JPMorgan Graduate Schemes

Graduate Careers at JPMorgan

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JPMorgan. have graduate opportunities and internships across all lines of business:

• Investment Banking
• Sales, Trading & Research
• Asset management
• Risk
• Operations, Finance & Business Management
• Technology

JPMorgan Careers Profile

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Investment Banking

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Investment Banking recruits analysts for four key business areas for JPMorgan:

• Country Mergers & Acquisitions teams
• Pan-European Sector teams
• Country Capital Markets teams (Debt and Equity)
• Securitised Products team

As an Investment Banking analyst with JPMorgan, you will learn to carry out in-depth company and sector research, analyse the data and draw financial and strategic conclusions from your work.

Country Mergers & Acquisitions teams

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You will be working on transactions within their specific country and across all industry sectors. On a deal team, you will work alongside senior Mergers & Acquisitions (M&A) colleagues with knowledge of executing M&A transactions in that country as well as colleagues from the Pan-European Sector teams with a detailed understanding of executing M&A transactions in that industry.

Pan-European Sector teams

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You will use your acquired sector expertise as well as M&A and Capital Markets knowledge to come up with creative transaction ideas to assist JPMorgan's clients in their strategic development.

You will help value the target, assess its merits, define the negotiation arguments and tactics with the M&A team, assess the acquisition's impact on the client and work closely with Capital Markets team to determine the optimal financing structure.

Country Capital Markets teams

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You will be closely involved in the debt financing execution process and would be expected to co-ordinate the production and distribution of bond pre-marketing materials such as investor presentations, Bloomberg roadshows or loan information memoranda.

You will work closely with bank and bond syndicate teams, help focus the respective sales forces on the transaction and assist them in answering credit related questions. You will co-ordinate the documentation process with lawyers and the internal Transaction & Execution group, as well as due diligence sessions with management. As a core part of the team you will also assist with the marketing of the transaction internally and to other potential issuers.

Securitised Products team

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You will be involved in the marketing and execution of securitised financing solutions for a broad range of JPMorgan's clients. The graduate's analytical skills will be put to the test when it comes to assessing and modelling cash-flows and it will be a steep learning curve as graduates come to understand all the components that make up these highly structured transactions. You will work closely with a broad range of professionals from different areas of the bank and gain a broad understanding of all the bank's products that can be put to use in securitisation.

Sales, Trading and Research

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The main areas within Sales, Trading & Research are: Currencies & Commodities, Equities, Credit, Rates, and Emerging Markets.

Within each of these areas graduates will focus on a specific roles such as: Research, Structuring, Marketing, Sales, Trading, and in Equities only - Sales Trading.

Research

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The role of equity research is to value companies, determine what drives share prices and then make investment recommendations. Credit research focuses on the credit worthiness of companies and the impact of this on the price of corporate bonds. The research role has evolved with the stockbroking business.

Structuring

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You will be connecting Sales/Marketing and Trading in the space of complex derivatives, i.e. where an additional layer of expertise regarding financial engineering is required in the workflow.

Marketing

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You will be responsible for cultivating relationships with clients, understanding their needs and advising them on the wide range of derivative solutions available to them.

Marketers act as a hub for the different groups involved in constructing the deal, creating the communication link between the investors, the sales force and the structuring team.

Sales

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Graduate salespeople form the link between JPMorgan's Researchers, Traders and their clients.

A graduate's day on the sales team will start early as the first task will be to review overnight market activity, and form independent views. You will spend a lot of time on the phone, calling clients to give them fresh ideas and news.

Trading

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Graduate traders actually price and execute all financial transactions. They buy and sell assets - either for the firm's clients or on behalf of the firm itself. You will be managing risk - neutralising any exposure JPMorgan might incur by entering a transaction with a client. This is known as hedging.

There are two types of trader: Market-Makers and Proprietary traders. Market-makers provide liquidity and market insights to the firm's clients. Proprietary traders invest on behalf of the firm.

Sales Trading (Equities only)

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Graduate Sales Traders speak directly to the dealing desks of the firm's clients, who range from institutional investors to Hedge Funds. As a Sales Trader, graduates would liaise with these dealing desks and traders to facilitate client business either via block, single, electronic or program trading.

You would also ensure that clients were aware of any news flow that may be relevant to their business, so they are in the best position to make decisions.

Asset Management

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Graduates could begin a career in Asset Management in any one of the following areas: Currency, Equities, Fixed Income, Investment Operations & Client Services, Client Infrastructure, Finance or Real Estate.

Currency

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You will initially be involved in preparing strategy orders and the daily management of the firm's client portfolios, as well as running and maintaining business-critical spreadsheet models. As your career progresses, you will have the opportunity to rotate within a team and enhance your skills and experience with professional training, including CFA and the IMTP.

