BMO Final Interview

Will we enter a recession?

"Given the pace and intensity of Fed tightening, there's a strong likelihood that the U.S. will enter a recession in 2023," says Russ Koesterich, portfolio manager of the BlackRock Global Allocation Fund(opens in new tab). "That said, given strong household balance sheets and resilient consumption, our base case is that it will be a mild recession."

how do rising interest rates bring down inflation

"Raising interest rates helps to reduce the overall level of demand and therefore, hopefully, reduces the upward pressure on prices," says Gapen. So why might this cause a recession? In the long run, businesses may respond to consumers purchasing fewer goods and services by reducing production, Put another way: When people start buying less good and services, companies respond by producing less of them. According to Gapen, when companies reduce output, they also cut back on inputs and labor.

Hobby?

- horror movies, - skiing, - trying new food places with my sister

Something unique about my background

-grandparents from Italy/grandma as a role model always empowering me - that's what led me to become a hard worker -all-girls high school

Stock: Elf

-reported earnings last week (52 week high) that beat estimates, grew net sales and market share -recession proof lower cost relative to competitors, sold heavily at Walmart and Target, a consumer staples stock that will likely do well in a recession; brand strength in lower-cost beauty -may outperform the market -strength in retail and e-commerce channels

Investment Banking Rotation

You will gain valuable exposure to a wide number of industries and work with a variety of financial products including public and private debt and equity financings, mergers, and acquisitions, and financial advisory. Responsibilities may include: Running valuation analyses Performing complex financial modeling Conducting industry and company research and analysis Developing client presentations Writing internal and external marketing memoranda Performing other tasks supporting client relationships and business development

More BMO deals

Bank of Montreal's capital-markets unit was the top arranger of initial public offerings in Canada in 2022, eking out two significant deals in a year when plunging equity prices all but froze the market for companies seeking to sell shares for the first time. The largest IPO last year was for eye health business Bausch + Lomb Corp., a deal that raised $711.9 million for Bausch Health Cos. as part of its plan to separate some of its businesses. The next biggest deal was the $125 million offering from apartment owner Dream Residential Real Estate Investment Trust.

Stock: Etsy

Before the COVID-19 pandemic, Etsy was growing nicely by connecting crafty makers with customers looking for something a bit more out of the ordinary than mainstream e-commerce fare. During the pandemic, e-commerce got a huge boost. But Etsy absolutely skyrocketed, growing at more than twice the rate of overall e-commerce. It certainly helped that Etsy was a natural fit when people wanted unique face masks, but its growth has been impressive across all product categories. In the second quarter of 2022, Etsy's marketplace sales volume was up 141% over comparable pre-pandemic levels. As you may notice throughout this list, powerful platforms get my attention. Make no mistake: Etsy is one of them. Few e-commerce companies go head-to-head with Amazon and survive. Etsy not only survived when Amazon rolled out its own handmade items platform; it won. But this could still be the early days of an excellent long-term growth story. Because of its platform and brand strength, Etsy's market opportunity is in the hundreds of billions of dollars, and it has just started to scratch the surface. And, with the stock falling significantly in the recent growth stock downturn, now could be a great time for patient long-term investors to take a closer look. -experienced a loss in 2022 -business stabilized in Q3 and began to accelerate -created a niche in online retailing offering a platform where artisans, hobbyists and others sell their handcrated products -recession proof, people will want to sell their stuff -online crafts marketplace is growing was high, dipped, and is climbing up again smaller faster growing companies (younger investors) junior growth stock, i can take more risk big winner even before pandemic etsy soared in march 2020 and all time high in november 2021 stock plummeted from its highs after covid in less than 6 months etsys sales slowed, since then it's accelerated, has rebounded etsy you don't need to sacrifice profitability for fast growth the earnings pulled back but it stabilized etsy has ethos of younger investors enables you to support small business and hobbyists working out of their homes Etsy's fundamentals include several clear advantages that position it well for a potential recession. These include its nimbleness, customer loyalty, intellectual property (IP) strategies to provide a user-friendly experience, and Etsy's value proposition for suppliers. people will want to make money selling shit

BMO Services

We cover the whole balance sheet, from foreign exchange, trade finance and treasury management to corporate lending, securitization, public and private debt and equity underwriting. Our team of experts can also provide a full range of advisory services, along with industry-leading research, sales and trading. Advisory Capital Raising Global Banks & Global Trade Institutional Investing Investment Products Market Risk Management Research & Strategy Sustainable Finance Treasury Services

A major change and how you adapted

Went to another state for college; all girls school My grandpa died, first time I had to deal with death and the value of someone's life

