The incident of a showy behavior by an intern at CITIC Securities continues to cause a stir. One of the main concerns among the public is that the resumes of the students involved do not seem to match with their work in the financial sector. Why would a student with a sports background be able to intern at a brokerage firm? The topic of paid internships has once again sparked public attention.
According to a report by “Lanjing Finance” under the Shanghai Newspaper Group, who organized the event, on July 28th, in order to investigate further, a reporter from the media outlet expressed the need to find an internship position in a financial institution to a consulting agency. The consultant quickly matched a position at one of the top four banks (Industrial and Commercial Bank of China, Agricultural Bank of China, Bank of China, China Construction Bank) based on the school major provided by the journalist.
The consultant mentioned that the cost of this program ranges between 16,000 to 22,000 yuan (RMB), providing background checks, internship certificates, and official job offers. They further stated that this job is relatively basic and requires only a grasp of basic Office software skills.
Compared to the top four banks, including CITIC Securities, the fees for internships at top brokerage firms like “Three Central and One Hua” (CITIC Securities, CITIC Construction Investment Securities, and Huatai Securities) are slightly higher. The quoted fees for these institutions range from 25,000 to 30,000 RMB.
In the promotional materials sent by the consultant, the institution has signed contracts with over 3000 industry mentors to help thousands of students secure offers from top companies. Major companies such as JPMorgan Chase, Citibank, and “Three Central and One Hua” brokerage firms are listed as guaranteed resources. Additionally, positions at the top four banks, consulting firms, fast-moving consumer goods companies, and even state-owned enterprises also fall within their service coverage.
An industry insider who has been involved in internal referrals for internships mentioned that these paid referrals are mostly concentrated in the financial industry, with some presence in the internet industry as well.
Regarding interview processes and pass rates, the consultant mentioned that the program fee includes resume and interview coaching, with a guaranteed 100% placement at the four major banks. Should the candidate fail to pass, a full refund would be provided. Additionally, the institution would match a mentor to provide initial guidance, who would also be present during the formal interview. “It’s essentially just a formality to ensure passing,” the consultant stated.
A former industry professional revealed that internship fees in the market currently range from a few thousand yuan to 40,000 yuan, with some charging as high as fifty to sixty thousand. However, the pricing does not significantly correlate with service quality or the authenticity of the offers, but rather depends on whether the institution is reputable. Various factors influence offer outcomes, including the individual’s school major, fee affordability, the level of connection within the organization, and the complexity of the company’s recruitment process. Some companies conduct interviews, while others do not require them at all. Paid internships provide maneuvering space, but there isn’t a true guarantee of securing a position.
A source from a company’s human resources department disclosed that individuals who enter companies through paid internships are often referred to as “little black workers.” Some of them may lack employee identification cards, cannot work on-site for extended periods, and may only perform simple, non-technical repetitive tasks.
On July 26th, a short video circulated in the financial circle where a vlogger named “Qiao Chu” shared a daily Vlog titled “First-year at a Top University, a Day in Investment Banking Internship.” The video showcased the vlogger, who is an intern at CITIC Securities, driving a Beijing brand Porsche to and from work, and later playing golf after work.
Following the release of the video, it garnered widespread attention from the public. CITIC Securities also provided an explanation, stating that the student’s entry into the company for internship was due to a violation by a team leader in the investment banking division. The company has taken disciplinary action against the responsible party by removing them from their position.