a job offer.”

“Barclays Capital targets more than 30 top-tier graduate and undergraduate schools, including NYU,Cornell, Penn, Princeton, Duke, Columbia, Yale, Harvard, Dartmouth, Carnegie Mellon, Chicago,Boston College, Colby, Georgetown, Rutgers, UVA, and MIT. If you're not from a target school, it’sextremely difficult to get in the door, especially if you don’t know anyone within the bank to referyou.”

Interview Questions

“Expect behavioral/fit-type questions, and to be asked about your experience in previous positions aswell as general questions like ‘Why are you leaving your current job?’ The firm likes to ask questionsabout the most and least enjoyable parts of your previous work.”

“Candidates need to meet the personality the firm is looking for, proving that they have the right skillsand talents.”

Intern Experience

“During my internship, I was treated me more like an employee than an intern. I was never asked todo any of the typical intern activities like getting coffee or ordering lunch. I went beyond my assignedtasks and learned quite a lot, including how exactly securities are acquired and structured. It’simportant to take advantage of the time you meet with senior management. Make sure to talk to themabout the possibilities to move around once you’re hired full time, and to prove that the firm shouldhire you.”

“The compensation for interns is competitive with other firms on the Street.”

Career Development

“Management is extremely nice, supportive, and always ready to help. Upper management is strong.Basically, you can meet anyone you want to meet, and they are all helpful.”

Quality of Life

“Barclays Capital is a great place to work. It’s a good company to work for and has been a verypleasant experience.”

“The work culture can be hectic, and employees are generally involved in enhancements and processimprovements rather than just business as usual. But innovation is encouraged.”

“Working hours are what you would expect at any investment bank. But there aren't too many longdays.”

“Hours are not too bad. You still have a life.”


“Diversity within Barclays Capital is huge and encouraged. People from all over the world worktogether within the company. Women share an equal standing, too, and quite a few are in veryimportant positions throughout the firm.”

21. DEUTSCHE BANK AG

60 Wall Street

New York, NY 10005

Phone: (212) 250-2500

www.db.com

THE STATS


Stock Symbol: DB


Chief Executive: Dr. Josef Ackermann

2011 Employees: 101,694

THE BUZZ

"Innovative firm willing to take risks"

"Strong bank, but doesn't lead in any one department"

"Top tier bulge bracket"

"Strong but very political"

UPPERS

"Good culture" and "interesting work"

"A pretty diverse place, both in terms of race and gender"

DOWNERS

"High-pressure" and "very hectic"

"There are a lot of politics"

RANKING RECAP


Prestige

#10 - Prestige

THE SCOOP

All around the world

Boasting more than 101,000 employees across over 70 countries, Deutsche Bank truly has a globalfootprint, with particular strength in Europe and its homeland of Germany. With roots that date back to1870, Deutsche Bank made its first major bank acquisition outside of Germany in 1986, purchasingBanca d’America e d’Italia. Subsequent acquisitions included the Morgan Grenfell Group (1989), theU.S. firm Bankers Trust (1999), the U.S. asset manager Scudder Investments (2002), the Swissprivate bank Rued Blass & Cie (2003), and the Russian investment bank United Financial Group(2006).

Today, Deutsche Bank’s international presence encompasses retail banking branches, corporate andinvestment banking, and asset management. It’s made up of three main divisions: corporate andinvestment bank, private clients and asset management, and corporate investments. Deutsche Bank’scorporate and investment bank group oversees the capital markets (origination, sales, and trading),corporate advisory, corporate lending, and transaction banking businesses. It also oversees mergersand acquisitions, and gives general corporate finance advice primarily to global corporations,financial institutions, and sovereign entities. The asset management group at Deutsche Bank is one ofthe largest asset managers in the world.

SURVEY SAYS

Vault Verdict: The very prestigious Deutsche Bank has a fun, relaxed culture that, at times, canalso be high-pressured and hectic. The firm is home to some of the smartest but most demandingsenior managers on Wall Street. Insiders say that working for these managers is very rewardingand that your work and efforts are definitely appreciated. Hours can be long, but DB is among themore reasonable investment banks when it comes to workloads. As for diversity, insiders say thefirm has many women in high positions and is diverse when it comes to minorities as well. Overall,employees are satisfied with their jobs, and the firm has a brighter outlook than many of itscompetitors. Insiders say that when the competition began laying off talented employees duringthe bear market, Deutsche Bank was selectively picking up some of the best minds in finance.

Hiring Process

“Interviews are surprisingly straightforward and much more friendly than I expected.”

“Be willing to voice your interest but also be flexible. Make sure you have a passion for the job. Ifyou are passionate about the position, conduct yourself well, and come to the interviews prepared,you will get at least past the first round.”

Quality of Life

“DB has a good culture, though it’s not always the most team-oriented. If you’re not hard-nosed now,you soon will be.”

“It’s a high-pressure environment, and it’s very hectic, with everyone being responsible foreverything.”

