Investment Banker

Job Profile

With industries, corporate, start-ups and even governments wanting to raise capital for their expansion, the role of an Investment banker is expected to grow, both in India and abroad. A career in investment banking begins as an Analyst. The job involves research on the Organisation for which the capital has to be raised.

Creating earning models and returns ratios and comparisons with industry peers are jobs handled by Analysts. With experience, the role changes to Senior Analysts/Associates and Portfolio Managers who pitch, with presentations and discussions with clients and investors. The job is mainly a desk job for an Analyst, with seniors touring to various places to scout for investors. It’s a team project where all members contribute to the project, and a model is created for presentation to the investors.

Mergers and Acquisitions, Private Equity, Debt Syndication, etc are specializations where one can gain expertise and skills and jump to senior leadership roles. However, the job is very stressful with long hours researching the industry etc. An investment banker spends an average of 12-18 hours in the office, having no personal time. In India, most jobs are in the financial capital, i.e. Mumbai.

Salary/Package

An Investment Banker with 1-4 years of experience earns an average total compensation of Rs. 8.5 lakh p.a. A mid-career Investment Banker with 5-9 years of experience earns an average total compensation of Rs. 16 lakh p.a. An experienced Investment Banker with 10-19 years of experience earns an average total compensation of Rs 25 lakh p.a. The salaries may vary based on experience, skills, roles, location, etc.

Skills required

• Financial literacy and confidence with numbers is a prerequisite to be successful in this career
• A person taking up a career in this field should have high resilience and the ability to face the consequences when things get tough
• Combination of spreadsheet, accounting and legal skills
• Strong, professional communication ability is an important characteristic of an investment banker
• Good numerical skills
• Excellent team leadership and teamwork skills are required for a successful investment banker

Pros and Cons of an Investment Banker

Pros

• Highly paying salary
• Large Bonus
• Good professional knowledge about industries, market etc.
• Quick promotions and leadership roles

Cons

• Highly stressful
• Long hours of work
• Risky job as dependent on Capital market
• Dependent on business sentiments and investors perception

How do I be one

Anyone with love of Mathematics and Analytical mind can aspire to be an Investment Banker. A finance or commerce background at the graduate level with an MBA (Finance) can kick start a career in this field. Many Diploma and certification courses like Masters in Financial control, Diploma in Financial Analysis, Investment Banking and Equity Research, Portfolio Management and Security Analysis, Banking and Finance, Investment and Business Research, Global Investment & Financial Planning can also be pursued to hone skills in this field. Chartered Financial Analyst (CFA) would be the premium qualification to secure a senior position in top Investment banking companies.