Wall Street Prep

Will AI Replace Wall Street Investment Banking Analyst Jobs? (The Answer Will Surprise You)

The episode of "What’s the Big Deal?" tackles the hot question of whether artificial intelligence will replace junior investment‑banking analysts. Host Graham Smith talks with founder‑CEO Matan Feldman about the rapid evolution of AI‑driven Excel add‑ins such as Claude, Shortcut, Index and the latest ChatGPT enhancements, and how these tools are being tested against the firm’s own analyst training rubric. Feldman reports that today’s AI can perform the mechanical parts of financial modeling at a level comparable to a low‑performing analyst—building templates from scratch, pulling basic data, and drafting initial models. However, the systems still stumble on data provenance, often hallucinating figures unless given explicit source files, and they lose context after multiple prompts, requiring constant re‑orientation. A memorable line from the conversation is: “It’s almost as good as a poor analyst,” underscoring both the surprise and the limitation of current models. The hosts also highlight the danger of AI‑generated errors, which differ from human mistakes and can be harder for senior bankers to spot, as well as the tools’ ability to surface EBITDA adjustments when fed the right documents. The takeaway for the industry is clear: AI will dramatically boost productivity on routine tasks, but human judgment remains indispensable for validation, nuance, and strategic insight. Recruitment pipelines will shift toward candidates who can harness AI effectively while still mastering core analytical concepts, rather than those who rely solely on manual spreadsheet skills.