How to Answer "Are You Applying to Other Firms?"

Why Interviewers Ask This Question

In investment banking, M&A, and private equity interviews, you will often encounter some variation of: "Are you applying to other firms? Are you considering opportunities in other sectors?"

At first glance, this question might feel like a trap. Should you admit you are interviewing elsewhere? Should you downplay other opportunities? The reality is that this question serves a clear evaluation purpose, and handling it well demonstrates professional maturity.

Interviewers ask this question to assess three dimensions of your candidacy. They want to gauge your commitment to investment banking as a career path, not just as one option among many. They want to evaluate your sincerity in pursuing their specific firm rather than treating every bank identically. And they want to understand your market competitiveness, since candidates interviewing at multiple strong firms signal that other employers value them.

Understanding what interviewers seek helps you craft responses that satisfy all three dimensions while maintaining authenticity.

What Strong Answers Accomplish

Before examining specific strategies, understand what your response should achieve. The best answers accomplish several objectives simultaneously.

Demonstrate Industry Commitment

Your answer must reinforce that investment banking is your chosen career path. Throughout the interview, you have been building a narrative about why you want investment banking specifically. Your response to this question should be consistent with that narrative rather than contradicting it.

Mentioning that you are also exploring consulting, corporate development, or asset management undermines everything you said earlier about banking being your focus. Interviewers notice inconsistency and question whether your stated motivations are genuine.

Show Firm-Specific Interest

While acknowledging other opportunities, you should clearly communicate that this particular firm is your priority. Generic interest in banking is less compelling than informed interest in their specific platform, culture, and opportunities.

Reference specific elements that differentiate this firm from alternatives. This demonstrates that you have done research and have thoughtful reasons for your preferences beyond just wanting any banking job.

Signal Market Value

Candidates who are competitive at multiple firms are more attractive than those who seem desperate or limited in their options. Acknowledging other interviews subtly signals that you are a strong candidate who multiple employers want to hire.

This signal creates urgency without explicit pressure. Firms know that strong candidates receive multiple offers, and they factor this into their own decision-making timelines.

Crafting Your Response

Structure your answer to address all three dimensions while keeping the focus where you want it.

Lead with Industry Focus

Begin by confirming that your applications are focused exclusively on investment banking. This immediately addresses the commitment question and prevents any doubt about your career direction.

Strong opening: "Yes, I am pursuing investment banking exclusively. My focus has been entirely on IB roles since that is where I want to build my career."

Weak opening: "I've been looking at a variety of finance opportunities including banking, consulting, and maybe some buy-side roles."

The weak version raises immediate questions about commitment. Why should this firm invest in training someone who might prefer a different career path?

Acknowledge Other Opportunities Strategically

After establishing industry focus, acknowledge that you are in process with other banks. This is expected and demonstrates market competitiveness. Keep this section brief and do not elaborate on specifics.

Appropriate acknowledgment: "I am speaking with a few other banks in addition to interviewing here."

Problematic acknowledgment: "I have interviews at Goldman, Morgan Stanley, and JPMorgan next week, and I just finished second rounds at Evercore."

The problematic version sounds like boasting and shifts attention away from your interest in the current firm. It may also be verified, so exaggeration creates risk.

Pivot to Firm-Specific Interest

Quickly transition from acknowledging other opportunities to explaining why this firm stands out. This pivot demonstrates that you have preferences and can articulate them.

Strong pivot: "That said, your firm is my top choice because of the strength of your healthcare practice and the collaborative culture I've heard about from everyone I've spoken with."

Weak pivot: "But I'm really interested in this opportunity too."

The weak version adds nothing and fails to differentiate this firm from others. The strong version provides specific reasons that show research and genuine interest.

Practice behavioral questions: Download our iOS app to rehearse this question and other common behavioral prompts until your answers sound natural.

Understanding the Interviewer's Perspective

Knowing what interviewers evaluate helps you calibrate your response appropriately.

The Interview Process Context

Understanding the complete IB interview process helps you recognize when this question typically appears and why. Early-round interviewers may ask to gauge general commitment. Final-round interviewers often ask when assessing likelihood of offer acceptance.

The context affects how you weight different elements. In early rounds, emphasize commitment and preparation. In final rounds, you can acknowledge competitive dynamics more directly since the firm is actively considering extending an offer.

What Creates Red Flags

Certain responses trigger concern regardless of your actual situation:

Mentioning non-banking opportunities suggests you are not committed to the career path. Even if you are genuinely exploring other options, revealing this undermines your candidacy for banking roles.

Excessive detail about other interviews can seem like bragging or negotiating leverage before you have an offer. Keep acknowledgment of other processes brief and professional.

Fabricating opportunities creates serious risk. Banking is a small industry where people move between firms and compare notes. Getting caught in a lie destroys credibility permanently.

Sounding noncommittal about your interest in banking raises questions about whether you will accept an offer if extended. Phrases like "I'm still figuring things out" or "exploring my options" suggest you might decline.

Adapting by Career Stage

Different situations require adjusted approaches while maintaining the core framework.

For Undergraduates and Interns

Emphasize your learning focus and commitment to building a banking career. Your relative lack of experience is expected, so lean into enthusiasm and preparation.

Sample response: "I am interviewing with other banks as well since I want to make sure I find the right fit. My focus is entirely on investment banking because I want to build a strong technical foundation early in my career. That said, your firm is my top choice because of the responsibility analysts receive here and the mentorship culture I've heard about."

