What to Avoid Saying in an Investment Banking Job Interview

When preparing for an investment banking job interview, it's crucial to understand what phrases or topics to avoid. These strategic missteps can significantly impact your candidacy, whether it's through negative comments, a casual attitude, or unrealistic expectations. Here, we provide a comprehensive guide of what not to say during your interview to ensure you present yourself as a knowledgeable, committed, and professional candidate.

Common Pitfalls to Avoid

Here are some of the most common pitfalls to avoid in an investment banking job interview:

Negative Comments about Previously Employers or Colleagues

Never criticize your former employers or colleagues. Comments like, 'My last firm was terrible, and my boss was a nightmare,' may appear unprofessional and suggest that you're a difficult person to work with. Even if you had a challenging experience, it's best to keep negative comments to a minimum or save them for post-interview reflection.

Lack of Interest in the Role or Industry

A monologue like, 'I’m just looking for any job,' undermines your commitment and passion for the industry and the specific role. Demonstrating genuine interest and knowledge about investment banking can make a significant difference in the interviewer's perception of your suitability.

Overly Casual Language or Demeanor

Avoid using slang or informal expressions. Maintain a professional language and demeanor, as these attributes are highly valued in investment banking. Even if you feel comfortable, err on the side of professionalism to show that you take the interview seriously.

Unrealistic Salary Expectations

Discussing high salary demands without understanding industry standards can raise red flags. Make sure you research the industry and the range of salaries for the specific position. Overly high expectations can lead to tension and potentially disqualify you from the position.

Avoid Admitting to a Lack of Knowledge

Not doing your homework can signal a lack of initiative and interest. Before the interview, familiarize yourself with the firm, its recent deals, and the industry at large. Demonstrating that you've prepared thoroughly can enhance your credibility and make you stand out.

Desire for a Work-Life Balance

While emphasizing a work-life balance is important, it can also imply that you're not prepared for the demanding hours typical in investment banking. Framing the conversation in a way that highlights your dedication and adaptability is more effective. For example, you can discuss how you manage your time and meet deadlines while maintaining a healthy work-life balance.

Vague Answers to Technical Questions

Demonstrating a thorough understanding of financial concepts, models, and current market conditions is essential. Providing vague answers to technical questions can undermine your credibility and make you appear less qualified. Prepare thoroughly by researching and practicing answers to common technical interview questions.

Expressing a Fear of Working Under Pressure

Investment banking is inherently high-pressure. If you express a fear of working under pressure, you may be disqualified from the position. Instead, discuss how you manage stress and handle high-pressure situations. Highlight specific examples of times when you successfully managed stress in the past.

Being Overly Confident or Arrogant

While confidence is valuable, excessive confidence can be off-putting. Striking a balance between confidence and humility is crucial. Be prepared to discuss your achievements, but do so in a way that acknowledges the contributions of others and the broader context of the projects you worked on.

Additional Tips to Avoid

In addition to the common pitfalls mentioned above, here are some tips to avoid during an investment banking job interview:

Avoid Arrogance and Self-Bravado

Avoid making statements that come across as arrogant or suggesting that you are a great person. Bankers typically have stellar CVs. Therefore, it's best to present yourself as a normal and humble candidate who has excellent achievements. Avoid bragging about any personal accomplishments, no matter how significant they may be.

Avoid Trying to Impress Unnecessarily

Do not attempt to impress the interviewer by over-explaining complex financial matters. Come across as knowledgeable but conversant, not as an authority or someone with an inflated sense of self. For example, avoid expressing domain expertise in a confident but presumptuous manner, such as discussing a complex transaction with a telecom banker in a patronizing way. Instead, present your knowledge in a respectful, conversational manner.

Avoid Vagueness and Rambling

When answering questions, provide structured and clear responses. Use the technique of structuring your answers to cover relevant aspects comprehensively. For instance, respond to, 'Tell me about yourself,' by breaking down your answer into three parts: A) Your profile, B) Why you are a good fit for the role, C) Why you are interested in investment banking and the firm. This approach ensures your answer is cohesive and relevant to the interviewer's questions.