What is shipping finance?

Financial Modeling Training Guide to Finance Interviews

SonnyZH

11y

[quote=GoodBread]Buying and operating ships is incredibly expensive. Shipowners therefore need financing. Banks provide shipowners said financing through their shipping finance division. Voilà.

You still looking to get into the physical side?

[quote]The HBS guys have MAD SWAGGER. They frequently wear their class jackets to boston bars, strutting and acting like they own the joint. They just ooze success, confidence, swagger, basically attributes of alpha males.[/quote]

GoodBread

11y

SonnyZH:
You still looking to get into the physical side?

Yeah, I really need to get creative at this point, it's a mighty small market. Kind of wish I had gone to Cass or done Geneva's Master in Commodity trading as opposed to a regular Msc in Finance but there has to be a way to break in somewhere. I need to start looking into my grad thesis and I'm thinking about doing something on the dry freight market.

Financial Modeling Training Guide to Finance Interviews

2 replies

rba2012

11y

Thanks for the responses. but for people working in this area, what do they actually do?? do they do modeling or what ?

Sandhurst

11y

Best Response

For shipping/maritime IBD, I know BofA ML is big.. I also know of Dahlman Rose as a specialist boutique (not sure how big they are). I'm sure some of the other bulge-bracket firms are involved (MS comes to mind). On the commodities/trading side, I'm relatively uninformed, except insofar as bulge-bracket firms are divesting their proprietary commodities operations.

"There are three ways to make a living in this business: be first, be smarter, or cheat."

GoodBread

11y

http://www.ics.org.uk/media/1528/SF%20Syllabus.pdf should give you an idea of the kind of stuff you have to know. As far as the actual work, it's more of a ECM/DCM/Structured Finance type role (sorry that's so large, but those are the kinds of products used in ship financing).

Up until the crisis HSN Nordbank was the biggest ship financing provider, I'm not totally sure what their situation is now.

Financial Modeling Training Guide to Finance Interviews

Recap

10y

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