DoralynBiller513
How to Bag a Job of Investment Banker
Investment banking does not denote a specific function or a service. It is a broad term for a range of activities. The activities that go by this name comprises of financial advisory services, advices for mergers and acquisition, advices to manage assets, trading securities and underwriting. Investment banks provide services to Government, individuals, non-profit organisations and companies. If you are seeking for a career of big bucks, consider the investment banking industry.
Intensely challenging and competitive world of investment banking is a place where deals are completed and fortunes are decided. In reality it is a field to acquire insights of corporate finance and learn analytical skills that will be valuable for your entire business career. Three types of professionals are most prevalent in the area of investment banking. The bankers spend most of the time behind their computers, analysing the financial statements and churning out spreadsheets. There are traders who constantly watch the screens of computer, put phone in ear and keep the buyers or sellers on hold when the market is in session. There are few research analysts who are analytically minded.
What it requires to establish a career of investment banking?
Investment banking may be a great career choice if you are fast paced, are at ease with numbers and analysis and have tolerance for risks. The best way to secure an offer in this industry is to try out for an internship. It is actually tough for graduates to secure investment banking jobs without relevant experience. You may conduct an independent research to discern the bank best suited for you. As the bigger companies have better turnover, therefore, most of the time it is them who invest in nurturing the fresher.
Those with a Masters in Business Administration will find it difficult to achieve their first jobs as they lack prior experience. There are a number of openings for the MBAs from top schools equipped with banking internship experience.
How to enter the industry?
As competition is intense, therefore, those not from top tier B-schools need to be more ingenious. A good way to secure the banking job is to look out of the bracketed firms. Usually, when students search for their first investment bank jobs they usually look for the vacancies in top companies. It will be good if the budding bankers look for opportunities in healthcare organisations, boutique firms or opt for specialised areas risk management, wealth management, financial planning and restructuring.
The position you can start at depends on your educational level. MBAs usually compete for the associate position and graduates vying for the position of the analyst. There are comparatively lesser number of employees who come into the industry from other fields. However, those having a technical career and interest in finance may consider this particular field when thinking of a career change.
What exactly will be the job of an investment banker?
Investment bankers can be considered as financial consultant for the corporate. As a banker, you have to take care of the sellers of securities, companies looking to raise the fund and companies intending to complete IPO (Initial Public Offering) by purchasing all the shares and bonds that a company puts on sale.
There are various banks, who divide the corporate finance departments into different sub-groups like health care, technology, entertainment, utilities, insurance and financial institutions. Divisions may exist between high end product groups such as private equity, investment grade debt and high yield.
Your job as an investment banker in corporate finance will be underwrite debt and equity offerings, analyse the financial requirements of the firms, help them to formulate and implement financial strategies and work in collaboration with the trading department to decide the value of the new offerings.