“Working at Deutsche very rewarding and management definitely appreciates your efforts andcontributions, and works hard toward creating a fun, relaxed environment.”

“Though hours at all banks are awful, DB is among the more reasonable. I’ve only pulled a few all-nighters.”

“The culture at Deutsche is pretty flat and open to meritocracy.”

“Employees seem genuinely happy to be here, but not in a cultish, drink-the-punch sort of way, as atsome other banks.”

“Deutsche Bank is home to some of the smartest but most demanding senior managers on WallStreet.”


“Deutsche is a pretty diverse place, both in terms of race and gender. There are many women in highpositions.”

Business Outlook

“Don’t underestimate this firm’s competitiveness. When the competition began laying off talentedemployees during the bear market, Deutsche was selectively picking up some of the best minds infinance. This investment has started to pay off.”

22. BANK OF AMERICA CORP.

100 North Tryon Street

Charlotte, NC 28255

www.bankofamerica.com

THE STATS


Stock Symbol: BAC


CEO: Brian T. Moynihan

2011 Employees: 287,839

THE BUZZ

"Addition of Merrill makes them more prestigious"

"Has lost too many key seniors, both legacy BofA and Merrill Lynch bankers"

"Big player in leveraged finance and fixed income"

"An overly corporate culture, stifling"

UPPERS

Big, global bank got a lot bigger thanks to the Merrill deal

Generous benefits

DOWNERS

Merrill acquisition = culture in flux + uncertain future

Training could use improvement

RANKING RECAP


Prestige

#11 - Prestige

THE SCOOP

Beyond America

Headquartered in Charlotte, N.C., Bank of America is one of the world’s largest financial institutions,with customers in more than 150 countries and business relationships with more than 80 percent of theGlobal Fortune 500. The bank's roots go back to the late 18th century when Massachusetts Bank waschartered in 1784 and the Providence Bank was created in Rhode Island in 1791. Two centuries later,in the 1960s, a southern bank known as North Carolina National Bank had began an aggressive planof expansion based on the model of a “hometown bank” where a branch would individually cater tothe needs of the community it served. NCNB’s model proved popular, and it expanded through the1970s and 1980s. In 1991, NCNB merged with Citizens & Southern National Bank to formNationsBank, which acquired BankAmerica in 1998 to become Bank of America.

In 2004, BofA acquired FleetBoston Financial for $47 billion, and in 2006, it paid $35 billion forMBNA's credit card business. In 2007, the bank acquired U.S. Trust as well as the ABN Amro NorthAmerican Holding Company, the parent of U.S.-based LaSalle Bank Corporation. In 2008, BofAAmerica purchased the U.S. diversified financial services holding group Countrywide FinancialCorporation and, at the end of the year, made just about every headline in the world, announcing that itwould buy New York-based investment bank Merrill Lynch, calling the purchase “a great opportunityfor our shareholders,” as the deal expected to achieve $7 billion in pretax expense savings by 2012.When the deal closed, it made BofA the biggest U.S. bank in terms of assets, with more than $2trillion; the largest brokerage firm in the world; one of the leading investment banking advisory firms;and one of the world’s top wealth management firms.

SURVEY SAYS

Vault Verdict: BofA is very selective about whom it hires, looking for students who are wellrounded and intellectually curious. Internships are said to be great experiences and a great way toget a job with the bank on a full-time basis. The bank's culture is a mix of many cultures, sinceBofA has made numerous acquisitions in recent years and thus the bank is an amalgamation ofseveral firms. That said, in general, the units acquired in the Merrill Lynch deal have a collegialand friendly culture that encourages success and competitiveness. And the majority of the I-banking employees have strong work ethics and take their responsibilities very seriously. Althoughworking hours are similar to other firms on Wall Street, given the staff cuts, you might have to putin more hours than the industry average.

Hiring Process

“We are very selective.”

“BofA is looking for students who are well rounded and intellectually curious.”

“The interview process is positive, but it can also be disorganized. It’s a very lengthy and tricky

process.”

“Everyone I met during the interview process was very social, personable, and kind, and they treatedme with respect.”

“The hiring process for investment banking hires typically involves at least two rounds of interviews.Expect to meet with your future team. The atmosphere was very pleasant, lighthearted, and informal.”

Interview Questions

“Interviews are very relaxed, more like a conversation. I was not asked any specific questions.”

“For students, there is an on-campus interview process to screen the best candidates. Selectedstudents are invited to New York for a Super Day. The interview process is rigorous. A candidatecan expect to meet with six to 10 bankers in various industry and product groups.”

“Interview questions focus on personality and fit. Still, they can be very technical, such as stating thethree basic financial statements and how they tie together. There can also be specific questions aboutprior work experience, interest in the business, and knowledge of the market.”

“A candidate can expect almost every interviewer to ask them to walk through their resumehighlighting relevant work and leadership experience.”

Intern Experience

“It’s definitely much easier to get hired after completing the internship.”