Current trends

1. Artificial intelligence-The technological revolution has brought artificial intelligence (AI) to the forefront of society, making a reality of what was previously only imagined. With AI disrupting many aspects of our lives, the emerging technology could become the most influential industry of the century.2. Rising interest rates-To curb inflation, the Federal Reserve has increased interest rates to the highest level since 2007 while suggesting more rate hikes could be on the horizon. (Historically, specific sectors of the economy tend to perform well in a rising rate environment. When it comes to financial institutions, for example, even a small interest rate increase can mean billions of dollars in interest income as they charge higher rates on loans. Another group that often benefits are cash-rich companies with low debt. As yields rise, these corporations collect higher yields on their cash reserves. Within the S&P 500, technology and health care companies often have the biggest cash piles, as many hoard cash for strategic acquisitions and other growth opportunities. Tech stocks struggled mightily in 2022, however, as even the biggest names saw a sharp pullback in share prices as the Fed tightened monetary policy.)Outside of stocks, investment returns in the bond market are also highly correlated with interest rates. And there are multiple investment strategies investors can follow to profit from this trend, from investing in short-term fixed-income securities to reinvesting coupons from long-term bonds.3. The metaverse-The future of the internet includes virtual worlds where humans can interact without the confines of physical space. And according to analysts' estimates, these virtual environments could be the next big investment opportunity.4. Inflation protection-According to data from the U.S. Labor Department, inflation remains above its highest level since the early 1980s, forcing Americans to deal with higher prices across a bevy of items. With the increasing cost of living, investors are looking for ways to protect their purchasing power, especially as economists don't expect inflation to return to normal levels for at least another year.(turning to gold, stocks, bonds that increase at the inflation rate)5. ESG investing-The disruption and uncertainty caused by the global pandemic ignited a renewed interest from investors, consumers, and employees to favor those corporations that prioritize environmental, social and governance (ESG) causes. Beyond profits, these enterprises have agreed to focus on long-term value creation over short-term gains.

Recent M&A deal

1. Microsoft acquisition of Activision Blizzard When predicting the future of consumer software, looking at Microsoft's acquisitions is rarely a bad place to start. In January of this year, it acquired the world's largest video game maker for $95 per share, in an all-cash transaction valued at $68.7 billion, suggesting to many that this was the beginning of a new phase for the gaming industry. With the acquisition, Microsoft added a series of globally renowned franchises to its portfolio including Warcraft, Diablo, Call of Duty, Overwatch, and Candy Crush. Significantly, the deal also meant that Microsoft jumped into the world's third-largest gaming company by revenue slot, now just behind Tencent and Sony. What's the play behind the acquisition? Well, it looks as though Microsoft is betting that the future of gaming is on the cloud, and not on consoles (such as the Playstation). By bringing all of its stable of beloved games onto Game Pass, its flagship subscription service, it could become the go-to destination for gamers across the world.

A time you had to deliver disappointing news

A parent at the camp, their child was misbehaving and my superior instructed me to talk to the parents; i talked about a lot of their child's good qualities while I was giving the bad news

BMO deals

Acquisition of bank of the West Received regulatory approvals required to acquire Bank of the West - acquisition will close on Feb 1, 2023 BMO's largest acquisition to date was in 2021, when it acquired Domtar for $3.0B. It's largest disclosed sale occurred in 2021, when it sold BMO - EMEA Asset Management Business to Ameriprise Financial for $947M Bank of Montreal has received approval from the Federal Reserve to acquire San Francisco-based Bank of the West, a combination that will create the 15th-largest US lender. Radicle Group Inc. acquisition - a Calgary-based leader in sustainability advisory services and solutions, and technology-driven emissions measurement and management. The $16.3 billion deal, the largest ever by a Canadian bank, expands Bank of Montreal beyond its stronghold in the Midwest, across the western US and into California, giving it an active presence in 32 states. When it announced the acquisition, the Canadian bank estimated it would get 1.8 million new customers and $105 billion in assets. "The acquisition of Radicle supports BMO's Climate Ambition to be our clients' lead partner in the transition to a net-zero world, and the progress we're making for a thriving economy, a sustainable future, and an inclusive society,"

Working in a team?

Air bnb pitch experience Airbnb's considerable market share and dominance in peer-to-peer home-sharing means consistent booking volumes and significant pricing power in a growing travel industry Airbnb's asset-light and low cost business model means easy scalability as they continue to capture global market share Airbnb has finally turned the corner into operating profitability, all while trading near its all-time low Asset-light business model, comeback after covid

Something about me not on my resume

Always loved to teach, that's where I got my communication skills and love of learning (Nonna) I love to teach, in high school I tutored a lot and i love just bringing new knowledge to people I also volunteered at an elementary school near my high school where I helped middle school kids with their homework Not only do i love learning myself but i enjoy helping other people learn I love problem solving - I'm definitely a go getter and when i see a problem i think of how to solve it

Housing Industry

An area I have been following is the housing market. Covid saw a boom in the industry resulting in increased housing prices nationally. In 2022, we finally saw prices start to decline, but are still hovering above historical trends. I expect the decline in prices to continue through 2023 as in the current high interest rate environment mortgages are much more expensive and therefore creates less demand for houses -Affordable markets continued to dominate the rankings

When did your listening skills help you solve a problem

Annaly Capital, went to airbnb instead

Questions for them

Are interns often working with those in higher positions at the firm, or do they mostly work with other interns? Example of a project/task we would be working on? For students who have been successful in the program, what are some things that have helped them succeed? Can I hear a little bit about your personal experiences and why you each chose BMO? How macroenvironment affected stuff What do you guys look for in an intern Day to day of an intern What's your outlook for 2022/do you think we'll keep recovering?

