Why this order
Two evenings of film first, because they build the intuition that the technical reading then hangs off. Shoe Dog comes third and does the heaviest lifting: it is the book that makes the three statements matter before anyone asks you to link them. The last two are about the room rather than the work, and they are last because they are useless until you have something to say.
The 6 of them, in order
1
It's a Wonderful Life
1946RecommendedFilmStart hereAn evening
Start with why a bank is regulated differently from a shop. Four minutes of it will do.
What to notice. A bank run is a maturity mismatch, not a solvency problem.
An eighty-year-old Christmas film contains the cleanest bank run ever put on screen. Maturity mismatch, why a solvent bank can still fail and the reason deposit insurance exists, in about four minutes.
Where it shows up in a roomWhere it shows up in a room
It is the most memorable way to explain why banks are regulated differently from other companies, which is a standard opening question.
2
Margin Call
2011EssentialFilmStart hereAn evening
Then what that balance sheet looks like when it goes wrong, and who a risk function is for.
What to notice. A risk limit is a decision about who has to be woken up.
One night on a trading floor as a firm decides to sell a book it knows is worthless. The best study anywhere of risk limits, a VaR breach and how bad information travels up a bank.
Where it shows up in a roomWhere it shows up in a room
It gives you a concrete answer to what a risk function is for, which trips up most candidates applying to markets divisions.
3
Shoe Dog
Phil KnightRecommendedBookStart here
The pivot of the path. A company growing fast and running out of cash, which is the three statements in narrative form.
What to notice. Growth consumes cash, and a profitable company can still run out.
A memoir that is mostly about working capital. Nike nearly died of its own growth, repeatedly, and the book is honest about why.
Where it shows up in a roomWhere it shows up in a room
Why a profitable company goes bust is a standard technical question, and this is the version of the answer you will remember.
4
Barbarians at the Gate
1993EssentialFilmStart hereAn evening
Now the deal itself, and the conflict of interest that sits inside a management buyout.
What to notice. A management buyout puts the seller on both sides of the table.
The RJR Nabisco buyout played as farce, and still the quickest way to understand why a management buyout creates a conflict of interest. Read the book afterwards for the auction mechanics.
Where it shows up in a roomWhere it shows up in a room
Every private equity conversation eventually reaches management incentives. This is where the conflict becomes obvious rather than theoretical.
5
Six Thinking Hats
Edward de BonoRecommendedBookStart hereAn evening
A structure for the group exercise, where organising the discussion scores better than winning it.
What to notice. Arguing one side at a time beats arguing all of them at once.
A structure for arguing a position from several sides in turn. Directly applicable to a group case, where the candidate who organises the discussion scores better than the one who talks most.
Where it shows up in a roomWhere it shows up in a room
In a group case, offering a structure is worth more than offering an answer, and this is where you get one.
6
Start with Why
Simon SinekRecommendedBookStart here
Last, because a motivation answer is only credible once you can talk about the work.
What to notice. A motivation is only credible when it explains a choice you made.
A framework for articulating motivation. "Why this firm" is where most candidates are weakest, and this is a usable structure for fixing it.
Where it shows up in a roomWhere it shows up in a room
Why this firm and why this seat are the two questions most answers waste, and the structure here fixes both.