“I essentially functioned as a first-year associate while I was a summer associate in investmentbanking. I was paid, pro rata, a first year’s salary: the same salary as a first-year analyst. The work isgeared toward building up to that of a first-year analyst.”

“Networking and mentoring offered during the summer allows you to build what could be lifelongfriendships. The global markets summer rotational program allows you to test more than one part ofthe business to find a good fit for you and your skill set.”

“Interns may participate in several networking events throughout the summer and are often staffeddirectly on projects with other employees. Work assignments can vary based on the demonstratedability of the intern as well as the workload, but some summer analysts may get the opportunity totravel on a road show or to client meetings.”

Career Development

“Bank of America offers formal classroom style and on-the-job training. Some departments such ascustomer service type departments often have lengthy training lasting up to six weeks, which is acombination of classroom training and side-by-side training with experienced employees.”

Quality of Life

“Different groups operate differently. Some groups are laid-back, others operate with a lot ofintensity. I would say this is due to the fact that different bankers have come from different banks andlike to do things their own way. There are many cultures at BofA, so there's no real consistency ineach group and region.”

“In the units acquired in the Merrill deal, BofA has a collegial and friendly culture that encouragessuccess and competitiveness.”

“The majority of the employees are great people, have strong work ethics, and take theirresponsibilities very seriously.”

“Hours are similar to Wall Street, but given the staff cuts, expect to put in more hours regardless ofyour group.”

23. MOELIS & COMPANY

399 Park Avenue 5th Floor

New York, NY 10022

Phone: (212) 883-3800

Fax: (212) 880-4260

www.moelis.com

THE STATS


CEO: Kenneth Moelis

2012 Employees: 580

THE BUZZ

“Fastest growing bank on Wall Street; their juniors place better after two years than any other firm”

“Exorbitant growth has diluted quality of bankers”

“One of the top boutiques; gaining market share”

“Small deal size limits prestige”

UPPERS

“A lot of deal experience for analysts”

“Quality of team members”

“Unique culture that encourages interaction between senior and junior bankers”

DOWNERS

“Hours can be tough”

“Highly entrepreneurial, which can be unstructured at times”

“Brand is still embryonic”

RANKING RECAP


Prestige

#13 - Prestige

THE SCOOP

Ken’s creation

Moelis & Company provides financial advisory and asset management services to corporations,institutions, and governments worldwide. The investment bank also operates in the private equityspace through its middle-market PE unit, Moelis Capital Partners. In addition to New York, Moelishas offices in Beijing, Boston, Chicago, Frankfurt, Houston, Los Angeles, London, Mumbai, PaloAlto, Sydney, Dubai, and Hong Kong. The firm employs approximately 580 people worldwide, and isheaded by founder and namesake Kenneth Moelis, who rose to fame in the early 1980s, working atDrexel Burnam Lambert. After a successful career at Donald Lufkin & Jenrette Securities (DLJ),Moelis was lured to UBS in 2000. He recruited several DLJ bankers to join him and promptly turnedUBS Investment Bank into a global powerhouse. In 2007, he resigned from UBS and formed hiseponymous firm. To fill the ranks at Moelis & Company, Moelis turned to his old DLJ and DrexelLambert friends. He also persuaded several top UBS executives and other senior industry bankers tojoin him. Right off the bat, Moelis & Company landed big-league assignments that belied its boutiquesize. One day after opening its doors, Moelis advised Hilton Hotels on its $26.5 billion sale to TheBlackstone Group. Soon after, it helped defend Yahoo! from Microsoft’s $44 billion hostile takeoverbid and advised Anheuser-Busch on its $61.2 billion sale to InBev. Since its inception, the firm hasannounced approximately over $340 billion of M&A deals. In 2010, it was named Best GlobalIndependent Investment Bank by Euromoney, and Ken Moelis was named Banker of the Year byInvestment Dealers' Digest, which pointed out Moelis & Company's ability to land high-profileclients such as Advent International, Metro-Goldwyn-Mayer, and Dubai World. IDD also handedMoelis the award in 2011, noting Moelis & Company's significant growth in Europe and Asia, andsaying the firm is "showing no signs of slowing down."

SURVEY SAYS

Vault Verdict: A prestigious investment banking boutique, Moelis & Company is looking formature junior bankers who are innovative and creative, have a very strong understanding offinance, are highly motivated, and can hit the ground running. The firm’s internship programprovides students with excellent, hands-on experience (live deals) and access to the firm’s seniorbankers. The corporate culture at Moelis is very collaborative, and analysts will get nearlyunparalleled access to senior bankers and clients. They will also get a lot of live deal experienceand thus will have the ability to gain top-notch exit opportunities (at PE firms or hedge funds) ifthey so desire. There is also the possibility that after two years, analysts can become associates.Insiders do work extremely hard at Moelis, as hours are perhaps longer than at bulge bracketpeers. Pay, meanwhile, is in line or better than at bulge bracket peers, although some insiders

complain about the stock portion of bonuses. Training, both formal and informal, receives goodratings. The firm is fairly diverse ethnically speaking but not very diverse when it comes togender: the bank’s staff is male-dominated. The firm’s business outlook appears to be bright. Itsrestructuring unit is thriving, M&A is winning deals, and, overall, Moelis’ pure advisory model(without a balance sheet and proprietary trading platform) is expected to serve the firm well.

