Guggenheim Securities interview questions, from sophomore spring to superday

1. Freshman and sophomore

   Early programs

   Freshman Day on the Job and Sophomore FOCUS give select students early exposure through events. FOCUS participants are eligible for a job interview the following summer.

2. About February 1

   Roles open

   Investment banking internship roles open on Guggenheim's website on or about February 1 of sophomore year.

3. Sophomore spring

   Interviews

   They run from the spring of sophomore year through the summer before junior year. Guggenheim Partners' campus page says it interviews on campus at a limited number of schools and also at its offices.

4. Final year

   Full-time, some years

   When it adds full-time analysts who did not intern there, applications open on or about July 1, with interviews in August and September.

Written by Soreno, not Guggenheim, starting from facts on the bank's own sites.

1. 1

   Guggenheim Securities is the investment bank of Guggenheim Partners, whose roots go back to the Guggenheim family business of the late 1800s. Why start your career here?

   What a strong answer does

   Guggenheim Partners has two main businesses, Investments and Securities, so a follow-up on how the bank relates to its parent is fair game. Have that difference in one sentence before you give your own reasons. Try this one out loud

2. 2

   Why interview with Guggenheim Securities rather than a bulge bracket bank?

   What a strong answer does

   Its advisory page says its bankers are willing to tell a client to walk away from a deal when that is the best answer. Be ready to name the specific bank you are comparing it with, since interviewers often ask. Try this one out loud

3. 3

   Beyond M&A, Guggenheim Securities has groups like Private Capital Advisory and Equity Capital Markets. Which of those would you pick first?

   What a strong answer does

   Guggenheim describes Private Capital Advisory as continuation fund and secondary work for sponsors and limited partners, and calls its Equity Capital Markets team an active bookrunner. Whichever you lean toward, expect a follow-up on how that market is doing this year. Try this one out loud

4. 4

   Why Guggenheim's Capital Structure Advisory team, with its restructuring and liability management work, over M&A advisory?

   What a strong answer does

   The advisory page says the team works for corporates, sovereigns and their stakeholders, and the overview cites more than $4 trillion of liabilities restructured. A creditor or a government is a very different client from a company, so know which you mean when you talk about the work. Try this one out loud

5. 5

   Guggenheim says it is driven by intellectual curiosity, intense collaboration and receptivity to change. Tell me about a time you adapted to a change while working in a team.

   What a strong answer does

   Its careers page says its teams work in industries undergoing significant change, so a story set in a fast-moving field fits well. Have an answer ready for what you would do differently next time. Try this one out loud

6. 6

   Would you rather start as a generalist or in one group, and how would being a generalist help you as a junior banker?

   What a strong answer does

   Some banks place summer analysts in a group and others keep them general, so check how the program you applied to is set up. You may also be asked what you would do if staffed in a sector you know nothing about, so have a plan for that first week. Try this one out loud

7. 7

   Guggenheim Securities supports juniors with training and formal and informal mentoring. What two skills do you want to learn from mentors in your first year?

   What a strong answer does

   Guggenheim Partners says its campus programs typically include formal mentorship alongside training, networking events and community service. Saying what you would offer a mentor in return, like fast turnaround on their requests, shows you see it as a working relationship. Try this one out loud

8. 8

   Guggenheim's Freshman Day on the Job and Sophomore FOCUS programs look for resilience. Walk me through a real setback and how that would carry over to banking.

   What a strong answer does

   Guggenheim's wording covers personal, academic and professional circumstances, so you can choose the setback you can discuss calmly and in detail. Interviewers notice how you talk about the other people involved, so leave blame out of it. Try this one out loud

9. 9

   Guggenheim lists Technology, Media, and Telecom & Digital Infrastructure among its sectors. What draws you to one, and how would you advise a client there?

   What a strong answer does

   Its sector list is detailed, down to data centers, semiconductors and satellite and spectrum. Naming one of those and a deal you followed in it says more than talking about technology as a whole. Try this one out loud

General practice, not Guggenheim's own questions. Candidates describe a mostly behavioral superday, so expect these to come up briefly.

1. 10

   Walk me through a DCF.

   What a strong answer does

   Free cash flow, a discount rate, a terminal value, then the bridge to equity value. Say it in under two minutes and be ready to defend each input. Try this one out loud

   • “Perpetuity growth or exit multiple?”
   • “Why use unlevered free cash flow?”
2. 11

   How do enterprise value and equity value differ?

   What a strong answer does

   One belongs to all capital providers, the other to shareholders. Show the bridge with net debt and where preferred stock and minority interest sit. Try this one out loud

   • “Why add debt and subtract cash?”
   • “Which multiple uses equity value?”
3. 12

   A company raises $100 of debt. How does it flow through the statements?

   What a strong answer does

   Cash and debt both rise by $100, and the income statement doesn't move on day one. Interest expense shows up as it accrues. Try this one out loud

   • “What changes when it pays the interest?”
   • “What if it uses the cash to buy back shares?”
4. 13

   A company has $100m of EBITDA. How much debt can it support?

   What a strong answer does

   Four times EBITDA would mean $400m, if lenders accept that multiple and the cash flow covers the interest. A cyclical business deserves less. Try this one out loud

   • “What would a lender look at first?”
   • “How do covenants limit the answer?”
5. 14

   What makes a company a good LBO candidate?

   What a strong answer does

   Steady cash flow, room for debt, a fair entry price and a clear way out. Name a type of company that fits and one that doesn't. Try this one out loud

   • “Where do LBO returns come from?”
   • “What is the difference between IRR and MOIC?”