How would people describe my work ethic

Attention to detail, organized, very determined

BMO's Acquisition of the West

BMO's acquisition of Bank of the West brings nearly 1.8 million customers to BMO and extends its banking presence through more than 500 additional branches and commercial and wealth offices in key U.S. growth markets. As the 8th largest bank in North America by assets, BMO now has a strong position in three of the top five U.S. markets, a footprint in 32 states, expanded national specialty commercial businesses and a digital banking platform helping customers make real financial progress in all 50 states.

Investment vs. Corporate Banking

Both work with corporations, but investment banks also work with the government; While corporate banking divisions often form long-term relationships with companies to help them maintain their financial health, investment banking divisions guide corporations and governments through major transactions like public offerings, mergers, and acquisitions. investment banking - raising capital, underwriting, facilitating M&A corporate banking - a bunch of services including loans, portfolio managing Corporate banking is a long-term relationship that involves traditional banking, risk management, and financing services to corporations. Investment banking, on the other hand, is transactional, and assists corporations with one-time transactions, such as an initial public offering (IPO) or a merger or acquisition.

Tell me about a time you disagreed with someone in a position of authority and how you handled the situation.

Camp stuff Two kids kept wanting to do other stuff, he said keep them separated but I disagreed Letting them play together for limited amounts of time decreased their misbehavior I suggested later to him Group member leader - wanted to use other peoples' work

How capital markets work

Capital markets are financial markets that bring buyers and sellers together to trade stocks, bonds, currencies, and other financial assets. Capital markets include the stock market and the bond market. They help people with ideas become entrepreneurs and help small businesses grow into big companies. They also give folks like you and me opportunities to save and invest for our futures. The capital market is also known as the financial market, where companies can raise their long-term capital. In this market, they can trade, i.e., buy and sell long-term instruments like equity shares and debt securities. The capital market is classified into two categories - Primary market and secondary market. Capital markets are where savings and investments are channeled between the public, people or institutions with capital to lend or invest, and those in need. Suppliers typically include banks and investors, and Majorly those who seek capital are businesses, governments, and individuals. Four methods used to raise funds in the capital market: Equity shares/ordinary stock Bonds Preference shares Major elements/components of the capital market Primary market Secondary market What are the limitations Of Capital Budgeting? The huge amount involved in capital budgeting, so the decision has to be taken very carefully. The techniques of capital budgeting require estimation of future cash flows (inflow and outflow of cash flows) Dependency of the information The problem of measuring future uncertain circumstances or situations.

Corporate Banking

Corporate banking is also known as corporate financing. Corporate banking caters to large-scale companies and businesses. They focus on various banking services like issuing loans, setting up portfolios, and risk management.

What do investment banks do?

Corporate finance, capital markets, and investments for private clients. Mostly underwriting debt and equity, helping raise capital for businesses, facilitate M&A or private placements, and advising to corporations Essentially, investment bankers are financial advisors to corporations and, in some cases, to governments. They help their clients raise money. That may mean issuing stock, floating a bond, negotiating the acquisition of a rival company, or arranging the sale of the company itself.

How do you balance time?

Create a to-do list at the beginning of every day, Google Calendar

maxlinear acquires silicon motion

Creates transformative scale and a highly profitable $2+ billion revenue semiconductor company Addition of Silicon Motion's NAND flash controller technology and customer relationships complements MaxLinear's leadership in Broadband, Connectivity, and Infrastructure markets Business combination roughly doubles MaxLinear's total addressable market opportunity to $15 billion and creates a top-ten fabless semiconductor supplier Synergistic technology combination accelerates strategic infrastructure growth across compute, networking, and storage domains Acquisition expected to be immediately and materially accretive to Operating Income, Operating Margin, Earnings per Share, and Cash Flow Silicon Motion shareholders to receive $93.54 in cash and 0.388 shares of MaxLinear common stock per ADS, for total per ADS consideration of $114.34 (based on MaxLinear's May 4, 2022 closing price), representing a 48% premium to the undisturbed market value as of April 22, 2022, in cash and stock transaction valuing Silicon Motion at $3.8 billion

Why is a strong job market bad for inflation

Creating jobs helps the economy by GDP. When an individual is employed, they are paid by their employer. This results in them having money to spend on food, clothing, entertainment, and in a variety of other areas. A tight job market fuels rising wages, which often push companies to raise prices to make up for the added costs. In turn, inflation worsens and recession risks rise, they added. Strong jobs market data likely contributed to investment market volatility in 2022, as it indicated the Fed would need to continue raising interest rates, potentially increasing the risk of a serious economic slowdown in 2023.

What is a subject that is not taught in school that you feel should be and why?

Current events/news

BMO sectors

Diversified Industries Financial Institutions Financial Sponsors Food, Consumer & Retail Energy Energy Transition Global Metals & Mining Power, Utilities & Infrastructure Healthcare Industrials Real Estate Technology

what causes a recession

Economic recessions can be caused by many different elements, including loss of consumer confidence, high interest rates, a stock market crash, and asset bubbles bursting.

What will happen to real interest rate?