Hiring Process

“The firm is much more flexible than larger banks in terms of its recruitment process. Typically thefirm recruits at several target schools, with the interview process spanning introductory phonescreens followed by in-person interviews. It is very helpful to have a contact within the office to getyour resume to the top of the pile. In terms of ideal candidates, Moelis focuses on candidates that arevery technically sound and have a strong understanding of finance.”

Interview Questions

“Interviews are typically more technical than at other investment banks, as junior employees areexpected to step in at full speed early in their time at the firm. That being said, cultural fit is certainlystill stressed, as the firm is quite lean and there’s a lot of collaboration among the members of thefirm.”

“Interview questions include: Why should Moelis hire you? What unique attributes do you bring thatwill enhance the firm? What are you seeking in a job in terms of your personal satisfaction? Howhave you been a peer leader in the past? How have you been a teammate in the past? What do youenjoy?”

“Ideal candidate has a great personality, attitude, and character fit. We’re looking for peoplemotivated to focus on innovative and creative, value-added client advice; constantly seeking to learn;engaged in the success of the firm and their peers at Moelis; wish to be a mentor to others; unwillingto settle for second place; and have entrepreneurial and ambitious drives and a long-term view onachieving personal success that is in line with the firm’s character and moral code. Hard work ismore important than raw intelligence, and creativity is more important than rote knowledge. Personalmaturity is a must.”

“Highly technical and theoretical. We value candidates who have a high quantitative aptitude and theanalytical ability to solve problems. Additionally, we are extremely focused on attracting candidateswith good client presence and who can ‘play well with others.’”

Intern Experience

“During my internship I worked closely with one first-year analyst who was very helpful, teaching menecessary skills and giving me meaningful work to do so that I could learn as much as possible. I hada mentor who was a vice president at the time who was very approachable and helped me get themost out of my experience. Through different events I was able to build relationships with the team Iworked with as well as other employees of the firm. I worked on a variety of deals, giving meexposure to M&A and capital markets as well as different industries. I had a very good experience.”

“Good technical experience and great camaraderie among the intern class. But there was an unevendistribution of work among the class due to the small class size. Overall, it was a great learningexperience.”

“Intense internship experience: I was given the responsibility of an analyst and expected to handle it.Learned more in three months than three years at school.”

Career Development

“Don’t overlook us because we’re classified as a boutique firm and you’d rather work at a bulgebracket. I came from a top bulge bracket bank and can say that I’ve learned more in my short career atMoelis and worked on much more interesting projects (I’m not doing nearly as much internalbusywork) than I did at my old firm. Combine that with a better lifestyle than the bulge brackets andquality leadership, and this firm is the best-kept secret in the Wall Street labor force.”

“For analysts, Moelis is a good place to pursue buy-side exit opportunities. Compared to other banks,this is an extremely unique and valuable benefit to analysts, who are able to speak to senior bankersregarding post-analyst career opportunities and have flexibility to interview with funds. Additionally,Moelis instituted a two-year analyst to associate track for certain analysts. This is one less year thanmost other banks. However, there is a lot of competition among the analyst class for spots at topprivate equity and hedge funds.”

“Strong opportunities to move up within the organization if you want to remain in banking, as the firmpromotes heavily from within rather than bringing in new people (although both have been happeningdue to the firm’s rapid growth). While senior members of the firm will not actively go out of theirway to mentor you or assist with your development, they are generally very responsive if you take theinitiative to engage them.”

“Unique generalist program allows you to start your finance job without having to pretend you’vealready decided exactly what you want to do for the rest of your life. With Moelis’ generalist programand the firm’s open and supportive attitude towards private equity and hedge fund recruiting, I don’tthink there is any other opportunity that can open more doors.”

Quality of Life

“There is definitely an emphasis on working hard, especially in the Los Angeles office, but the idea isthat you are working hard in order to build your skills and gain experience. And there is relativelylittle busy work. Also, there is no ‘face time’ culture—if you happen to finish your work early, youare not expected to stay in the office just to keep up appearances.”

“Hours are generally brutal but quiet down in your second year. People have gotten much better aboutaccommodating personal lives. In-office culture is very fun, not too serious, and this applies to amajority of senior people as well. Due to the generalist program, hours tend to be worse than at otherfirms, because there is always something to work on.”

“Lots of live deal work and therefore many meetings of significance, where meaningful interaction

with corporate executives is required. Senior bankers encourage junior bankers’ exposure to clientsand companies so that the relationships will be passed down through the firm. As turnover is low atMoelis, this exposure serves to reinforce relationships with Moelis and offer avenues for referralsand unmatched networking with new clients and executives as junior bankers advance their careers.Travel, especially international travel, is minimal, especially because M&A deals don’t requireinvestor roadshows. However, trips to oil fields, Texas ranches, and offshore drilling operations aretruly unique experiences and make for great stories.”

