Investment banking is the popular career option and the most trending term of the modern finance corporate world. In recent times, experienced professionals and recent graduates want to make it big and work as Investment Bankers. It is surely the lucrative and best-paying job in the world along with being the hardest too.
It is slightly hard to get into this high profile industry but with the right education and knowledge and with an analytical mind, you can successfully carve out your way into Investment Banking by the extreme dedication and smart work.
Who are Investment Bankers?
In the modern world of today, everyone including government, industries, startups and corporate aiming and working towards their business expansion, the role of Investment Bankers will continue to grow.
These bankers work with organizations and governments and help them in the management and growth of their financial assets by advising them on investment of their assets by increasing their value by purchasing stocks or securities. They mainly act as advisors and brokers in determining the needs of the clients and meeting them.
Responsibilities of Investment Banker
- Working with specific products or business groups.
- Collaborate and interact with clients companies, corporate finance groups and capital market professionals.
- Bridging loans and setting up deals by working in mergers and acquisitions.
- The undertaking of transactions in equities, bonds, currencies or options for huge institutional investors.
- Analyzing the market conditions and determining the capital market either Debt or Equity.
- As an advisor in capital structure, its valuation and risk management.
Education and Eligibility
- Completion of 10+2 in any stream but commerce stream is preferred from a recognized board.
- Complete bachelors in Commerce, Finance/economics, and Bachelor of Business Administration (BBA) in finance.
- Pursue Masters of Business Administration (MBA) in finance to kick start your career in Investment banking.
- Pursue Chartered Financial Analyst (CFA) course to secure a senior-most position in top Investment banks as most companies prefer candidates with this qualification.
Required Skills
An Investment banker should possess the following skills:
- Excellent Analytical Skills.
- Mathematical Skills.
- Understanding of basic financial knowledge.
- PowerPoint and Excel Skills.
- Financial Literacy and Financial Modeling.
- Excellent leadership and communication skills.
Top Colleges to pursue Investment Banking
The following are the top colleges that you can opt in to become an Investment Banker.
- Indian Institute of Management in Bangalore.
- Indian Institute of Business, Hyderabad.
- Bharathiar University, Coimbatore.
- Indian Institute of Management, Indore.
- MICA, Ahmedabad.
- Indian Institute of Management, Kozhikode.
- Faculty of Management Studies, Delhi.
- National Institute of Securities Markets, Navi Mumbai.
- Certified program in Investment Banking by BSE.
Job Domains in Investment Banking
The following are the job domains or the services offered within the area of Investment Banking:
- Corporate finance.
- Mergers and Acquisitions (M and A).
- Capital markets.
- Sales and Trading.
- Underwriting.
- Private Equity.
- Venture Capital.
Positions of Investment Bankers
The career path of an entry-level graduate to that of an Investment banker is mentioned below:
- Analysts: These are entry-level graduates with 0-2 years of experience with duties of data collection, creating presentations and basic financial data analysis.
- Associate: This position is earned after working as an analyst for 3-4 years with additional duties like interaction with clients and managing a team of 4-5 analysts.
- Vice President: An expert in Investment banking with experience in different projects while ensuring the operational efficiency of workers underneath him.
- Managing Director: This is the senior-most position achieved after 15-20 years of experience in the Investing Banking domain. He is required to get more business and transitioning potential clients to customers.
Top recruiting companies in India for Investment Bankers
The following are some of the top recruiters that hire Investment Bankers.
- JP Morgan.
- HSBC
- Wells Fargo.
- Accenture.
- Citigroup.
- Morgan Stanley.
- Goldman Sachs.
- Barclays Capital.
Salary and Job Outlook
Investment banking is one of the most demanding career options all over the world. This field offers an excellent salary package but demands high dedication levels from the aspirants.
According to Payscale, the average yearly salary of an Investment banker is INR 702, 124 and Glassdoor predicts an average yearly salary of INR 902, 800.
According to the U.S Bureau of Labor Statistics, the employment growth projected is at 11% in the financial industry and professionals like Investment Bankers, Financial Agents and Sales Associates are observed.
In this career, you need to deal with different kinds of investments and management of that money in different forms. The career outlook in this field is bright and a good scope is predicted in the coming years.
– Samiya Firdous
