The Making of an Investment Banker: Insights from Jim Donovan of Goldman Sachs

In a 2023 lecture at the University of Virginia, Jim Donovan shared his perspective on “the making of an investment banker.” I’ve watched this video multiple times over the past few months and it has made a big impact on me. I strongly feel that his tips and advice are relevant not just for investment banking but for all fields. I urge you to watch it! It will be one of the best 20 minute investments you make in your future.

Here is a timestamp of the various important points in the video:

Interview:

1. Read the WSJ every day. One article on macroeconomics, one on a specific company transaction, and one opinion piece or editorial.

2. Be familiar with the 3 financial statements.

3. Get the interviewer to talk about themself by showing a genuine interest.

4. Ask open ended questions (avoid questions with yes/no responses).

Keeping the Job (7:02)

Seek a Role Model: Identify someone who’s already excelling in your firm and learn from them.

Set Your Ego Aside: Show you’re willing to handle even the smallest tasks.

Take Detailed Notes: It proves you’re engaged, highlights the importance of the conversation, and assures everyone you won’t forget key points. Recap at the end of each meeting.

Work Hard: Invest the necessary time and effort to stand out.

Make a Strong First Impression: Be extremely responsive, especially in the early stages of your role.

Stay Curious: Never stop absorbing new knowledge and refining your skills.

How to Excel (14:04)

Prioritize Your Client’s Interests: Offer advice that truly benefits them, even if it goes against your own short-term gain.

Take a Stand: Don’t hesitate to make a recommendation and own it fully.

Embrace Challenges: Tough situations will sharpen your skills and build resilience.

Cultivate Discipline: Develop habits that keep you focused, efficient, and reliable.

Excel on Merit: Consistently deliver outstanding results to earn trust and independence.

Never Quit: Refuse to accept “no” for an answer and push forward until you succeed.

Part I: Getting the Job – The Investment Banking Interview

Landing an investment banking position is fiercely competitive. Even with a strong GPA and a solid résumé, you need to separate yourself from the pack. Donovan offers four critical tips—beyond the obvious basics like researching the firm and being able to walk an interviewer through your résumé.

1. Read the Wall Street Journal Every Day

Make it a habit to read three articles daily:

• One macroeconomic article (for example, about interest rates and inflation)

• One industry or transaction-focused article (recent IPO, merger, or major earnings announcement)

• One Op-Ed piece

In just 15 minutes a day, you’ll build a strong knowledge base, pick up industry jargon, and demonstrate genuine interest during interviews.

2. Learn the Three Financial Statements

Know the income statement, balance sheet, and cash-flow statement inside and out. Understand how they interrelate. While a course in financial accounting is helpful, a self-taught crash course can work too—just ensure you’re comfortable explaining and analyzing each statement.

3. Get the Interviewer Talking About Themselves

People love talking about themselves—this is a basic psychological fact. Ask open-ended questions such as:

“What made you decide to become an investment banker?”

“What’s the most interesting transaction you’ve worked on, and why?”

If you get the interviewer talking about their experiences, they’ll enjoy the conversation more, and you’ll glean valuable insights you can use in later rounds.

4. Ask Open-Ended Questions

Avoid yes/no questions. Frame your queries so the interviewer must provide sentences as answers. When they talk more, the conversation becomes a friendly dialogue instead of an interrogation. It helps you stand out as someone who can communicate and connect.

Part II: Keeping the Job – Succeeding as a Young Analyst or Associate

Once you’ve landed the job, the real work begins. Donovan emphasized the following six points for those early years in an investment banking career:

1. Find a Role Model

Pick out the top-performing analyst or associate a year or two ahead of you. You don’t have to be friends or share common interests. The point is to emulate what’s working. Watch how they build models, prepare client memos, organize their day—then replicate their best habits.

2. Check Your Ego at the Door

There’s no task too menial, especially for first-year analysts or associates. Offer to make copies or grab coffee in the early weeks. It signals you’re humble, eager, and genuinely there to help the team succeed.

3. Always Take Notes

Bring a notebook to every meeting. Jotting things down tells others that:

You take the discussion seriously.

You won’t forget key tasks or details.

After the meeting, recap with your manager: “I’ll rewrite the memo by tomorrow at noon. I’ll re-run the model. I’ll contact XYZ.” You’ll earn trust by showing you listened and will follow through.

4. Work Hard—Really Hard

The best young bankers are almost always the hardest workers. Long hours are a reality in this field, so expect to invest significant time. Nothing replaces sheer dedication.

5. Make a Great First Impression

Early interactions shape your reputation. Be responsive to emails or texts from senior bankers. Don’t drop the ball on deliverables. If you earn a reputation for reliability in your first few months, people will trust you with more responsibility and bigger opportunities.

6. Never Stop Learning

Continue the habits you started when you were interviewing—keep reading financial news, analyzing deals, and asking questions. Even if you’ve mastered your first-year tasks, approach your second and third years with the same curiosity. The moment you stop learning, you’ll stop growing.

Part III: Excelling as a Senior Banker – Becoming Elite

For those with the ambition to climb the ranks and become a top-tier senior investment banker, Donovan shared six further points:

1. Always Give Client-First Advice

Prioritize your client’s best interest—even when it goes against your own short-term benefit. Clients will quickly see that your integrity is genuine, and that builds long-term credibility.

2. Take a Position—Don’t Equivocate

Clients hire you to advise them, not to just present a menu of options. You can outline multiple routes, but you must advocate for a recommendation. Stand by it confidently.

3. Embrace Adversity

The toughest projects and most complex deals forge the best bankers. Resist shortcuts; build your own models instead of downloading templates. By spending time “in the trenches,” you’ll hone deep expertise.

4. Master Discipline

Investment banking demands discipline at work and in your personal routines. Whether it’s time management, maintaining physical fitness, or organizing your day, discipline is an invaluable skill that underpins your reliability.

5. Excel on the Merits

The simplest path to maintaining work-life balance is to be exceptional at your job. When you consistently deliver outstanding results, you gain more freedom over your schedule. Top performers earn flexibility because they’re indispensable.

6. Adopt a “Never Give Up” Mindset

Whether it’s landing a new client, making a restaurant reservation, or pushing a deal across the finish line—don’t accept no for an answer. The truly great bankers are relentless in pursuit of their goals.