Salary and Benefits

“Compensation at the analyst level is on par with (and often higher than) other Wall Street firms. Ihave no complaints with the compensation package; it’s quite generous.”

“Pay is above the bulge bracket Street. Texas has no state taxes and a much lower cost of living thanNew York, San Francisco, or London.”

“Base pay in line with Street. Historically, bonuses have been at the high end of the Street. But thebonus structure is variable, and this leads to competition among the analyst class.”


“Investment banking is a male-dominated industry, and Moelis is probably more male-dominated thanmany of its competitors—as a private company, it is less focused on public perception and politicalcorrectness so there are generally fewer initiatives to recruit women and/or minorities. However, theoffice environment is generally very tolerant and the (admittedly few) female bankers in the office aretreated just the same as the males.”

“The firm is committed to developing its diversity initiatives, particularly with respect to women.This year they introduced a number of new women’s events. And, in terms of recruiting, almost half ofthe incoming intern class is female.”

“Accepting of gay, lesbian, bisexual, and transgender individuals. But little diversity with respect towomen.”

Business Outlook

“Just received a minority investment from a large Japanese bank, which values Moelis as larger thanits two main public peers (Evercore and Greenhill). Moelis is still private so there is no pressure topush products or pressure clients to executing questionable deals. The entire endeavor is centered onbeing a consigliore to clients in a partnership fashion to help them manage their businesses andposition themselves for long-term success, rather than growing for growth’s sake, or being active inthe M&A or capital markets for visibility purposes. This approach has already paid off with theinvestment and the firm’s high valuation. Looking to every other prestigious place to work on WallStreet, there is nothing I covet that is lacking at Moelis.”

“Great restructuring practice. M&A platform does some great deals but is taking longer than expected

to ramp. Some industry verticals that aren’t doing anything.”

“Moelis is incredibly well-positioned. The firm has an already strong reputation that is improvingdaily as well as increasingly global resources. The firm is one of the strongest in the niche of pureadvisors (firms that do not have a balance sheet and/or a proprietary trading arm, which can oftencause conflicts of interest). My main concerns for the firm would be centered around the state of theglobal economy; however, Moelis has a fairly hedged business model in the sense that the firm’sleading restructuring practice is typically able to compensate for declines in M&A market activitydue to economic downturns.”

24. JEFFERIES & COMPANY, INC.

520 Madison Ave. 12th Floor

New York, NY 10022

Phone: (212) 284-2300

www.jefferies.com

THE STATS


Stock Symbol: JEF


CEO: Richard B. Handler


THE BUZZ

“Very impressive growth story; very solid in energy and healthcare”

“Expanded too fast, damaged its reputation and created a strained working environment”

“Great people and good franchise in select sectors—the little brother to the bulge”

“A tough, tough year, but may bounce back”

UPPERS

“The culture: everyone is young and energetic and fun; they take their work seriously but notthemselves”

“The deal flow and tremendous exposure to top M&A deals in the industry”

“High level of client interaction”

DOWNERS

“Hours can be demanding”

“Still the underdog; working on firm reputation”

“The inefficiencies in certain processes; IT and infrastructure can be frustrating”

RANKING RECAP


Prestige

#14 - Prestige

THE SCOOP

A firm on the rise

New York-based Jefferies Group, Inc. (widely known as Jefferies) is an independent securities andinvestment banking firm that was founded 50 years ago. Today, it employs more than 3,800 people inover 30 cities worldwide. It operates through five main units: investment banking, sales and trading,research, asset management, and wealth management. Jefferies’ investment banking services includeM&A advisory, capital raising, debt, equity and equity-linked financing, recapitalization andrestructuring solutions, fairness opinions, and corporate advisory services. Jefferies’ sales andtrading business offers trade execution and liquidity, and trades equity, convertible, high-yield,investment-grade fixed income, and commodity-linked financial products; the unit also provideswealth management, correspondent services, prime brokerage, securities finance, and floor brokerageservices (at the NYSE). Jefferies’ research and strategy group in equities and fixed income regularlypicks up industry awards for its coverage. The firm’s strategists and economists regularly provideeconomic commentary to clients and the media, and its analysts cover a wide range of industries. Thefirm’s area of focus globally includes aerospace and defense, banks, business services, chemicals,clean technology, consumer, energy, gaming, general industrials, healthcare, maritime, media, miningand metals, real estate, retailing, specialty finance, technology, and telecommunications.

