Career as an Investment Banker

Investment Banker is just like the Banker which is at the hub of market place. Investment Bankers play crucial role in structuring the financial deals facilitating business operations. If we talk about who is an investment banker? An Investment Banker is a professional who represents special financial institution that work with large Company, organization or individual interested in investing money and advising his clients on the growth of money and telling them where their investments will grow. Investment Bankers are experts of market. They know about the trends and where would investment benefit maximum. What are the Qualities needed to become Investment banker?

1) Ability to forecast: The investment banker should be able to forecast what will be market trend and future of company.

2) Good communication skills: Should be good at communication as communication is base of knowledge.

3) Sales Skills: Sales skills are valuable as they tell how to represent knowledge and how to sell stocks of company.

4) Creative Ability: Creative outlook may be of help to innovate new ways of getting profits and tax saving.

5) Ability to work for long hours: Must have stamina for working long hours to satisfy the clients need.

6) Ability to take initiatives: An investment banker must take initiative and decisive steps to bring profits to their clients.

7) Good mathematical skills: Good and fast calculation skills may help you get in touch with situation more quickly.

8) Ability to keep calm and work under pressure: Investment bankers have to work under pressure and have to sustain fatigue, and if investment banker loses his calm that might be lethal for their profession.

9) Strong Interpersonal and analytical skills: Having strong interpersonal and analytical skills may give you extra edge on market.

If you have skills set similar to these then you are eligible to become investment banker.

What does investment banker do? Investment banker connect the company that need finance to the financer that can provide finance in the form of bond or stock. These professionals help Private Corporation&rsquos go public by structuring initial public offerings, or IPOs. These offerings are subject to strict financial regulations and companies must follow some regulation.

Mergers and acquisition are another specialty of investment banker. When companies are interested in becoming acquire or merging or purchasing with any other firm they seek the help of merger or acquisition experts.

Most of the investment banker&rsquos daily time is spent with consulting clients on their investment and their future prospect. Other daily task may include creating reports, maintain spreadsheets and conducting research. Their other tasks are like analyzing data and creating recommendation list for their clients.

How to become Investment Banker?

To become an investment banker one must have degree in field of commerce which can be graduation or post-graduation. MBA Finance, Chartered Accountants, CFA&rsquos and masters in finance and control are generally preferred for Investment banking career. Diploma and certificate courses are also offered by some institutes. Some institute also provide workshops for providing the detailed overview of work conditions and job requirements of an investment banker. After obtaining a degree, you may apply to be an entry level analyst to ascertain whether you would like to continue in the profession. These analyst may have the opportunity work with their mentor and sit in on client meetings, having the chance to observe pitches and selling ideas as the investment banker visits clients.

Where can an investment banker work?

Types of investment banking jobs

1) Mergers and Acquisitions (M&A): Mergers and acquisitions banks specialize in providing advice to corporations on mergers with competitor or buying a small company. These bankers must have solid financial modeling and structuring skills so as to make logical and profitable sense, making the companies interested in the proposal.

2) Underwriting: One of the primary functions of investment bankers has been to assist corporations and governments in raising capital. Bankers in underwriting department usually specialize in debuts or equity.

3) Private Equity: Private Equity are one of the most prestigious job in investment banker available in market. Some of these jobs are found in investment banks but most of them are found in private firms. Some of the largest and most well-known firms like Blackstone, KKR and TGP host these private equity.

4) Venture Capitals: Most of the Private equity firms funds companies already established in market but venture capitalist funds new and beginner companies yet to be establish. Generally these companies are comparatively small and have not accessed stock market.

An Investment Banker may also have many job opportunities in following Firms also

i. Broking firms

ii. Mutual funds

iii. Investment banks

iv. Insurance companies

v. Financial Services Companies

vi. Pension funds and other financial institutes

Capital markets all over the world are witnessing changes. The economy requires more and more systematic approach to increase the domestic investments so that the economy&rsquos true potential can be brought forward. If we talk about the salary or money aspect related to Investment Banker there was a survey saying that most salary employees on top 50 where from investment bankers.

One of the starter investment banker who has started his journey from training position will have 10K &ndash 20K and once you have gained experience of 1 to 2 year, the average salary package might become 4-5 lakh. This high salary is due to the conversion of salary from dollar to rupee. When you have gained experience of 4-5 years, you could earn 12 Lakh to a crore per annum depending upon the organization and your position in it.