Equities

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Graduates could be working in any one of four teams: European Equities, Global Portfolios, Multi-Asset Portfolios and Emerging Markets Equities.

You will be assigned to one of several roles, depending on the your aptitude, interests and the firm's needs.

Fixed Income

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A graduate can take several different career paths and roles within Fixed Income. You do not necessarily require a background in statistics or mathematics, just a keen interest in the financial markets. You could be working as an analyst within the Credit teams, responsible for analysing potential investments for the JPMorgan group.

Alternatively graduates could work in the Client team, which pitches to existing or potential clients to win new business. In Research, graduates will expand their knowledge of fixed income capital markets and products, risk management and performance analysis. Within the Portfolio Management team, graduates will gain an insight into the firm's core fixed income portfolio and transaction management capabilities.

Investment Operations and Client Services

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Investment Operations is a middle office function providing operational support to the institutional asset management business, covering the trade flow through to cash management for JPMorgan's portfolios under management. The core teams are Trade Support, Data Management, Initiatives, Cash Management, Vendor Oversight, Fixed Income Middle Office and Transitions where graduates could be involved in a variety of tasks such as liaising with brokers, traders, cash managers and the overseas offices in order to achieve timely resolution of queries, servicing intra day requests from portfolio managers for the creation of new assets for trading purposes and the oversight of daily pricing for portfolio valuations.

European Client Services covers all aspects of client interaction for both retail and institutional clients who invest in a wide range of products ranging from segregated investment mandates to investment trusts.

Client Infrastructure (Marketing, Sales, Strategy & Planning)

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You will be involved in analysing products, client segments and competitors to better understand the market and product positioning. As part of the Sales teams, graduates could provide operational support to clients, co-ordinate the reporting process or assist in the development of internal training programmes to enhance JPMorgan's client's product knowledge.

Within Strategy & Planning, graduates could develop their product knowledge by researching and developing business proposals used to win new business or by learning how new funds are registered and launched and how prospectuses are updated. Finally, graduates may gain insight into the business as a whole by producing revenue and profitability reporting used by senior management.

Finance (Accountancy)

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A graduate role in Finance could involve assisting with the production of monthly or quarterly management information, giving the business insight into revenues, expenses and profitability. Graduates could be processing legal entity bookings and ensuring adherence to controls around cash payments as well as providing commentary around expense items and forecasting of both revenues and expenses.

Real Estate

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As part of the real estate team you could be assisting the acquisition officers in analysing potential property transactions. Alternatively you could be providing the asset managers with ongoing strategic management of the properties or with market and industry research.

Risk Programme

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JPMorgan break risk down into five areas: Credit Risk, Market Risk, Operational Risk, Legal Risk and Reputation Risk. Notably, they only recruit graduates into Credit Risk, although in training graduates will be exposed to further Risk areas.

As an analyst you will start your career with a tailor made three-year rotation programme. You will develop knowledge in assessing and managing the risks of both loan products, traded and operating products. You will also have the opportunity to experience a trading environment, the pressures of transaction execution, discuss use of the bank's capital, perform in-depth reviews of various industries, contribute to setting strategies to reduce the firm's overall credit exposure and analyse credit risks on an industry, client and transactional basis.

Operations, Finance and Business Management

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JPMorgan offer a rotational programme which allows graduates to experience roles within different business areas and strategic functions. You will get the chance to work in both line and project based roles.

On this programme, you could be working in Investment Banking or Treasury & Securities Services. Graduates will have the opportunity to experience a number of different roles in functions such as Client Services, Trade Management, Risk Management and Finance & Business Management.

Technology

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JPMorgan recruit a significant number of graduates from non-technical backgrounds with an interest in technology. The firm also welcome graduates from mathematical and analytical backgrounds or technical specialists in areas such as infrastructure, software or information architecture, who are interested in design and engineering.

It is advantageous to have Real Time system experience, Unix, SQL and one of a number of application languages such as Java, .Net, C++ or VB.

JPMorgan Interview Questions

Application Process (Investment Banking)

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The application, interview and assessment process varies somewhat between different lines of business at JPMorgan. The specific interview questions and information contained herein is based around investment banking and other front office roles.

The application process consists of:

• Online application form
• Online numerical/verbal reasoning test

The assessment process consists of:

• Competency based interview
• Technical interview and numerical reasoning test (paper based)
• Assessment day

Online Numerical & Verbal Tests

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The numerical test consists of 20 questions in 22 minutes. Most questions require the interpretation of charts and tables. The test is designed by SHL.

JPMorgan provides some comprehensive examples of the online numerical and verbal tests here.

Most people will need to practise the numerical reasoning test to pass it. Pages 7-23 of this book may prove extremely useful in preparing for any of the numerical tests.