SURVEY SAYS

Vault Verdict: A top 15 investment bank when it comes to prestige, Jefferies has been growing insize and reputation in recent years. The firm has hired many well-respected senior bankers awayfrom other firms, and continues to hire top-notch junior bankers. As for whom Jefferies looks tohire at a more junior level, the firm wants self-starters willing to take on responsibility who canthink strategically and anticipate upcoming events. The firm also wants candidates to know whythey specifically want to work for Jefferies. Internships are said to be very good experienceswhere interns will work on live deals with senior bankers, although some interns lament the factthat the generalist aspect of the program doesn’t allow for a chance to get very knowledgeableabout any one area. Full-time insiders, meanwhile, say that the firm’s culture is excellent and verycollegial. As for career development, senior bankers from vice presidents to MDs are alwayswilling to help juniors learn and progress. An open-door policy reigns at Jefferies. As forcompensation, it is very good and said to be near the top of the Street average. Benefits are alsoquite good, though there are some areas for improvement. Philanthropic efforts and diversityhiring are focuses of the firm, although some insiders believe the firm could be more diverse withrespect to women and ethnic minorities. And as for Jefferies’ business outlook, it is bright. Thefirm’s leadership is strong and, despite a tough market, the firm is positioned well to continue to

profit from strong investment banking and trading businesses.

Hiring Process

“HR takes a reaaaaaally long time to get back. My process took several months from my firstinterview until the last one. Associates and up must meet with the head of the investment bank.”

“Standard interview process. First rounds are either in person or phone, then final rounds are inperson at the office. Candidates are told either way within the next week or so. We’re looking forsomeone who is, of course, smart, but also has a great personality. Not just someone who isantisocial. Again, fit is very important for us.”

“Self starter who is willing to step up and take ownership. We look for people that want to ownprojects, think strategically about how to move them forward, and anticipate upcoming events andneeds.”

Interview Questions

“The only thing that differentiates our recruiting process is a heavier emphasis on fit. If you’reapplying for a job here, you need to knock the ‘Why Jefferies?’ question out of the park. Reach out toalumni and other connections already at the firm, understand our business and recent deals, understandour culture and what makes us unique. We are competing for candidates with firms that have longerhistories and larger platforms, but we do think we can offer junior bankers the best experience. Wedon’t want to give out offers to people who will end up elsewhere—candidates need to beconvincing.”

Intern Experience

“Generalist program offers exposure to most of the product and coverage groups across theinvestment bank. Interns are given the opportunity to network as much as they so desire an, to a morelimited extent, receive exposure to senior management throughout the summer in a weekly speakerseries. However, an unavoidable consequence of the generalist program is that the interns are ‘publicproperty’ for the summer and, as a result, the staffings can feel haphazard. Many of my peers in thesummer program felt that the structure of the generalist program prevented them from obtaining ameaningful understanding of any particular product or coverage group.”

“Good exposure to different groups within the bank, given the generalist nature of the internshipprogram. Experienced and knowledgeable HR staff manages the process. Good selection ofcandidates from various schools (both core and non-core) allowing for increased diversity. Butthere’s an uneven workflow, given the nature of the generalist pool. Some of the groups within thebank didn’t use interns as much as necessary, while a few others used the interns too much to the pointthat most of the workflow for any particular intern was coming from just one group.”

“The best part of the internship was that the focus was exclusively on learning. Traders andsalespeople use a very specific vernacular when transacting, and to anyone who has not spent a greatdeal of time on a trading desk, it would sound foreign at best. Having the opportunity to sit with the

traders for hours each day was a great way to learn the specific diction that they implement and,subsequently, to understand their decision-making processes when executing trades. The worst aspectof the internship was that I was enlisted quite frequently to pick up food for some of the traders.”

Career Development

“Firm aims to maintain good people and is very flexible in terms of group and geography. I knowmany people who have transferred groups (even departments) and offices at their request. I also knowof instances where individuals have expressed a desire to leave the industry altogether and the firmhas been helpful in placing them in other positions. - Senior bankers make an effort to get juniorbankers in front of clients and involved in all aspects of deals. In my second month on the job (as ananalyst) my MD took me to China for an IPO org meeting. At the end of my second year, all of ourclients knew me by name and often called me directly with questions and/or requests. Culture isextremely flat, and if you’re successful there’s tremendous opportunity to act beyond your title.”

“The firm still has that ‘young and growing’ structure, which allows for a more open environment andprovides a better forum to learn on the fly. Since we do not have a very strong international presencein some of the fastest growing regions in the world (such as Asia), international opportunities aremore limited compared to other firms. IBD just instituted a new formal training program (forassociates and up), which I think is a genius idea and is extremely useful to help further develop theknowledge of Jefferies employees.”

“The best part of our firm’s career development opportunities are the open doors with vice presidentsthrough MDs which help to allow analysts learn a great deal from senior team members and allowsfor them to engage in thoughtful discussions about assessing client needs and analyzing strategicsituations. The worst aspect of our firm’s career development is the initial training program at ananalyst level because it’s purely reliant on Training the Street, which is useful, but only from atheoretical perspective, as many of the groups develop their models differently, and the teaching ismediocre.”

