Investment banking is one of the demanding careers today. To become a successful investment banker, requires hard work and solid knowledge of finance. However, all the hard work of investment banker pays off in hefty pay checks and luxuriant perks! This is just the tip of the iceberg when it comes to the benefits investment bankers enjoy. To give you an overview of benefits enjoyed by investment bankers, here are just a few —
1. Handsome Salary
Investment bankers take away best salary among all finance professionals. Their strenuous work hours and the impact of their performance on their company’s bottom line makes all the difference. The better they perform, the more will be their company’s revenue. Hence, investment banks tend to offer exorbitant salaries to investment bankers.
In the U.S., the salary of an entry-level investment banker goes up to $100000. This is more than the average salary of other roles in finance.
The growth in the salary of investment banking professionals is unprecedented. Unlike other professions, an investment banker can expect up to 100 percent hike in their salary, while switching jobs. Looking at this prospect, many professionals from finance backgrounds are taking investment banking course to enter this field.
2. Paid vacations
Investment banks allow paid vacations to their bankers. On closing good deals, sometimes, investment banks offer sponsored international vacation trips.
Investment banker put in long hours at work—meeting clients, researching investment opportunities, documenting research, and lot more. At times, this gets too much. Companies allow investment bankers to unplug completely and keep themselves off from work and just be themselves.
3. Extensive Skillset
Investment banker possess a versatile set of skills in finance, which is applicable to various fields in banking, finance services, and insurance.
As an experienced investment banking professional, you can find opportunities in consulting as well as corporate finance. The U.S. Bureau of labor statistics reports 10 percent increase in jobs across financial roles.
4. Work with business leaders
Investment bankers work with HNIs (High Net Worth Individuals) and business owners, who are smart decision makers. Working with them helps learn new things every day.
Not just industry knowledge, investment bankers get an opportunity to learn from them professionally as well as personally, if a good repo is built with them. These can act as good mentors.
5. Luxuriant lifestyle
Investment bankers enjoy a glamourous lifestyle. Stays in five star hotels, commute in world class cars, business class flight tickets, meetings and conferences at fancy hotels, and food from Michelin star chefs are a few perks that they enjoy.
In summary, jobs in investment banking might be a tough nut to crack, given the intense amount of skills required in this job. However, after tough days at work, good salary and comforting lifestyle compensate for it. Moreover, unending opportunities make investment banking an even more considerable field of lucrative life-long career. Most investment banking veterans start their own consulting business making themselves indispensable for others.
Investment banking is a popular choice of career among finance graduates, but recently investment banks opened up to graduates from all backgrounds for hire. This, for obvious reasons, has increased competition to get into investment banking. The missing knowledge of finance is covered by investment banking courses online. Nonetheless, it still remains a top choice for career among finance graduates—flamboyant salary and glamorous lifestyle.
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Investment banking has broad field. Contrary to popular belief, Investment banker isn’t the only high-paying popular role. Though, they do earn a good amount of money. Analysts and traders also make equal salary and enjoy the same benefits as them. To get into investment banking, you don’t necessarily have to start as an investment banker. Other roles including analyst, trader, operations manager, could get you on the path to become an investment banker. Many investment bankers have transitioned from these positions to who they are today.
An investment banker is tasked with the responsibility to reach out to potential clients and persuade them to invest with their banks. Generate recurring profits for their clients by proposing them investment techniques, and continually foster their relationship with clients.
In order to do so, an investment banker requires —
- Good knowledge of capital markets (stocks and bonds) — Investment bankers assist clients to invest their savings and derive return from those investments. Capital market is a common channel to facilitate this. They need good knowledge of capital market.
- Investment techniques: Capital market is one of the channels of investment. Other techniques such as derivatives, etc. should be known.
- Knowledge of merger & acquisitions—Business owners and industrialists often seek the help of investment bankers with merger and acquisition deals. For this, they are required on the finalization of deals and other matters.
- Strong analytical skills—Investment bankers’ work depend on getting their numbers right. Hence, they are required to be analytical strong. In fact, this a major skill, which investment banks look for in potential investment bankers.
- Strong communication skills—Investment bankers work with business leaders, which requires them to understand clearly. Hence, impeccable communication is a necessity, then a requisite.