You can take practice aptitude tests to improve your interview performance here

Competency Interview

[Edit] The first interview is primarily designed to assess your motivation for joining JPMorgan, and is taken by a member of HR. The interview will be split to ascertain the following:

• Your motivation, reasons and commitment for a career in investment banking and finance
• Your motivation, reasons, and commitment for a career at JP Morgan
• Competency based questions
• Commercial awareness

You will be required to discuss and draw upon your experiences at university to provide examples to back up your motivations and competency for working at JPMorgan.

Interview questions you are reasonably likely to be asked include:

• Why are you interested in finance?
• Why JPMorgan?
• What do you know about JPMorgan?
• Why investment banking/the line of business to which you have applied?
• Why did you pick your university?
• Why did you pick your university course?
• What motivates you?
• What three things would your friends say about you?
• What do you think you will be doing in your first year/internship at JPMorgan?
• Tell me about your academic and social life.
• Tell me about a time you worked as part of a team. (Competency)
• Tell me about a financial story/non financial story that had taken your interest at the moment. (Commercial Awareness)
• What are your three main strengths?
• Tell me about a leader that you have read about in the press that you aspire to

You will also be given the opportunity to ask questions yourself.

Practise difficult accounting & professional services interview questions here

On a single day, JP Morgan may interview 150 candidates, and your interviewer will have carried out identical interviews hour after hour. Make a pleasant, personable impression and go out of your way to please the interviewer such that they enjoy interviewing you, and you will likely get them on your side. Of course, this isn't always possible. If there is no chemistry with the interviewer, or the interviewer looks bored, stressed or tired, give them the answers they need in as efficient manner as possible, so that the interview is made effortless for them. You will do well to prepare responses for the questions listed above, however, never repeat responses parrot-style during an interview.

Technical Interview

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The technical interview is likely to be more challenging than the first. The purpose of this interview is to test your technical ability and abilities to think on your feet. They will also be attempting to assess your ability to work under pressure.

Questions you are reasonably likely to be asked include:

• Why JPMorgan?
• Why investment banking?
• What do you know about finance?
• What do you know about investment banking?
• What's 17 x 18?
• Are you planning to do MBA?
• What is share capital?
• What is IPO?
• What are your future plans?

You will also be likely to have to:

• Solve a riddle
• Draw some graphs
• Do percentages and arithmetic mentally

The most important thing to do in this interview is keep your cool. They will be trying to find your breaking point. Do not panic and become flustered, this is the response that they are trying to achieve. Take your time when solving problems, and do not be afraid to speak your reasoning out loud. Practicing mental arithmetic beforehand may help you.

Numerical Test

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The numerical test is performed on paper. The test is designed by SHL. The test is timed and you will be allowed to use a calculator. Calculator (you may bring your own), pencil, eraser and scrap paper will be given. The test is 25 minutes long and there are 28 questions.

The test will require you to:

• Perform basic calculations
• Interpret information contained in tables, charts and graphs
• Use percentages
• Use ratios
• Use fractions
• Use logical thinking
• Perform calculations and reasoning using time and dates.

No mathematical experience beyond GCSE is required, although a degree with a technical background will be an advantage. Many consider the numerical test at JP Morgan to be amongst the most difficult of all firms, so you should be prepared for this when taking the test.

There will be extreme time pressure during this test. You should work as swiftly and accurately as possible. It is extremely important that you manage your time appropriately on the test, and move on once a question's allocated time has passed. It is unlikely that you will finish the test in the time provided.

Assessment Centre

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JPMorgan use assessment centres for graduate schemes in their Operations, Finance & Business Management divisions.

The assessment centre consists of:

• Case study exercise
• One-on-one presentation based on the case study,
• Group exercise
• An interview based on the presentation and group exercise.

You can prepare for your Assessment Centres with online training - click here

JPMorgan Technology Interview & Assessment

Technology Assessment Centre

[Edit] The technology assessment centre consists of:

• Case study & presentation
• Group exercise
• Interview

Case Study & Presentation

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You will be given a bundle of papers, composed primarily of emails stating problems with a (make-believe) company's IT system. You will have approximately 45 minutes to deduce what the problems are and suggest solutions.

At the end of the 45 minute period you will be required to give a presentation on your findings and proposed solutions. It is a one-on-one presentation.

Group Exercise

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The group exercise continues on from the case study and presentation. Each person in the group is given unique information about potential upgrades to the system described in the case study. As a group you will need to discuss each of your solutions and decide on the best one to implement.

Interview

[Edit] Finally you will receive a one-on-one interview. The initial part of the interview will discuss the group exercise, with questions such as:

• Do you think you showed any leadership?
• What was your contribution?
• Did you correct anyone?

This will be followed some competency based interview questions and standard career motivation questions, such as:

• Why JPMorgan?
• Why IT?