Quality of Life

“Senior bankers in my group don’t create unnecessary work. This might be specific to therestructuring group and not of the entire I-bank division. Also, bankers in my group understand ifpersonal events come up and you need to take a leave, which I appreciate. Additionally, there’s agood banter among the bankers, as people tend to joke around a lot, which makes work interesting.”

“Seeking a career as an investment banker requires making a conscious decision to give up work/lifebalance for a few years. Jefferies is no different in terms of demands on personal time. However, Ihave enjoyed the relationships I’ve built to date with other members of the healthcare investmentbanking team, which has helped to make the extended time spent in the office enjoyable.”

“The worst aspect from a ‘quality of life’ perspective is that work can be extremely stressful at times.The sales and trading environment is one where large risks are taken on a daily basis, and thatsometimes causes people to act in ways that you would not generally see in a normal social setting.For individuals that can barely handle the stress of school, I would say that sales and trading is not for

them. That said, the positives vastly outweigh the negatives. First and foremost, the people at Jefferiesare its greatest asset—I have never been in a room with so many interesting, intelligent people aswhen I started at Jefferies. On a more superficial note, our upper management is very good aboutscheduling firm events with clients, and on numerous occasions they have ordered food for the wholetrading floor. Lastly, while work can be extremely busy, there can also be quite a bit of down time(especially Friday afternoons) and it’s very fun to get to talk to coworkers when things are a littlemore calm.”

“Even at the analyst level, there’s an open-door policy. We work hard, but people aren’tunreasonable with the hours or workload. In my 10 months here, I haven’t felt like anyone has justcreated work unnecessarily. If the analysts are working late on something, many times the associatesand VPs are working right alongside the analysts to review or provide feedback. There’s also astrong emphasis on being able to easily approach supervisors with any concerns. I strongly believethe quality of life and culture at Jefferies is significantly better than most firms across the Street. I hadthe same perception as an intern and I was worried that it might have just been a facade coming backfull time, but that hasn’t been the case at all. The firm works hard to make it a great place to work andit’s been very evident in my time at the firm.”

Salary and Benefits

“The compensation is very fair, especially considering that first-year analysts across the Street areroughly evenly compensated. The downside is that Jefferies has become very strict with its foodpolicy for the weekends and also do not help you join a gym if you are outside of the New Yorkoffice. Overall, compensation appears to be very fair.”

“Our firm pays almost exactly the same as top Wall Street firms (we’re known for that, apparently).Only bummer is that our Seamlessweb.com budget is slightly lower/worse than other firms that haveit. However, we do have company cards we can use for meals as well, which is awesome. Healthinsurance coverage isn’t the greatest plan—there’s a decent amount of out of pocket.”

“Cash is king. Very little deferred compensation or stock this year. But all of it can be clawed back ifyou leave for a competitor within a year.”

“The firm needs to improve its 401(k) contribution. An on-site gym would also be nice.”


“We have some very passionate individuals in the firm when it comes to philanthropy, which I thinkis awesome. The amount of money our firm raises for different organizations is great, and severalpeople/the firm put on annual events to raise money for philanthropic purposes. A great example ofour firm’s take on philanthropy: around Christmas time, the firm sends out an email to everyone thatliterally allows you to Click a button in the email and automatically deduct a specified amount fromyour next paycheck for whichever organization Jefferies is sponsoring. How awesome is that?”

“I think the firm is trying to improve, but I would like to see more investment in diversity recruiting.”

“Not many women here, but what do you expect? Fewer minorities than at other shops.”

Business Outlook

“Jefferies’ energy team has a very strong position in the market and has been able to navigate thefinancial crisis through expertise. Specifically, the group has taken a unique approach to IB by hiringengineers and geologists to better understand the shale boom in the United States, and has really takenadvantage of the enormous capital demands of small players in the industry. This has helped ourgroup pull in the biggest deals in the industry over the past three years. This group is particularly safeat this time, and gives me a very positive outlook on the firm’s business outlook.”

“Investment banking revenues will be squeezed going forward, which is where our firm gets the vastmajority of its revenues, unlike other major investment banks that are more diversified. That makesme wary of our outlook. However, we have very, very prudent management and they stay away fromputting the firm in any situations that could make it insolvent (i.e. European debt). Our chairman/boardof directors and senior management are all extremely passionate about this company and that inspiresconfidence in everyone else. Despite the not-so-great economic climate, I still have faith that Jefferieswill thrive simply because of the senior management here.”

“Jefferies is well positioned to continue to capitalize on growth opportunities in the variousinvestment banking businesses. We continue to attract top talent from other bulge bracket firms whobring with them their book of clients and contribute to deal volume growth. I believe this firm isbetter positioned than any other in the industry to achieve continued year-over-year trading andinvestment banking profits due to our bridge position at the very top end of the middle market.”

