Advice to Finance Grads

Herewith is my download to those who are thinking of entering the world of finance...much like I did 10+ years ago.

Connections:

As soon as you can meet people who are in the business: both in positions you'd like to be in and others. This will not only give you an entry into the business but will also help solidify your conviction of which path is right and (most importantly) show your interviewers and eventual colleagues that you're not some 100% green recruit (you'll be just 99% green).

My first introduction came at a Finance Night where I met a gent (Lorne Harper) who was with Midland Walwyn (later taken over by Merrill Lynch and then sold to CIBC Wood Gundy). He did nothing for me but later was my regional manager at RBC Dominion Securities. I also met an outstanding institutional salesman with Levesque Beaubien Geoffrion, a David Williams. He was a CFA charterholder and introduced me to his manager (who ended up at Pacific International Securities before succumbing to a heart attack...something that shook some sense into me about enjoying life) and coached me on how one gets into the business.

Everyone after that helped as well, but you never forget those first introductions to the industry that help form your opinion of it...which is part of the reason, I guess, that I went to Finance Night in the first place: to try to show students that you can make it in this business with an SFU BBA.

Public Speaking:

I've always been kind of shy...in an extroverted way, at least. I like speaking out, on my terms, though. So, when it comes to speaking and I have time to put a speech together (especially when I know the topic) I have little problem doing it. The delivery, however, at first was quite brutal. Then I joined Toastmasters with my bud Willi and then joined the Rotary Club of Vancouver Fraserview and ended up as their president for a one-year term...that was enough practice to get many of the kinks (timing, use of humor, enunciation) out.

I used to think that I could get by just by being good one-on-one, but the more I see in this business the more I have come to know that if you want to make it you have to be comfortable in any group and on a variety of topics...and part of that is being comfortable with yourself (a tough tack for this guy).

Appearance:

When you're interviewing or attending seminars and such it's ok to have one suit, one shirt and one tie to go with your one pair of dress shoes. Once you start working, though, you need to look good everyday. For some this is no problem, but for others it's out of their comfort zone (not to mention pocketbook).

Here are the basics (for a man, at least):

• 2 suits with an extra paid of pants each (so you don't spend every night ironing them and can send them to the cleaners and have an extra...plus, pants usually wear out first; one navy and maybe one dark grey);
• 5-6 pair of black/navy dress socks, preferably ones that come up over the calf (never show skin; and socks must match pants or shoes so no brown shoes with black socks and navy pants!);
• 5-7 good dress shirts (2-3 white ones, the rest very boring stripes or windowpane check...nothing too showy);
• 5-7 undershirts (T-type; oddly, you will feel cooler in the summer as sweat will be closer to your skin and it'll also save your dress shirts from pit-stains);
• cufflinks (if you dare);
• 5-7 ties (stripes, simple patterns and solids...nothing gaudy!);
• 2 belts and 2 pair of shoes (one brown the other black, or 2 black--always matching, always; no suspenders but, if you must, never together with a belt);
• a good overcoat (black) and/or trenchcoat (black or camel).

If you have the urge, you can get all of this in Seoul for about CAD 1,100 (plus a grand for the ticket to get there, plus lodging and such). Buying it in Vancouver would be about CAD 3,500+...you do the math.

Courses and Learning:

While in school (or shortly thereafter) make sure you take at least one Business Law course. All business is based on contracts and if you don't know the basics in that you might as well stay out of the industry.

Learn another language (at least a little bit). Most Canadians know a little French, but in addition to that you might learn Mandarin or Cantonese, Japanese, Korean (you know my bias), German or Swiss. These, I think, are the major 'other' languages of business--depending on where you'd like to locate or specialise. Spanish is ok, but most of those countries are in brutal economic shape...just my leaning, though.

Take the CFA. Just do it. It's not only good to have but required in many positions.

All other courses you can take: take them. In Canada the Canadian Securities Course, the Canadian Investment Manager designation courses and others are important background to the industry and skills needed to do the job.

Understand options and futures. Everything in business can be broken down to options theory. It incorporates time value of money, volatility/risk, and intrinsic and (what I call) 'hopes and dreams' value (any market value above intrinsic). Even if you don't go into finance forever you can use it in real estate and other areas as well.

Other Reading:

Read all you can about the business. I've posted quite a few reviews on the blog...in the next little while I'll add a more definitive list for grads--so now you'll have to add your email to my Blogarithm update email thingy and check back.