Description

An investment banker helps clients in increasing capital with the help of financial models. They work to promote mergers and acquisitions and develop proposals for private equity transactions. An investment banker is also responsible for analyzing monetary transactions and developing presentations for client portfolios.

Some of the typical roles of an Investment Banker are listed below:

  • Mergers and acquisition: Advises buyers and sellers about valuation, deal structure, financing, and implementation.
  • Capital raising and security underwriting: Help companies raise funds through selling stock, bond, or hybrid securities.
  • Equity/credit research: In their reports, analysts advise institutional clients whether to buy, sell, or hold financial securities after studying and evaluating them.

Roles & Responsibilities

Some of the major responsibilities of an Investment Banker are:

  • Facilitating and structuring acquisitions to accomplish transactions appropriately, as they are the major contributors to mergers and acquisitions and are thus responsible for the management
  • Delivering their client’s potential insights on consequential banking affairs and providing them with accurate and strategic guidance on complex financial elements.
  • Maintaining compliance with the rules and regulations while identifying, evaluating, and managing conflicts of interest.
  • Providing cutting-edge financial advice and recommendations to their clients by performing in-depth research on the dynamic aspects of the financial market.

Qualifications & Work Experience

Major educational qualifications required for Investment Banker are:

  • Bachelor's degree in finance, economics or related, required.
  • Certified Financial Adviser certification, required.
  • Experience as an investment banker or underwriter.
  • Knowledge of market trends.
  • Knowledge of securities regulations and M&A.
  • Experience with valuation, modeling and financial forecasting.

Essential Skills For Investment Banker

1

Investment Banking

2

Investing Strategies

3

Personal Finance Management

4

Banking Management

Career Prospects

Candidates usually start as entry-level investment banking analysts for 2 to 3 before getting promoted to the role of an investment banking associate, in which the majority already have work experience and a professional degree or certification. Based on the nature of the bank, an associate progresses to a superior level, such as a senior vice president, or with a few more years of experience, can advance to the role of a managing director. Some alternative job roles available for an Investment Banker are

:
  • Financial Analyst: Analyzes financial data to support decision-making and forecasting.
  • Accountant: Manages financial records, prepares reports, and ensures compliance.
  • Finance Manager: Oversees financial operations and strategies within a company.
  • Branch Manager: Manages the overall operations and performance of a branch.
  • Senior Financial Analyst: Provides advanced financial analysis and guidance.
  • Business Analyst: Analyzes and assesses business processes and performance.
  • Operations Team Leader: Leads and coordinates team activities for operational efficiency.

How to Learn

A career in investment banking is monetarily rewarding and can provide great career advancement. It is one of the most trending and in-demand jobs in today's world, and one of the primary reasons for this is the high earning potential.
An entry-level investment banker earns around ₹2 Lakhs, while an experienced professional can earn up to ₹32.5 Lakhs.
A surge of public offerings and share sales helped the Indian investment banking industry collect the highest fee from deal-making in 2021, making it its best-ever year. Despite the covid-19 pandemic, investment bankers made around Rs 2 crore thanks to the evolution of India's techies from startups to mature listed companies.