“In my opinion, our firm could not have a brighter future ahead. To begin, Jefferies is a veryfinancially stable firm, and it benefits greatly from a strong partnership with conglomerate LeucadiaNational Corporation. The combined approximately 50 percent stake of Leucadia and our CEO RichHandler, coupled with very high ownership by insiders in general, suggests that interests are stronglyaligned at Jefferies. Risk is thoroughly scrutinized, with traders having specific mandates and manyeyes watching each move to circumvent unexpected, large losses. Furthermore, Jefferies is in anoutstanding position to grow its market share moving forward as it is the only large securities brokerdealer remaining that is not encumbered by the ‘bank holding company’ designation. As a result,Jefferies’ ability to take risk for clients as well as opportunistically for its own account will growrevenues as a much higher pace than any other firm on Wall Street. To a certain extent, I feel likeJefferies is the last vestige of an old Wall Street model that worked well, and to that end I think thatwe will be inordinately successful moving forward.”

25. ROTHSCHILD

Rothschild North America 1251 Avenue of Americas, 51st. Floor

New York, NY 10020

Phone: (212) 403-3500

Fax: (212) 403-3501

www.us.rothschild.com

THE STATS


Chairman: Baron David de Rothschild


RANKING RECAP


Prestige

#15 - Prestige

THE SCOOP

Well connected

Rothschild is one of the world’s largest independent merchant and investment banks. Perhaps bestknown as a high-powered advisor, Rothschild’s investment banking division provides debt adviceand restructuring services, mergers and acquisitions advice, equity advice, and advice on divestituresand privatizations. Other divisions cover private banking and trust, merchant banking and corporatebanking. It has approximately 2,800 employees in 49 offices worldwide, though its footprint remainslargest in Europe.

Rothschild’s four North American offices are in New York; Washington, D.C.; Toronto; andMontreal. As part of Rothschild’s global investment banking network, the North American investmentbanking operation collaborates with offices around the world on cross-border deals, with a specialemphasis on the middle market. Its services include mergers and acquisitions advisory, privateplacements, restructuring and project finance for U.S., Canadian and multinational clients. In the realestate department, Rothschild Realty Inc., a real estate investment advisor established in 1981, has$800 million under management through the Five Arrows Realty Securities family of funds.

Asset management services come courtesy of Rothschild Asset Management, an independent businessunit headquartered in New York City. Founded in 1970, Rothschild Asset Management specializes inU.S. equities, and manages nearly $6 billion in assets for corporations, endowments, foundations,healthcare organizations, high-net-worth investors, public pension funds and Taft-Hartley plans.

How the story began

The investment banking arm of the family-owned Rothschild Group, Rothschild has been servinggovernments, corporations and wealthy individuals for two centuries. Its London headquarters havenever moved from New Court, St Swithin’s Lane, though over the years its offices have been rebuiltand expanded. The latest version, a Rem Koolhaas-designed tower with a rooftop pavilion, is slatedfor occupancy in mid-2011.

The Rothschild story began in 1769 when Mayer Amschel Rothschild began offering banking servicesin his home town of Frankfurt, Germany. His five sons carried the family business—and the familyname—across Europe, winning fame as the financiers who funded the Duke of Wellington’s victoryover Napoleon. In later years, the Rothschilds arranged loans for the Prussian government, kept theBank of England afloat during a financial crisis, financed the British government’s purchase of acontrolling stake in the Suez Canal, helped De Beers founder Cecil Rhodes establish his eponymousscholarship at Oxford and played a major role in financing the London Tube. The modern Rothschildfamily includes vast holdings of art and land, not to mention historic estates and some of the mostesteemed vineyards in the French wine country.

There are also the financial services businesses, of course. These underwent reorganization in 2003when a new holding company, Concordia BV, was created to oversee operations in Europe. Rothschilds Continuation Holdings AG is the holding company for U.K. and other internationalbusinesses; while it remains under the control of the Rothschild family, Hong Kong-based JardineStrategic owns a 20 percent stake and Rabobank owns 7.5 percent.

Deal masters

Each year, Rothschild picks up its share of banking industry recognitions. In 2009, EuroWeek dubbedRothschild the LBO Advisory Bank of the Year, and Acquisitions Monthly recognized the bank'swork on the £7.8 billion ($15.4 billion) acquisition of Scottish & Newcastle plc by Carlsberg A/Sand Heineken, naming it the Cross Border Deal of the Year. In 2010, Acquisitions Monthly namedRothschild Germany M&A Adviser of the Year and Restructuring House of the Year, and gave thefirm M&A Deal of the Year honors for its work on the Porsche-Volkswagen merger. The Banker alsosingled out Rothschild for its work advising VW, giving it a European M&A Deal of the Year award. For the first six months of 2010, Rothschild ranked No. 11 in worldwide announced M&A dealvolume, according to Thomson Reuters. Rothschild also ranked No. 8 in European announced M&Aand No. 5 in U.K. announced M&A.

ABOUT THE EDITOR

Derek Loosvelt has a BS in economics from the Wharton School at the University of Pennsylvaniaand an MFA in creative writing from the New School. His writing has appeared in several online andprint publications. Previously, he worked in investment banking as an M&A analyst and associate.

2014 top 50 banking firms

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