Investment Banking Analyst Interview Questions

Spoke about the deal of e.on and innogy

I came a little bit unstuck on this one. He was looking for very definitive reasons and a distinction between investors' and directors' points of view. Simply saying synergies or diversification wasn't good enough. I came up with EPS accretion and specific synergies (to reduce costs, increase margins and profits) on the plus side, overcoming the premium that one company was paying and potential leadership issues on the negative side. Couldn't really think of anything else but he definitely wanted more. It's probably a good idea to have a look at recent deals and have a good think about the issues involved and make a list.

long term rate of return

Payback Period, NPV, IRR

How did you answer this question? (Optional)

Just put it in a structured way, and you'll be fine

Get a well prepared answer for this one

Motivation (true motivation), know the subject, the ins and outs of the day-to-day job of an analyst...