Employers spent 1% more on wages and benefits last quarter versus the prior three months, a slowdown from a 1.2% increase in the third quarter, the Labor Department said. Compensation gains slowed in the second half of 2022. The data won't change the Federal Reserve's likely quarter-percentage-point rate rise today—a step down from its half-point increase in December—but it could bolster the case to pause rate increases this spring.

Tell me about a time you showed organizational skills

Experience as SWS COO Internship; had to keep different customers organized to avoid sending out the wrong quote

how do exchange rates affect the market

When exchange rates change, the prices of imported goods will change in value, including domestic products that rely on imported parts and raw materials. Exchange rates also impact investment performance, interest rates, and inflation—and can even extend to influence the job market and real estate sector.

fav stock

FAV STOCK IS APPLE: Apple has avoided these layoffs: it added employees at a much slower clip than those companies during the pandemic, limiting employee perks and businesses Apple continues to innovate Apple combats the bargaining power of buyers through the brand loyalty they've established and their continued innovation of new products. Through differentiating their products from their competitors, Apple has created an inelastic demand for its products, which lessens the threat of customers switching. Competitors are a threat to Apple's profit, as Apple must spend a significant amount of their budgets on advertising and researching new innovations to compete. With entry costs to the market being high, Apple's well-known name, and its many potential suppliers, I don't think new entrants or bargaining power of suppliers are much of a threat.

Why specifically IB

Facilitate capital funding Older females I've spoken to have emphasized how 1 year in IB is like 5 in another field, exposure to high profile deals and so much responsibility, its a special moment n the company's finances, help me develop my valuation skills Corporate banking: work with companies on cash management, day to day running of their business, less M&A Capital markets: divided into debt and equity capital markets For IPO, IB works with equity capital markets; for raising bonds, IB works with debt capital markets Powerful and influential work, transactions that transform businesses

Give one instance where you received constructive criticism and acted upon it

First finance project, he said our analysis was difficult to understand and we didn't make enough assumptions Second project did better, more attention to detail

Tell me about a time you had to work with a difficult person and what you learned from that experience.

First group project Writing a paper w one other person, he didn't really answer me much, I kind of had to take initiative, I wasn't afraid to tell him he needed to do his part I learned that communication is important, even if it is uncomfortable

Effect of interest rates

First, interest rates affect how much investors, banks, businesses, and governments are willing to borrow, therefore affecting how much money is spent in the economy. Secondly, rising interest rates make certain "safer" investments (notably U.S. Treasuries) a more attractive alternative to stocks.

Why IB/why finance?

Front row seat to important transactions, it's a job where I get so much responsibility right out of college My dad is an accountant and I always wanted to be like him, so that's where I got my interest in a career in business. I was also always interested in how the stock market worked and loved math and data analytics and working in teams and being challenged, so I pursued these interests when I got to college by taking finance and accounting classes and joining an investment fund and female finance club. I found that I really enjoyed what I was doing and wanted to think about specifically what type of career path in finance I was interested in, so I spoke with a senior on the board of my female finance club about her career in investment banking. She told me about from the beginning of her career just as an intern she was thrown into some important and exciting high-profile deals where she really learned so much and felt like she had such a great responsibility. So from that I decided that I want to similarly make an impact on a huge deal or transaction for a company and help companies grow, I also love the fast-paced and exciting nature of it and how it really makes a difference for companies and I get to work on a bunch of different deals. Cost of capital finally costing something, such an interesting time to get into IB, clients need us Older females I've spoken to have emphasized how 1 year in IB is like 5 in another field, exposure to special moments in a companies finances and so much responsibility, so much financial modeling/technical skill experience and working with other people, Powerful and influential work, transactions that transform businesses uncertain economy is exciting

Think on your feet

GCI pitch, they asked us questions like how rising interest rates would affect airbnb stock, they actually earn interest income from investments with "amounts held on behalf of customers" High interest rates may attract more hosts to the platform

Tell me about a time when you failed

GCI went with our first idea of investing in Dutch bros, we hadn't thought about other options, our pitch didn't pass because the risks were too high (can't compete with Starbucks), only concentrated in Western states, large cap ex needed to expand, but we used it as a learning opportunity Negative ebitda over past few quarters Learned not to go with out first idea Got feedback from other members

4 Factors That Shape Market Trends

Government-fiscal and monetary policies-Fed can slow or attempt to speed up growth by increasing and decreasing interest rates-If government spending increases or contracts, this is known as fiscal policy and can be used to help ease unemployment and/or stabilize prices.International Transactions-The more money that is leaving a country, the weaker the country's economy and currency.3 Countries that predominantly export, whether physical goods or services are continually bringing money into their countries. This money can then be reinvested and can stimulate the financial markets within those countries.Speculation and Expectation-The more money that is leaving a country, the weaker the country's economy and currency.3 Countries that predominantly export, whether physical goods or services are continually bringing money into their countries. This money can then be reinvested and can stimulate the financial markets within those countries. Speculation and Expectation Sentiment indicators are commonly used to gauge how certain groups are feeling about the current economy. Analysis of these indicators as well as other forms of fundamental and technical analysis can create a bias or expectation of future price rates and trend direction. Supply and Demand Prices and rates change as supply or demand changes. If something is in demand and supply begins to shrink, prices will rise. If supply increases beyond current demand, prices will fall. If supply is relatively stable, prices can fluctuate higher and lower as demand increases or decreases.

