Students race to get into prestigious clubs as a springboard for the future

At universities in Singapore, students are racing to secure a place in finance clubs - which are considered a "springboard" to enter the prestigious banking industry later.

The gloomy job market in the banking and finance hub has made competition fiercer for finance students. (Source: The Straits Times)

To be selected, they have to go through several rounds of lengthy interviews and work hours of intense work with slides.

“The competition is insane,” said Maya, a former social sciences student at the National University of Singapore (NUS) who now works at a global payments company. Still, she said all the pressure was worth it.

“Without that club, I wouldn't have been able to convince employers when they have thousands of candidates to choose from,” she said.

The fierce competition is understandable given the cutbacks in recruitment in Singapore’s finance industry. Finance clubs have therefore become an important part of students’ resumes, alongside grades, intensive courses and a string of internships.

According to statistics, the number of business and management graduates in Singapore has been increasing steadily over the past decade, surpassing 3,500 in 2023. Although 84% of these graduates found jobs after graduating last year, that rate is still lower than two years ago.

Risks from trade wars, volatile financial markets and the rise of artificial intelligence are adding to the uncertainty surrounding banking career prospects – especially in Singapore, where finance is seen as the clearest path to success for young people.

According to SCMP , major banks in Singapore such as Citigroup assert that they evaluate candidates based on many criteria. However, Mr. Ernest Phang, Director of Human Resources at OCBC Bank (Overseas Chinese Bank of Singapore) - said that joining financial clubs can be an "important indicator" of a candidate's ability, leadership spirit and commitment.

The road to entry is full of challenges.

Rachel Ng, now a broker at an investment bank, said she applied to investment and consulting groups in her first year of college because she was worried she wouldn't get a good internship.

“My classmates were starting internships at prestigious banks thanks to their participation in case competitions and connections from clubs. I realized that if I wanted to be like them, I had to join a club too,” Rachel, 23, recalls. However, getting in was hard, and maintaining a position in the club was even harder.

At Singapore Management University (SMU), the Student-Managed Investment Fund accepts only about 20 members each year from more than 200 applicants – a pass rate of only about 10%. Applicants must present financial analysis, pitch a stock, and participate in “coffee chats” to test the “feelings” of the management team.

Once accepted, members' schedules are packed with 3-8 hour meetings every weekend. They are trained in financial modeling, presentation design, and learning from successful alumni.

The club was inspired by famous student funds abroad, such as Harvard University's Black Diamond Capital Investors - considered one of the most successful student-run hedge funds in the US.

This year, the fund's members at SMU were further "fuelled" when alumni contributed S$130,000 (nearly VND2.9 billion) to invest in the best ideas selected by a panel (comprising lecturers and alumni).

Sacrificing youth to make an impression

Dylan Liew, who founded the NUS Student Consulting Club in 2018 after studying abroad in the US, is now a graduate and working in consulting. He said he once built a team of more than 60 students to provide consulting services to organizations.

“The club is a good story to tell to employers. They see that I founded an organization and that is enough to believe that I have the ability to handle the job,” he said.

However, the pressure is not small. Maya said that during her time in the consulting club, she often spent 12 hours in a Zoom room editing slides before working with clients. When she was on exchange in Europe, she often had to stay up past midnight to meet with clients due to a 7-hour time difference.

“I was supposed to be enjoying my exchange semester, but every week felt like torture because I was worried about not being able to find a job after graduation,” said Maya, 24.

Despite such tension, the demand to join these financial clubs shows no sign of cooling down.

“It’s unfortunate, but there are so many students with very high GPAs and good schools. So you need to have something to differentiate yourself. If joining a club makes you more confident in interviews, then why not?” said Bethan Howell, director of recruitment at Selby Jennings in Hong Kong.

Source: https://baoquocte.vn/sinh-vien-chay-dua-vao-cau-lac-bo-danh-gia-de-lam-ban-dap-cho-tuong-lai-320728.html