Interview with: Big 5 Commercial Banking New Grad – Interest Rates, Hours

by Karl - December 31, 2019December 31, 20190

Where do commercial bankers usually take clients? Personally, not a lot of knowledge about that – it’s almost always the account manager that does all the wining and dining. I am aware that it’s quite common to get valued clients in the box seats of a hockey game. The account manager

Interview with: Big 5 Commercial Banking New Grad – Getting In, Training & Orientation, The Role

by Karl - December 31, 2019December 31, 20190

How many commercial banking new grads are hired every year by the Canadian banks? In short, it varies. I know that CIBC and TD hire under 10 people per year. But on average, about 10 – 15 people per year. However, there is some occasional year-round/off-cycle hiring when someone quits/get promoted,

Commercial Banking in Hong Kong

by Karl - September 18, 2019September 18, 20190

Written by a Vice President of Commercial Banking in Hong Kong Commercial Banking Career Path in Hong Kong Despite what you may see in the news, commercial banking in Hong Kong is booming still. If you go on LinkedIn, eFinancialCareers or indeed.com, you will find too many jobs to fill, from entry

Introduction to Debt Capacity

by Matt - September 12, 2019September 12, 20190

Debt capacity is an analysis conducted in determining what is the sustainable level of debt for a company. Debt capacity is a very important concept to understand in credit. As such, debt capacity is the first thing they teach in the training manual for corporate and commercial bankers – how much

Picking Bank Stocks to Invest In

by Matt - March 14, 2019March 14, 20190

Choosing Comparable Companies for Banks and Diversified Financial Institutions This is our second post on analyzing bank stocks. Keep in mind that when looking at banking, the most pure play bank is a bank that takes deposits and lends, charges service fees and invests excess equity in relatively safe fixed income

Introduction to Analyzing Bank Stocks

by Matt - March 13, 2019March 13, 20190

The following article should not be taken as investment advice and is for information purposes only For most people who invest in stocks, whether through building a blue chip portfolio themselves or through mutual funds/ETFs, they are usually invested in bank stocks. The big banks are an important part of every

Liquidity Ratios and Asset Based Lending

Commercial Banking

by Matt - February 22, 2019February 22, 20190

Illiquidity and Insolvency for Debtors Any entity that has debt can become illiquid or insolvent. Illiquid means that the debtor cannot service the debt at the time with liquid assets (which in accounting class generally means cash, accounts receivable and inventory - in decreasing order of liquidity), not because it does

Trade Finance and Letters of Credit Overview

by Alex - July 17, 2018July 17, 20180

Introduction to Letters of Credit Since the inception of international trade, the need for risk minimization of the transaction for both buyer and seller has been paramount. Letters of credit have been used for a long time to accomplish that purpose by facilitating payments in the form of guarantee. As LCs

Types of Revolving Loans

by Alex - June 20, 2018June 23, 20180

What is a Revolving Loan? Revolvers are some of the most common loan products available from commercial banking and corporate banking. Most people are familiar with the concept of a regular loan. The borrower takes out a fixed amount of money (the loan principal) that must be paid off along with the

Common Negative Covenants for Corporate Banking (and Bonds) and CoC

by Alex - June 3, 2018June 3, 20180

What are Covenants in a Loan Agreement or Bond Indenture? In the most basic sense, a covenant is an agreement between two or more parties, where one party makes a solemn promise to refrain from or to engage in a specific activity. In the banking (financial) world, a covenant in a formal