The field of investment banking is growing rapidly as more and more people are getting to realise the power of an investment. Thanks to digitization, which made it possible at such a large scale. You can have a good career in investment banking with handsome salaries and bonuses.
If you are already working in finance or looking for a career in the relevant field, then you should really give a thought to a career in investment banking.Â
In this article, you will know whether investment banking is a career option for you and how to get into investment banking, the complete guide.Â
What is Investment Banking?
Investment banking is a type of banking and financial services where all the major focus is given on large and complex transactions such as IPOs (Initial Public Offerings) and mergers. They manage new debt and other securities for all major types of corporations.Â
They acknowledge traders, provide guidance and help facilitate mergers and acquisitions, the sale of securities and much more. Some of the major investment banks are Goldman Sachs, JPMorgan Chase, Bank of America, Morgan Stanley, Deutsche Bank India, etc.
Is Investment Banking a Good Career Option for Freshers
Investment banking can be a good, shining career for young graduates but it depends on many other factors too. Let us highlight some of the benefits of investment banking that might attract your attention.
- Investment banking is known for offering high and attractive salaries, even for freshers. You might receive performance bonuses along with your base salary.
- Working in prestigious investment banks might help you grow your network and connect with high-net-worth clients. You can build a strong career network in finance and related industries.
- You will get to learn with greater exposure to financial analysis, valuation, market trends, customer relationship management, and more.Â
- A career in investment banking comes with a balanced work life where you can distribute your workload evenly.Â
- You must have good analytical skills, communication abilities, and knowledge of finance and banking to be able to grab big opportunities in the market.Â
Also, Check Investment Banking Skills in 2024
Roles as an Investment Banker in Investment Banking
Let us check out some of the major roles of investment banking below.
- Evaluate the company’s worth and financial stand in the market
- Assist organisations with financial strategies
- Conducting market research, analysis and financial investigations
- Prepare financial reports, cash flow statements, and thorough analysis
- Manage Initial Public Offerings (IPO)
- Compile with legal and security guidelines of the companies
- Provide updated advisory to clients based on the latest opportunities and security management
Learn How to Make Financial Report Analysis?
Qualifications Required in Investment Banking
- A Three or four year bachelor’s degree in finance from a business school might provide you an edge.
- Gain hands-on experience through free or paid internships.
- Build strong networks with experienced professionals in the finance and banking industry
- Apply for jobs through career portalsÂ
Skills Required in Investment banking
- Financial analysis
- Financial Modelling (understanding financial statements, balance sheets, cash flow statements, and more)
- Proficient in Excel
- Multi tasking
- Communication Skills
- Strong analytical and mathematical skills
5 Major Tips to get into Investment Banking
Let us highlight some of the major tips which might help you snoop into investment banking and build a career in it.Â
1. Research on responsibilities of investment bankers
Get yourself familiar with the work responsibilities in the industry. Keep yourself well informed about the top investment banking organizations in the country, as they might have greater influence on related decisions. Investment bankers help their clients buy or sell securities, manage risk management, and choose the right securities to gain high returns.
To succeed, you must have strong communication skills, analytical skills and can work in a fast-paced, competitive environment. If you like challenges and bonuses, then this might be the best career option for you.
2. Get a relevant degreeÂ
A degree in business or economics is the first step toward a career in investment banking. This will help demonstrate your knowledge and experience of investment banking. A degree from a top business school might give you an edge over the other participants.
However, if you have completed your bachelor degree from another branch, then you might try a Certification Course in Finance from recognized institutes and use them in your portfolio during recruitment drives.
3. Join a CommunityÂ
Find an interactive community related to finance and investment banking and join with them. They might provide good leads and latest opportunities in top companies in the market. Also, you will be able to connect with some expert professionals in the field. Make contacts and connect with people around and you might find better opportunities in the market.Â
4. Develop your Skills in Finance Modeling and Excel
In investment banking, you might need to master financial modelling and excel as these tools are used frequently in organizations. You might need to create and analyse finance documents, valuations, models, etc which can be done with finance modelling tools.
There are many online learning materials and courses that might help you improve your knowledge in Excel and Financial Modeling. Learn different aspects of Financial modelling at PW Skills.
5. Keep your Resume Updated
Your resume and cover letters are the first point of impression of your skills and suitability for the role offered. It is important to draft every important qualification, achievement, and certification in your resume before applying for the post of investment banker.Â
Your resume must be informational but concise, and clear and highlight your skills and experience in the area. Your resume must be tailored with the job description of the required position in the job.Â
More Basic Tips to get in Investment Banking
Well the suggestions do not end here, you might need to keep more things in mind to get into an investment banking role in a finance company.Â
- Prepare well for interviews: Interviews are the most important stage during your recruitment drive. Having good knowledge and experience of investment banking might help you impress your interviewer easily and lock your position.
- Networking is important: Always remember to climb the corporate ladder. You must have connections with good professionals in the area, as they might provide you with better opportunities in the field. Connect with professionals in the field, attend meetups and industry events to get to know more people and find better opportunities.
- Build your online presence: Your online presence might smoothen your recruitment process. Create and maintain a good profile on LinkedIn, Naukri, and other job portfolio and make sure they are regularly updated.
- Apply for internships: To discover better opportunities and hands on experience, you must go for an internship at entry level positions in different industries. This might be a great start for your career in investment banking.Â
- Keep Learning: Always learning and keeping yourself updated with the latest trends in the financial industry might help you stay strong at your position. Keep yourself well informed about the new law amendments.Â
Learn More about Investment Banking with PW Skills
If you are looking for a career in the banking, Finance or Insurance sectors then enrol in our BFSI Course and prepare yourself for the interviews. Get in-depth knowledge of banking, finance, and insurance related industries with their principles, working and more.Â
If you are a fresher, then this course is a perfect start for you to find the right job in the finance industry. Learn from expert mentors through interactive coursework based on the latest industry trends. Prepare for interviews and more only at pwskills.com
Features of the Course
- Self paced learning with recorded lectures
- Hands on experience with real world projects
- Experienced mentors
- Latest industry curriculumÂ
- Industry recognised certifications
Investment Banking FAQs
Q1. What is Investment Banking?
Ans: Investment banking is a financial institution that deals with the large, complex financial transactions basically related to mergers, IPOs, underwritings, etc.
Q2. What is the role of investment bankers?
Ans: Investment bankers are professionals who help organisations, governments and other major groups manage large financial projects and acknowledge their clients with the best security investment options and the risk involved.
Q3. What is the minimum qualification required to become an investment banker?
Ans: You must have a three- or four year bachelor’s degree in banking, finance or related fields from a recognized institution to find new opportunities in investment banking.
Q4. Which degree is best for investment banking?
Ans: A degree in finance might be the best option if you are looking for a career in investment banking. You can also pursue short term certification course to become eligible for a job role as investment bankers.