Tell me about a time where you had to make a very fast, split-second decision

Group members didn't show up, we had to present without them

Does inflation cause a recession?

While inflation does not have to trigger a recession, governments try to tame inflation by slowing down all of that spending. Slowing down economic activity doesn't always lead to a recession, but if that slowdown becomes a self-sustaining cycle it very easily can

How higher interest rates impact the stock market/bonds

Higher market interest rates can have a negative impact on the stock market. When Fed rate hikes make borrowing money more expensive, the cost of doing business rises for public (and private) companies. Over time, higher costs and less business could mean lower revenues and earnings for public firms, potentially impacting their growth rate and their stock values. Bonds are particularly sensitive to interest rate changes. When the Fed increases rates, the market prices of existing bonds immediately decline. That's because new bonds will soon be coming onto the market offering investors higher interest rate payments. To reflect the higher overall rates, existing bonds will decline in price to make their comparatively lower interest rate payments more appealing to investors.

What are you most proud of?

How I transformed SWS My internship experience → facilitated 80,000 in sales

Why BMO?

I first attended an info session BMO had here at Georgetown knowing nothing about it and I was instantly attracted to how excited everyone was to be there and everyone seemed so passionate, I could tell there was a unique culture there I then spoke to an investment banking associate and an investment banking analyst at the career fair Georgetown had this past week and again could tell how positive their experiences were Maria giaquinto Julia doyle Judge: annette grimaldi healthcare Alex campolong (gtown recruiter) I was so impressed with how BMO grew its presence in North America and I know they have great values and really pride themselves on their clients and helping their customers make real financial progress and grow; They have grown so much and continue to grow, I want to become part of that growth, they just acquired Bank of the West They have a global presence (#1 in metals and mining) Boldly Grow the Good in business and life fuels our desire to win and expand the possibilities for individuals, families and businesses. We have a proud history of giving back to the communities where we live and work, through volunteerism, employee giving and supporting education, diversity, equity and inclusion. More than 200 years after becoming Canada's first bank, we're one of Canada's pre-eminent financial institutions, with a significant presence in the United States and world markets. travel and meet with clients more

Team conflict

I once was involved in a project where a classmate seemed to be putting in the work but I quickly realized they were using old information from one of their friends who had already taken the class. I tried to react calmly and graciously but at the same time, encourage the team to find fresh new resources in order for us to differentiate our project.

Why BMO elevate?

I think it would be such a valuable experience to gain exposure to Investment Banking, Global Markets, and Corporate Banking; I think it will help me see what it would actually be like to work in this field and make me confident about which path I am going to take. I want to build my analysis and financial modeling skills while also gaining more experience working in a team alongside other people at BMO. The training and mentorship to learn the foundations, help me decide ultimately where I want to go, gain hands on experience, networking, soft skill development - coffee chat with ms Fuda

5-10 year plan?

I want this experience to lead me to a summer 2024 IB internship at BMO and eventually work myself up to an IB associate.

Why markets?

I'm passionate about the way capital markets allow small businesses to grow Company growth would be impossible without capital markets and we might not have access to all the goods and services we have today, they provide a great oppportunity for companies Without markets for stocks and bonds, business owners would have fewer options to bring their ideas to life or to expand their businesses; they would have to save up enough cash to re-invest. With healthy capital markets, business owners can obtain the needed financial capital to build successful companies. They can also expand existing businesses to create new jobs and strengthen the economy. Capital markets bring borrowers and lenders together in efficient ways and help channel resources to create a healthy national and global economy. They provide essential funding that affects people's lives in many ways, from starting a business to expanding a current one, or providing investment opportunities for people planning for their future. Its fascinating all the things that drive the market such as geopolitical impacts, the economy, health crises such as Covid My dad and uncle always talked about the market together at family events Capital markets are the lifeline of the economy

Why are you a good fit?

I've always been analytical and a problem solver as well as a team player, I love working with other people and figuring out problems and delivering results From my past experiences I know I am passionate about a career where I am involved in the markets and I am excited about BMO as a company, I also have gained great communication skills

IB vs CB vs CM

IB-->leading a deal M&A, IPOs, equity raises, debt issuances, special moment in a company's finances CB-->work with a companies' cash management, day to day running of their businesses CM-->DCM and ECM, for IPO, IB works with equity CM, IB works with DCM when raising bonds Global markets is public side, CB and IB is private side

When did you make a mistake?

Ice cream shop messed up orders, began repeating the orders back to the customer

How do high interest rates affect the economy

If the Fed raises rates too high and too quickly, it could cool demand so much that the economy tips into a recession. Higher interest rates make debt costlier and borrowing harder — for both consumers and businesses.

Analyze information in order to make a recommendation

In internship

what causes inflation

Inflation can occur when prices rise due to increases in production costs, such as raw materials and wages. A surge in demand for products and services can cause inflation as consumers are willing to pay more for the product.