For Analyst Candidates Recruiting for Full-Time

Demonstrate that you have been thoughtful about where you want to work long-term. Your experience gives you credibility to have informed preferences.

Sample response: "Yes, I'm in conversations with a few other banks. Having interned last summer, I have a clear sense of what I'm looking for in a full-time role. Your platform stands out because of the deal flow in the sectors I'm most interested in and the quality of people I've met throughout this process."

For Analysts Recruiting for PE

Show that you are deliberate about your next step and have specific criteria. PE recruiting is highly competitive, and firms want candidates who have clear reasons for their interest.

Sample response: "I'm speaking with several PE firms as part of my recruiting process. I'm focused on opportunities where I can get meaningful deal experience across the full transaction lifecycle. Your firm's approach to portfolio company involvement and the sector focus align with what I'm looking to do next."

For Associates or Experienced Hires

Emphasize long-term fit and strategic reasons for your interest. Lateral hires require larger commitments from both sides, so demonstrating thoughtfulness matters.

Sample response: "I am evaluating a few opportunities, but I'm being selective since I want to find the right platform for the next phase of my career. What attracts me here is the cross-border deal flow and the opportunity to work with the team in this practice area specifically."

Common Mistakes to Avoid

These errors undermine otherwise solid responses.

Mentioning Non-Banking Opportunities

Never reveal that you are also pursuing consulting, corporate development, asset management, or other paths. Even if true, this information damages your banking candidacy. Interviewers assume you will choose banking over alternatives, but admitting other interests creates doubt.

The question asks about other firms, which you can interpret as other banking firms. Non-banking opportunities are simply not relevant to disclose in this context.

Overemphasizing Other Interviews

While acknowledging other processes signals competitiveness, excessive focus on alternatives seems arrogant or like negotiating prematurely. You do not have an offer yet, so acting like you have leverage is inappropriate.

Keep acknowledgment of other opportunities brief. One sentence suffices before pivoting to your interest in the current firm.

Fabricating or Exaggerating

Do not invent interviews you do not have or exaggerate your progress at other firms. Banking is interconnected, and interviewers sometimes verify claims informally. Getting caught in a lie ends your candidacy immediately and can damage your reputation more broadly.

If your interview pipeline is limited, focus on your genuine interest in this opportunity rather than trying to create artificial competitive pressure.

Sounding Indifferent

Avoid responses that suggest you do not care where you end up. Phrases like "I'll see what works out" or "wherever makes an offer first" signal that you lack genuine preferences. Firms want candidates who specifically want to work there, not those who will accept any job.

Your response should convey that you have thought carefully about your options and have clear reasons for prioritizing this firm.

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Sample Responses for Different Scenarios

These examples demonstrate how to apply the framework across situations.

Example: Undergraduate Summer Analyst Candidate

"Yes, I am interviewing with other banks, but my focus has been entirely on investment banking. I'm particularly excited about your firm because of the exposure analysts get to live transactions and the training program's reputation. From my conversations with people here, the collaborative culture stands out compared to other places I've spoken with."

Example: Full-Time Analyst Candidate

"I am in process with a couple of other banks. Having gone through recruiting last year, I'm being more selective this time because I have a better sense of what I'm looking for. Your platform is my top choice because of the healthcare coverage here, which aligns with my long-term interests, and the quality of work I've seen from the team."

Example: PE Recruiting

"I'm speaking with several funds, but I'm being thoughtful about fit rather than pursuing everything available. What excites me about your firm specifically is the sector focus, the reputation for operator engagement with portfolio companies, and the deal size range that allows for meaningful involvement at my level."

Example: Lateral Associate Candidate

"I am evaluating a few opportunities, though I'm not actively pursuing every option since I want to be strategic about my next move. Your practice area stood out because of the cross-border capabilities and the team's reputation in the market. The people I've met throughout this process have reinforced that this would be the right fit."

Interview Strategy Summary

When answering questions about other applications, follow this framework:

First, confirm exclusive focus on investment banking or the relevant career track. Never mention other industries.

Second, briefly acknowledge that you are interviewing elsewhere. Keep this section short and avoid specific names or excessive detail.

Third, pivot quickly to why this firm is your top choice. Provide specific, researched reasons that differentiate this opportunity from alternatives.

Fourth, conclude with confident enthusiasm about the opportunity. Your closing should reinforce genuine interest.

This structure works because it addresses what interviewers actually want to know while keeping the focus on your interest in their firm. Like other behavioral questions such as explaining your role and feedback received, the key is demonstrating self-awareness and professional maturity.

Key Takeaways

Conclusion

When interviewers ask about other applications, they are really asking: "How serious are you about us, and how do we compare?" Your response should communicate that you are a competitive candidate with options while clearly demonstrating that this firm is your priority.

Handle this question with honesty and strategic awareness. Acknowledge that you are in demand without bragging about it. Demonstrate firm-specific interest without seeming desperate. Balance confidence with authenticity.

The best responses leave interviewers feeling that you would be an enthusiastic, committed team member who specifically wants to work at their firm rather than just anywhere that offers a job.

Once you master this behavioral question, continue preparing for other common topics. Our guide on answering tell me about yourself covers the opening question that sets the tone for every interview.