The big question for 2023 is whether inflation will drop toward the Fed's 2% target rate.

Many experts suggest that's unlikely, although it's worth noting that the Fed's six 2022 rate hikes will take a while to work their way through the economy.

A time where you had to explain something complex

My best friend is a global health major and had to take a health econ class after having no business background, so i helped her understand the concept of elasticity

Tell me about yourself.

My name is Angelina, I'm from Northern New Jersey and currently a sophomore at Georgetown's McDonough School of Business double majoring in Finance and Operations & Analytics with a minor in Economics. Over this past summer I was a supply chain intern at a small logistics company which really helped me learn more about the corporate environment/way a business works as since it was such a small company I got exposure to all different aspects of the business including finance and accounting. On Georgetown's campus I'm also an analyst for a student-owned investment fund and COO of Smart Woman Securities, a club dedicated to female financial education specifically. These experiences combined with the coursework I've taken thus far and the interest I've always had in quantitative analytics and in the markets have attracted me to a career in investment banking or corporate banking which is why I am so interested in this program.

Initiative:

Once an old man asked me which of our ice cream flavors had the lowest sugar content Say you created a book at Ralph's of the nutrition facts so if people with diet/allergies asked me about stuff I would be better prepared CREATED VENDOR CONTACTS LIST SWS pitch competition

Favorite book/fav movie

Pride and prejudice by Jane Austen Austen's writing because it is witty and ironic which gives the reader and insight in to her personal thoughts and feelings. Loved the main character how she represented an independent woman at her time

Investment Banking

Providing a range of banking services like underwriting, raising capital for companies, issuing securities, facilitating mergers, acting as an intermediary while raising capital funding

GDP

Real gross domestic product (GDP) increased at an annual rate of 2.9 percent in the fourth quarter of 2022, after increasing 3.2 percent in the third quarter. when spending slows, GDP falls. Because of this, the stock market and gross domestic product go hand in hand. The inverse occurs when GDP falls, leading to less spending by businesses and consumers, which drives the markets lower negative GDP growth-->sign of recession

BMO in the news

Recognized among world's most ethical companies Named to Dow Jones Sustainability World Index, North America's most sustainable bank Include in the Bloomberg gender-equality index for seven years in a row With typical deal sizes ranging from $50 million to $500 million, and our focus verticals include Industrials, Technology & Business Services, Healthcare, Food & Beverage and Retail.

Toughest challenge

Recommendation to the company about which customers to focus on and which parts Give a presentation to the president about which clients and parts have generated the most revenue over the past years to see where we should shift our current focus Asked for help I asked questions, used my excel skills to have math-based responses, etc Speech at graduation

Global Markets Rotation

Responsibilities will vary widely from day to day based on the needs of the business and the current market environment. Depending on the assigned desk and business needs, responsibilities may include: Perform a variety of analytical and administrative projects and tasks Developing presentation materials using PowerPoint and Excel Market data capture and display, spreadsheet development Recapping and organizing market data and events Shadowing and learning from Trading, Sales, and Strategy professionals Market research and programming

What does inflation do to the stock market?

Rising costs and uncertain revenue growth can take a toll on corporate profit margins, and stock prices can fall in response. On a broader scale, high inflation creates unknowns about future interest rates, and that uncertainty often contributes to market volatility.

Solved a problem

SWS low attendance solved with pitch competition Bad vendor contacts, no system of organization, so I created a list

Tell me about a time you had to make a controversial choice as a leader and how you communicated your decision-making process to others/risk

SWS pitch competition - changed our whole club, we had to

What is your biggest achievement?

Salutatorian, worked so hard Scared of public speaking, great achievement to give a speech GCI pitch passing

How do you deal with stress environment/difficulties

Schedule, take things one step at a time, ask people if I had any questions, talk ab internship experience

About BMO

Serving customers for 200 years and counting, BMO is a highly diversified financial services provider - the 8th largest bank, by assets, in North America. With total assets of C$1.14 trillion as of October 31, 2022, and a team of diverse and highly engaged employees, BMO provides a broad range of personal and commercial banking, wealth management and investment banking products and services to 12 million customers and conducts business through three operating groups: Personal and Commercial Banking, BMO Wealth Management and BMO Capital Markets.

Have an idea of where you would invest money and why (stocks, companies, which industry, etc.)

Short term CDs or short-term government bonds - safer investment, offer a higher interest rate than a traditional savings account, when inflation rates rise, once the short-term CD matures, I can reinvest my money to keep up with inflation Commodities ETFs (Commodities are raw materials and basic agricultural staples that are used to produce finished goods) - prices are highly correlated with inflation, weakly correlated with stocks and bonds, increases diversification ETFs in general offer certain advantages. Operating expenses are lower than with open-ended mutual funds, and they offer greater transparency as well as tax efficiency for taxable portfolios. Treasury Inflation Protected Securities (TIPS) - bonds issued by the U.S. government that offer protection against inflation, in addition to modest interest payments Fixed income - two-year treasures & investment-grade corporate bonds: There's also the potential for capital appreciation in fixed income. A slowing economy could prompt investors to seek out "safe haven" assets, including U.S. Treasuries and other higher-rated bonds, driving prices higher. Mutual funds/index funds - Mutual funds offer investors an inexpensive way to diversify — spreading their money across multiple investments — to hedge against any single investment's losses. Defense stocks! Investors should look into adding "recession-resistant" stocks to their portfolios, such as Pfizer or Walmart, Roccato said, though he clarified that he is not specifically in the business of recommending individual stocks. Healthcare stocks (defensive and growth characteristics)→people will take their medicine regardless of whats going on in the economy, performed better than market in 2022, drug innovations Consumer staples companies earned their reputation as a defensive sector in 2022 by outperforming the broad market.; 2023 may see persistence of the past year's challenges—including rising input costs and pressured consumers.; But some companies may shine, including those that can raise prices without losing sales volumes, those with emerging-markets exposure, and firms that manufacture cheaper "private-label" alternatives. industrials Roccato also referenced companies that have great cash flow such as Apple, Chevron and Verizon, as well as non-USA stocks such as BP and Nestle. Can continue to invest, innovate, acquire + less likely to go bankrupt Stay away from technology stocks & crypto for now - there is a small recovery but it is risky/may be short-lived Renewable energy: long-term gains Oil and Gas Energy: Popular Sector to Invest in as Energy Prices Continue to Rise REITs: Popular Option for Investors Looking for Steady Dividend Income

Creativity

Stock pitch competition SWS

News article you found surprising

Stocks Slip After January Jobs Report U.S. stocks ended down after a strong jobs report and disappointing results from Apple, Amazon and Alphabet.4 min read Job Gains Could Fuel Fed Debate Over Inflation January's Hiring Boom Caught Economists by Surprise

Strength/weakness:

Strength: analytical and quantitative skills, quick learner, good at communicating and working in a team Innovative, SWS Attention to detail (past internship - had to make sure the numbers were correct and I pulled the right process) Weakness: sometimes when I get excited about an idea I'm quick to try to get right to work instead of pausing and seeing if there are alternate ways to solve a problem, I'm getting better at that; or have trouble saying no, sometimes have overloaded my schedule Weren't enough kits - kids were fighting over them; I suggested we let half work with the kits and take the other half outside

Technology Sector

While the past year was undoubtedly challenging for tech, I still see plenty of powerful trends to drive potential value for investors. Cloud computing, artificial intelligence, and the growth of the 5G wireless network may have created long-term opportunities in the sector.

M&A deal you find interesting

T mobile and Sprint merger Synergies: the combined company could save a bunch of money Combine resources: speed the progress of wireless technology T-Mobile has said that deploying 5G would have taken much longer and cost much more without the addition of Sprint. Competition: leveraging its larger size to compete with AT&T and Verizon to attract more consumers with a lower price and better service I was skeptical - Difficult to combine each other's technology Bad for consumers because prices would rise T-mobile said it was a success; in Q1 of 2022 they had the highest postpaid service revenue and cash flow growth in the industry, its market share grew In 2022 also reported consistent and strong customer growth→delivered record high account additions

What caused the 2008 financial crisis?

The 2008 financial crisis began with cheap credit and lax lending standards that fueled a housing bubble. When the bubble burst, the banks were left holding trillions of dollars of worthless investments in subprime mortgages. The Great Recession that followed cost many their jobs, their savings, and their homes.

Global markets

The Global Markets team provides sales and trading services, liquidity, hedging strategies and industry-leading insights, analytics and competitive pricing to institutional clients. This team operates at the center of the world's debt and equity markets.

The Participant Effect

The analysis and resultant positions taken by traders and investors based on the information they receive about government policy and international transactions create speculation as to where prices will move. When enough people agree on one direction, the market enters into a trend that could sustain itself for many years.Trends are also perpetuated by market participants who were wrong in their analysis. When they are forced to exit their losing trades, it pushes prices further in the current direction. As more investors climb aboard to profit from a trend, the market becomes saturated and the trend reverses, at least temporarily.

Stock supply and demand

The financial markets have a similar dynamic. Stocks fluctuate on a short and long-term scale, creating trends. The threat of supply drying up at current prices forces buyers to buy at higher and higher prices, creating large price increases. If a large group of sellers was to enter the market, this would increase the supply of stock available and would likely push prices lower. This occurs in all time frames.

Russia-Ukraine war

The global economy is expected to slow further in the coming year as the massive and historic energy shock triggered by Russia's war of aggression against Ukraine continues to spur inflationary pressures, sapping confidence and household purchasing power and increasing risks worldwide, according to the OECD's latest Among the main issues are fuel supplies and increasing fuel prices, as well as logistical challenges linked to border crossings and airspace restrictions. In addition, imports of goods and the large influx of Ukrainian refugees towards EU countries has led to further operational challenges for the sector. Russia planning to launch a major new offensive against Ukraine, not ending American businesses depend on Russia and Ukraine for a plethora of commodities. According to data from the Observatory of Economic Complexity (Figures 1a and 1b), four critical ones— neon gas, palladium, platinum and pig iron — will be in short supply. fuel inflation and lower consumer spending

Healthcare Sector

The health care sector lived up to its reputation as a defensive play in the past year by outperforming the broad US market. While much of 2022 was driven by macro concerns, there are signs that investors are starting to pay more attention to company-specific considerations again. Managed-care firms offer a number of attractive characteristics for the short and long term, including the ability to pass through inflationary pressures with premium increases, and a long-term tailwind from the shift to value-based care.

Interest rates and taxes

The lowering of interest rates and taxes can encourage spending and economic growth. This in turn has a tendency to push market prices higher. However, the market does not always respond in this way because other factors may also be at play. Higher interest rates and taxes, for example, can deter spending and result in a contraction or a long-term fall in market prices.strong currency has a positive effect

Events that affect investor confidence include:

The publication of economic indicators such as the Consumer Confidence IndexWars or other conflictsConcerns over inflation or deflationGovernment fiscal and monetary policyTechnological changesNatural disasters pr extreme weather eventsCorporate or government performance dataRegulation or deregulationChanges in the level of trust placed in an industry such as the financial sectorChanges in the level of trust placed on the legal system

Real Estate

The sharp rise in interest rates created significant challenges for REITs in 2022, even as fundamentals such as occupancy rates and income measures remained solid. We anticipate a stabilization in the REIT market in 2023 if interest rates stabilize. One area of potential opportunity may be in residential rentals, given that renting is currently much more affordable than buying in many parts of the country. A particular bright spot: residential REITs in the Sun Belt.

how do stock markets crash

The term stock market crash refers to a sudden and substantial drop in stock prices. Stock market crashes are often the result of several economic factors, including speculation, panic selling, or economic bubbles, and they may occur amid the fallout of an economic crisis or major catastrophic event.

When were you a leader?

Training employees at the ice cream shop As a camp counselor leading a lesson

do you think there will be a recession and why?

U.S. Economy Added 517,000 Jobs in January→lowest unemployment rate since 1969 The booming labor market growth keeps the Fed on track to raise interest rates higher at its meeting next month and to signal another increase is likely after that. Investors are afraid interest rate increases might continue longer than expected. The tech-heavy Nasdaq Composite fell 1.4%, the S&P 500 about 1% and the Dow Jones Industrial Average 0.5%. Meanwhile, larger investors appear to be behind a bitcoin price rally, as smaller investors lose interest in the wake of crypto exchange FTX's collapse

When have you shown a willingness to learn a new method or new approach to solving a problem?

Using excel, always been a pen and paper person, grew to love its power

How do you stay on top of current trends in the financial services industry?

WSJ member, financial times, morning brew

Corporate Banking Rotation

You will gain valuable exposure to different portfolios and client sectors. Responsibilities may include: Processing client requests (e.g. new credit facilities and extensions and/or amendments to existing credit facilities) Completing annual/interim credit reviews, which include industry and financial analysis comprising of operating performance, cash flow, leverage, coverage and liquidity, and capital-at-risk and other regulatory capital calculations Monitoring performance of portfolio companies against credit terms and conditions and identify changes in the financial condition of a client Preparing presentation materials and relationship profitability assessments, which involve liaising with other product and industry groups within BMO Capital Markets Performing other duties including industry and company-specific research and ad hoc projects for senior management

How rising interest rates affect different sectors

bad: broadcasting and media, technology, and telecommunications. Those sectors are very leveraged, and those levels of indebtedness, in combination with the rising interest rate environment, will continue to increase their cost of borrowing good: financial sector like lenders, healthcare, utilities, real estate-->investors go towards stabler options

Capital Markets team

consults with investment & corporate bank issue equity (ECM) issue debt (DCM) if companies need to sell debt or equity to investors providing advice to companies on capital raising and then finding investors to provide the money Capital markets is focused on PRODUCT knowledge. Investment banking is focused on INDUSTRY knowledge.

What does inflation do?

drives up prices and drives down the value of money (purchasing power)

Energy Sector

oil & gas did great in 2022 due to Russia-Ukraine war New interest in renewables→natural gas shortages, With battery storage and EV adoption inextricably intertwined, BDO Global predicts a banner year for renewable energy storage systems. Increased competition in the EV market from newcomers like Rivian, Lucid, Ford and Chevy could put mainstays like Toyota and Tesla on their heels. Covid-->The outbreak has contributed to a dampened demand for oil, resulting in plummeting oil prices and production declines Energy: The energy sector is coming off a strong year, as tight supplies and rising demand fueled high energy prices in 2022. Those dynamics are likely to continue into 2023, given the long lead time it takes to ramp up new supply and refining capacity. The main risk for the sector for the next year is that a severe global recession or new COVID wave could substantially reduce demand, causing energy prices to drop. Russia's invasion of Ukraine hit supplies of oil, gas and other commodities that were already in high demand due to the easing of pandemic restrictions. That made energy the top-performing sector in the market this year, with an index of S&P 500 energy companies surging more than 57%. -With sanctions likely to cause Russian oil exports to drop and Chinese demand expected to recover as the country ends its Covid Zero policy, prices will rise above $100 from their current level of around $80, according to Goldman. -A lack of spending in the industry on production needed to meet demand will also be a driver of higher prices